NPA Obtains Restraint Order On R102 Million Worth Of Assets

The National Prosecuting Authority’s Asset Forfeiture Unit (NPA AFU) has been granted an order of restraint on some R102 million worth of assets to be frozen from 45 accused persons.

According to NPA Investigating Directorate spokesperson, Sindisiwe Seboka, the order is related to allegedly unlawfully awarded police tenders worth millions of rands.

“The 45 persons, whose assets have been restrained, are facing charges relating to 53 contracts that were unlawfully awarded to the 26 companies. The State is alleging that companies that are effectively owned and controlled by Kishene Chetty and his father, Krishna Chetty were unlawfully awarded contracts by the SAPS.

“It is alleged that fraudulent Broad-Based Black Economic Empowerment (BBBEE) certificates were submitted in support of written price quotations, and that the 26 companies were involved in cover quoting. Members of the SAPS Supply Chain Management division allegedly colluded with the Chetty family and defrauded the SAPS of tens of millions of Rands,” Seboka said.

She said the order was granted by the High Court in Pretoria and called on the accused and those who may claim to have interest in the restrained property to make representations as to why “the order should not be made final”.

Seboka explained that the order attempts to recoup any benefit that the accused and at least 26 companies derived from the tender.

“The accused… were found by Justice Mlotshwa to have acted collusively in making false and fraudulent misrepresentations in their tender bid to the police, as a result of which two national tenders, valued at R59 million and R29 million – plus 48 contracts worth R9.8 million, which fell under the R500 000 threshold – were awarded.

“The R59 million tender (markings case) was for branding of police vehicles. One of the companies that were awarded contracts has a white woman listed as the sole director, who misrepresented that she was an African female. Vatika was 100% white female-owned, and the latter did not meet the requirements to be exempted as a micro-enterprise.

“On receipt of the funds paid by the SAPS in relation to the tenders… [the funds were] laundered… to other companies beneficially owned by Kishene and Krishna Chetty. R59 million in total was paid to Vatika and Kgotho, despite the fact that the financial implications of the tender were only R50 million. The latter amount included Value Added Tax (VAT),” Seboka said.

The accused are expected to appear in the Pretoria Regional Court in December. – SAnews.gov.za