The Hawks have raided the offices of the Polokwane municipality in Limpopo to secure evidence of alleged corruption linked to the municipality’s over R300 million investment in the now-defunct VBS Mutual Bank.
Documents and cellphones linked to the former personal assistant of Justice and Constitutional Development Minister and former Polokwane executive mayor Thembi Simelane were seized.
The Hawks have declined to comment on the raid.
Simelane appeared before the Portfolio Committee on Justice and Constitutional Development on Friday to explain a R500 000 loan she received from VBS-linked company Gundo Wealth Solutions.
The Polokwane municipality confirmed that the Hawks have seized valuable documents, laptops, and cell phones belonging to the former personal assistant of Justice Minister and former executive mayor, Thembi Simelane.
This is part of investigations relating to the municipality’s illegal investment of R349 million in the Venda Building Society Mutual Bank.
Simelani was the executive mayor of Polokwane at the time of the investment, between 2014 and 2021.
Municipal communication manager, Matshidiso Mothapo says they have since ensured the training of municipal officials regarding the Municipal Finance Management Act.
“The municipality can confirm. Yes indeed, the police visited the office of one officer who was a PA to the former executive mayor with a court order to access, and cease. They have taken computers and cellphones and some documents. The municipality has previously confirmed that they have invested in VBS and withdrew the investment and got its money, and what we have done since then is that we have ensured that senior managers are taken through workshops and training for the Municipal Finance Management Act.”
Simelane has since appeared before the Justice and Constitutional Development Portfolio committee over her loan of R500 000 from VBS-linked company Gundo Wealth Solutions. The Minister has denied any conflict of interest in the matter.
However, opposition parties in the Polokwane municipal council believe there was a conflict of interest. They have called for the minister to step down as they believe her explanation is not transparent.
The Democratic Alliance (DA) councillor Jacques Joubert and the Economic Freedom Fighters (EFF) provincial chairperson Lawrence Mapulo welcomed the Hawks’ ongoing investigations into the municipality.
“From our side, all we know is that the Hawks raided the former personal assistant to the former mayor Thembi Simelane. They raided her office and took laptops and cellphones. When we speak about Hawks being here, it’s harassing employees because the big dogs who are baring the brand because the big bosses who give instructions will have the opportunity to do interviews.”
Labor union SAMWU hopes the raid will reveal more about the investment.
In 2019, two SAMWU leaders from the Vhembe District Municipality were killed, allegedly for blowing the whistle on the illegal investment of municipal funds into VBS.
SAMWU’s provincial spokesperson Patrick Aphane hopes the raid will reveal more about the alleged investment.
“We are very happy that law enforcement agencies are dealing with the matter, including Polokwane; we hope that everything will be unearthed in Polokwane and other municipalities.”
The Hawks have declined to comment. The African National Congress (ANC) in the Polokwane council is yet to comment.
Meanwhile, several senior politicians and municipal officials involved in the collapse of VBS are appearing at various courts.
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