Thoshan Panday, co-accused to face 261 counts of corruption, fraud for SAPS tender scandal

0:00
play article
Subscribers can listen to this article
Durban businessman Thoshan Panday and police official Navin Madhoe.
Durban businessman Thoshan Panday and police official Navin Madhoe.
Kaveel Singh/News24
  • Thoshan Panday, an associate of former president Jacob Zuma, appeared in court on a decade-old corruption case.
  • His co-accused include three current and former high-ranking KZN SAPS officials, of which only Colonel Navin Madhoe appeared with Panday in court.
  • The 124-page indictment sets out charges of corruption, fraud, uttering and forgery as well as violations of supply chain regulations.

Falsified invoices, bribes and conspiracy underpin the myriad charges of corruption and fraud levelled by prosecutors against an associate of former president Jacob Zuma, Thoshan Panday, and his co-accused.

Panday and Colonel Navin Madhoe appeared briefly before the Durban Magistrate's Court on Friday.

Their co-accused, which includes former KZN police chief Mmamonnye Ngobeni and former SAPS official Aswin Narainpershad, did not appear.

News24 understands that Ngobeni had agreed to hand herself over, but failed to do so.

ROLLING COVERAGE | Former KZN police chief arrested as law enforcement cracks down on corruption

Narainpershad was, according to Investigating Directorate spokesperson Sindiswa Twala, believed to be in Cape Town and would be arrested and charged separately.

Twala did not name him.

Panday and Madhoe were granted bail of R100 000 and R10 000 respectively, and the case is expected to be heard before the high court on 14 November.

Alleged

The 124-page indictment, signed by the head of the National Prosecuting Authority's Investigating Directorate (ID), advocate Hermione Cronje, sets out in detail 261 counts relating to the SAPS accommodation scandal and other procurement, valued at an estimated R47 million, dating back to 2009.

The indictment reads:

"It is further alleged that [Panday, Madhoe and Narainpershad] actively associated themselves with the common purpose and worked together to manipulate the procurement process to ensure that the common goal of the orders/contracts being awarded to specific suppliers, being the business entities represented by [Panday] and his relatives."

The scheme, as set out by the indictment, relates to accommodation that was required for SAPS officers who were deployed to various parts of the province as necessary to quell and monitor instability arising from "for example, taxi violence or political instability".

Madhoe and Narainpershad allegedly introduced Panday to the SAPS supply chain manager for the province, Captain Kevin Stephens, setting in motion a scheme where Stephens did not source quotes for accommodation, but would contact Panday or his assistant and utilise them.

Bribes

Panday is accused of paying bribes to Madhoe and the other officials to ensure his companies would be used.

By splitting the orders up to ensure they were all below R200 000, which necessitated addition SCM regulations be adhered to, while the total value often exceeded that value.

As a result, the indictment sets out 115 counts under a charge of fraud.

Panday, Madhoe and Narainpershad face a further 39 counts of fraud in relation to accommodation and miscellaneous goods, including Mercedes Benz cars, filing cabinets, water coolers, fridges, microwaves and Garmin GPS units, to name a few, for SAPS officers during the 2010 FIFA World Cup, where a similar scheme was perpetrated.

No quotes were sought, and Panday and his connected companies overcharged for items.

They face a further 72 counts of fraud, in that Panday's companies submitted three quotes for the procurement of goods, in a practice known as "cover quoting". His co-accused were aware that all three quotes were from his companies.

Counts

They also face six counts of forgery and uttering in relation to forged signatures on documents relating to the procurement.

They face a further 18 counts of corruption, related to the SCM process, for undue gratifications paid by Panday to his co-accused - including flights, accommodation and a car for Madhoe.

READ | AFU seizes millions in property, cars belonging to asbestos corruption accused

Panday allegedly paid tuition fees for Narainpershad's son, bought him a treadmill, and paid for accommodation.

Madhoe faces three counts of violating the Prevention and Combating of Corrupt Activities (Precca) Act, for accepting the undue gratifications amounting to roughly R90 000.

Similarly, Narainpershad is set to be charged with three counts for violating Precca in that he also accepted undue gratifications.

Ngobeni and Panday, meanwhile, will face three counts of corruption, related to alleged bribes Panday paid to Ngobeni in exchange for her instructing former Major-General Johan Booysen to halt the investigation.

Booysen has credited his persistence in pursuing the case as the reason he was targeted by leaks to the media over the Cato Manor death squad stories, which the Sunday Times later retracted.

Ngobeni is accused of corruption in accepting cash payments and other benefits to the tune of R20 000 from Panday, in addition to a surprise birthday party for her husband, also a high-ranking police official.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Lockdown For
DAYS
HRS
MINS
Voting Booth
Who do you think is going to win the 2020 US election?
Please select an option Oops! Something went wrong, please try again later.
Results
Biden is going to take it
46% - 5437 votes
It's four more years for Trump
54% - 6444 votes
Vote
ZAR/USD
16.46
(+0.21)
ZAR/GBP
21.33
(+0.24)
ZAR/EUR
19.48
(-0.22)
ZAR/AUD
11.61
(+0.34)
ZAR/JPY
0.16
(+0.28)
Gold
1907.17
(+0.24)
Silver
24.62
(+5.30)
Platinum
872.00
(+2.22)
Brent Crude
42.85
(-0.67)
Palladium
2405.00
(+3.19)
All Share
55271.75
(+0.20)
Top 40
50851.62
(+0.22)
Financial 15
9956.35
(-0.22)
Industrial 25
75567.07
(+1.08)
Resource 10
53788.16
(-0.63)
All JSE data delayed by at least 15 minutes morningstar logo