SIU probe exposes alleged misuse of R1.35 million meant for land restitution beneficiaries
An SIU investigation has exposed alleged procurement irregularities and misuse of more than R1.35 million meant to help a Mpumalanga land restitution community develop its farm, with investigators finding that equipment was either not delivered or only partially supplied.
A Special Investigating Unit probe has revealed alleged misuse of approximately R1.35 million allocated to equip a community in Mpumalanga through land restitution. The investigation, which centered on the Ingogo Communal Property Association land restitution project, uncovered procurement manipulation and alleged misuse of public funds meant for the personal gain of officials.
The SIU found that the community was excluded from the process of selecting and appointing the company contracted to provide necessary equipment, resulting in inadequate value for money.
Investigators discovered that Deputy Director of Finance Grace Mokoka approved a R1,358,440 payment to the company, despite the required procurement procedures not being followed. Some of the promised equipment was never delivered, while other items were only partially delivered. Furthermore, the SIU uncovered allegations that officials obtained quotations from personal acquaintances and misused departmental funds for their personal benefit.
The investigation revealed that the company, MPG Mash Trading CC, falsely claimed R166,850 in VAT from the department but failed to pay the money to the South African Revenue Service. Additionally, inactive VAT numbers were allegedly used during the process.
As a result of the investigation, several individuals linked to the project have faced criminal proceedings. MPG Mash Trading director Mduduzi Mashwama was found guilty of theft and contravening the Prevention of Organised Crime Act in 2024, receiving wholly suspended sentences and ordered to repay SARS R166,850 in monthly instalments of R500.
Project manager Sikhumbuzo Nkosi and departmental project officer Godfrey Mchunu were arrested in connection with the matter in 2025. Mokoka appeared in Nelspruit Magistrate’s Court on Tuesday and was granted R1,000 bail, with her next court appearance set for October 26. The SIU continues to collaborate with law enforcement partners, including the Hawks and National Prosecuting Authority, to ensure that those involved in corruption face the full force of the law and to protect public funds and promote accountability.
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