Public Works suspends director over R113m school tender fraud

Public Works suspends director over R113m school tender fraud

Public Works suspends director over R113m school tender fraud

The Minister of Public Works and Infrastructure, Dean Macpherson, has ordered the precautionary suspension of a senior Construction Project Management (CPM) director after the official appeared in court on charges of fraud related to a multi-million rand project.

The director, along with others, have been accused of defrauding the Mpumalanga Department of Education out of R113 million through a tender issued in 2018 and 2019 for emergency repairs to 21 schools in the province.

IOL previously reported that the Directorate for Priority Crime Investigation (Hawks) arrested 20 individuals as part of a nationwide operation targeting fraud and corruption in the Department of Education.

Major General Nico Gerber, head of the Hawks in Mpumalanga, confirmed the arrests during a media briefing on Sunday, stating that the operation was part of a broader investigation that began in 2020 following reports of irregularities during the 2019/2020 financial year.

“We had an organised arrest across South Africa. We had arrests in Cape Town, Gauteng, Limpopo, and the majority of the arrests obviously here in the Mpumalanga area,” Gerber said.

Pricing and tenders were highly inflated, and service providers were handpicked, bypassing proper supply chain processes, he said. 

“Now, these contractors then worked with these officials. There were 17 service providers which have been identified and who will be arrested and will appear in court with the 10 officials,” Gerber added.

The minister’s decision comes after the official’s arrest and court appearance on Tuesday.  

Although the Department of Public Works and Infrastructure was not involved in the tender issued by the Mpumalanga Department of Education, Macpherson emphasised the need for all officials within his department to be above reproach, particularly when dealing with public funds.

James De Villiers, the spokesperson for the Minister, reiterated the Minister’s commitment to combating corruption and unethical conduct within the department.

De Villiers explained that the precautionary suspension and disciplinary proceedings are in line with the Public Service Act and the regulatory framework, ensuring that both processes are procedurally and substantively fair.

This is necessary to safeguard the integrity and assets of the department while criminal and internal investigations unfold.

“From the day we entered office, we have adopted a zero-based tolerance approach to corruption and ethical misconduct within this department. The position is non-negotiable,” said Macpherson.

”Upon becoming aware of the official’s arrest and court appearance, I directed the Director General to implement a precautionary suspension of the official and initiate appropriate disciplinary action.

”Any official implicated in serious criminal allegations, particularly those involving public funds meant for critical infrastructure, such as schools, ought not remain in their role while these processes are underway.”

De Villiers also stressed that the Department of Public Works and Infrastructure would fully cooperate with law enforcement authorities as the criminal matter progresses. Internal disciplinary processes, he noted, would proceed concurrently with the ongoing criminal investigation.

“There will be no protection for wrongdoing. We owe it to the people of South Africa to act decisively against corruption wherever it arises,” said Macpherson.

“Every rand lost to fraud is a rand taken away from classrooms, communities, and service delivery. We are committed to strengthening governance, tightening oversight, and ensuring that public infrastructure budgets are used strictly for their intended purpose.

Macpherson said accountability is not optional; it is fundamental to restoring trust and ensuring that infrastructure delivery serves the public, not private interests.

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Source: https://iol.co.za/news/crime-and-courts/2026-02-26-public-works-suspends-director-over-r113m-school-tender-fraud/

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