Tender boss made payments to Juju

2011-09-03 17:03

Julius Malema’s business partner, who heads two tender-rich companies in Limpopo, has paid at least R200 000 towards Malema’s new Sandton mansion.

City Press has in its possession bank statements showing two ­deposits of R100 000 each from businessman Lesiba Gwangwa’s account for the benefit of “Sundowns Property”.

Gwangwa is the chief executive of SGL Engineering Projects and On-Point Engineers. Both companies have benefited richly from Limpopo government tenders.

According to a source with knowledge of the transactions, “Sundowns Property” refers to the multimillion-rand mansion Malema is building in the posh Sandown neighbourhood in Sandton.

Malema demolished his R3.6 million house on the property earlier this year.

City Press reported last month that Malema paid for the bulk of this property with cash. His Absa bond of R1.5 million only covered 42% of the purchase price. The rest, according to the previous owner, was paid in cash deposits.

The youth leader has rejected earlier reports that his new ­mansion, complete with an underground bunker, will cost R16 million, saying it costs less.

Confirmation of payments by Gwangwa towards Malema’s house means he is the second businessman who benefits from Limpopo government tenders to contribute to the Sandown ­property.

The Sunday Times reported last month that Polokwane businessman Steve Bosch paid R1.2 million into the account of the ­architect who designed Malema’s new house.

Bosch also confirmed making “donations” into the account of Malema’s Ratanang Family Trust.

Gwangwa did not respond to questions about the payments.

Malema’s spokesperson, Floyd Shivambu, said: “I thought we had agreed that we will not respond to these kinds of questions. Please continue to make fools of yourselves and do not involve us at all. Please.”

Malema’s family trust is a shareholder in On-Point.

On-Point’s tender portfolio ­includes a R51 million project to facilitate and manage road projects in Limpopo.

Public Protector Thuli Madonsela recently launched an investigation into the awarding of this tender to On-Point and others by the project management unit that On-Point heads.

Last month City Press revealed the existence of confidential “back-to-back” agreements
between On-Point and contractors who benefit from these road projects.

City Press also revealed the fact that On-Point takes credit for projects awarded to SGL and that On-Point made payments of more than R400 000 towards the ANC Youth League’s national general council in August last year.

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