The City of Ekurhuleni says it has asked the Public Protector of South Africa to investigate an alleged irregular R3.7 million tender awarded to Tsakane Matlala, wife of suspected crime boss Vusimuzi “Cat” Matlala, following evidence at the Madlanga Commission of Inquiry.
The request follows testimony at the commission last week, where allegations emerged about payments made to a company linked to Tsakane Matlala.
On Friday, the commission heard evidence that the company received millions of rand from the municipality.
In July 2023, the city invited bids from accredited training providers to implement professional qualification programmes.
The contract was awarded to Buena Vista Learning Academy, which, according to documents submitted to evidence leader Advocate Matthew Chaskalson, was not registered as a skills development provider at the time.
Days before submitting its bid, the company had been operating under the name Mokoko Grill, described as a local shisanyama business.
The company’s sole director is Tsakane Matlala, formerly Tsakane Baloyi.
Documents presented to the commission show that while the original tender was valued at R66,500, payments to the company eventually totalled about R3.7 million.
City spokesperson Phakamile Mbengashe confirmed that City Manager Kagiso Lerutla had referred the human resources training tender, for the appointment of accredited skills development providers to implement various qualifications and skills programmes on an as-and-when-required basis until June 30, 2026 – to the Public Protector Kholeka Gcaleka for investigation.
“The referral follows prima facie evidence presented at the Madlanga Commission and subsequent media reports raising serious concerns about the appointment of Buena Vista Learning Academy as an accredited skills development provider,” Mbengashe said.
He said the allegations under scrutiny include discrepancies in the company’s registration history, questions about training accreditations and subcontracting arrangements, possible misrepresentation of financial and VAT status, and the disbursement of about R3.4 million in Sector Education and Training Authority (SETA) grant funding.
Mbengashe said the bid was founded on specific and critical requirements that evidence suggests were either overlooked or intentionally misrepresented.
“In parallel, the City Manager has instituted a comprehensive internal investigation led by the Internal Audit Division to review the supply chain management and human resources processes linked to the transaction,” he said.
He said the referral was made in terms of the Public Protector Act 23 of 1994 to ensure independent oversight and transparency.
“While Internal Audit will assess municipal compliance, the Public Protector is empowered to investigate any alleged maladministration, improper conduct or unlawful enrichment,” Mbengashe said.
He said the city remained committed to co-operating with the Madlanga Commission and assisting its processes transparently.
“The city will continue to endeavour to restore clean governance and accountability.”
“Where necessary, swift and decisive investigations will be undertaken, and appropriate consequence management measures enforced where wrongdoing is established,” Mbengashe added.
In testimony last week, suspended head of human resources Linda Gxasheka told the commission she was not involved in the bid evaluation or adjudication process.
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