EMBATTLED former ANC Youth League leader Julius Malema will today be charged with alleged money-laundering totalling R4,58 million.
The Witness has seen a copy of a draft charge sheet submitted to the Polokwane Magistrate’s Court yesterday that claims Malema was the recipient of the proceeds of crime.
It alleges that some of the money the Limpopo Department of Roads and Transport had paid to Malema was used to fund a R3,9 million farm and to make a payment on a Mercedes-Benz Viano.
The charge sheet was submitted by prosecutor Billy Moalosi when Malema’s co-accused, Lesiba Gwangwa, Kagisho Dichabe, Makgetsi Manthata and Helen Moreroa, were released on R40 000 bail each.
The four are facing charges of fraud and corruption in relation to the irregular awarding of a R52 million tender to On-Point Engineers by the Limpopo Roads and Transport Department.
On-Point received payments from the department totalling R43 868 900 in terms of the contract.
The charge sheet alleges there was a “clear business relationship” between Gwangwa, the chief executive officer of On-Point, and Malema.
On-Point was appointed as the project management unit of the department in September 2009.
The charge sheet states that On-Point won the tender fraudulently. Its bid allegedly falsely stated it had nine years of experience when it had only been created in 2009; that names of senior managers provided were false, and that it had submitted a tax clearance certificate of a shelf company.
On-Point allegedly appointed service providers for which it claimed payment from the department and then claimed from the department in duplicate.
The charge sheet alleges that On-Point made “secret agreements” with the appointed service providers that would make payments to On-Point.
“Most of the payments received as a result of said secret agreements were channelled through other entities to pay for the farm which Ratanang Trust, as represented by Julius Sello Malema, was buying for an amount of R3 990 000”, the charge sheet reads.
Although it does not identify Malema specifically as one of the accused, it notes that accused 10 is the “sole trustee” of the Ratanang Family Trust.
City Press previously reported that Malema was initially the only trustee of his son’s trust, before his grandmother was added as a trustee. The charge of money laundering is contained in the Prevention of Organised Crime Act.
The act makes it an offence to acquire, possess or use the proceeds of unlawful activities.
The schedule to the charge refers to a total of 16 alleged payments to Malema, totalling R4 582 659.
These were made between January 2009 and November 2011.
The three companies charged along with On-Point were Gwama Properties, Segwalo Engineering and Oceanside Trading.
The court also heard during the appearance of Malema’s co-accused that a R1 million gratuity was paid to Kagisho, Gwangwa, Segwalo and On-Point by Oceanside, Moreroa and Manthatha.
Malema is set to appear in court today.