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SIU investigates R3. 1 billion in Housing Development Agency deals

SIU investigates R3. 1 billion in Housing Development Agency deals

IOL News2 days ago

The Special Investigating Unit is going after transactions worth hundreds of millions of rand approved by the state-owned Housing Development Agency and eight provincial Human Settlements departments.
Image: Sandi Kwon Hoo / Independent Newspapers
The Special Investigating Unit (SIU) is probing dodgy transactions valued at about R3.1 billion approved by the state-owned Housing Development Agency (HDA) and eight provincial Human Settlements departments since 2016.
Several of the HDA's deals now under scrutiny were for the identification, acquisition, holding, development, and release of state, communal, and privately owned land for residential and community purposes by the agency, in its name, or for and on behalf of the provincial departments or by the departments.
The provincial Human Settlements departments involved are from the Eastern and Western Cape, Free State, Gauteng, KwaZulu-Natal, Mpumalanga, North West, and the Northern Cape.
According to details of the property sales being probed, the highest amount paid was the R389.1 million spent in Chris Hani in Ekurhuleni for 2,560 serviced residential stands in 2021/22, R279m for land in the City of Tshwane in the 2020/21 financial year, while R213m was paid in the Eagles Nest township transaction also in Ekurhuleni in 2019/20.
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Another R195m was for land in Palm Ridge, also in Ekurhuleni, in 2020/21, while the lowest transaction was R120,000 in Theunissen, Masilonyana, in the Free State in 2021/22.
Strangely, the three valuations of the land eventually bought for R120,000 ranged between R285,000 and R13.2m.
The SIU is investigating any alleged serious maladministration in connection with the agency's affairs and the departments' improper or unlawful conduct by their employees, unlawful expenditure of public money, as well as offences committed in violation of the Prevention and Combating of Corrupt Activities Act.
The offences include unlawful or improper conduct by any person, which has caused or may cause serious harm to the interests of the public between April 2016 and this year.
The corruption-busting unit will also determine whether there was any irregular, improper, or unlawful conduct by applicable service providers of the agency and departments, or any other person or entity.
In addition, the SIU will investigate whether the manner these contracts were entered into was not fair, competitive, transparent, equitable, or cost-effective and contrary to applicable legislation, manuals, guidelines, practice notes, circulars, or instructions issued by the National Treasury or the relevant provincial Treasury.
It will also check if manuals, policies, procedures, prescripts, instructions or practices of, or applicable to the agency and departments and the related unauthorised, irregular or fruitless and wasteful expenditure incurred or losses suffered by the agency, departments or the State.
loyiso.sidimba@inl.co.za

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