SIU blocks R3.3 million pension payout of former Gauteng HOD

The Citizen

3 days ago

The SIU secured a court order stopping Gasela's pension payout as criminal investigations continue into corruption and fraud allegations.
The Special Investigating Unit (SIU) has secured a court order stopping the pension payout of a former Gauteng head of department (HOD) as criminal investigations continue into corruption and fraud allegations.
The unit obtained an interim order from the special tribunal to stop the Government Employees Pension Fund (GEPF) from processing about R3.3 million in pension benefits for Matilda Matozi Gasela, the former HOD at the Gauteng department of agriculture, rural development and land reform.
Additionally, until the legal proceedings are concluded, Gasela is prohibited from accessing or claiming these funds under the order which was given on May 15, 2025.
Gasela allegedly played key role in mismanaging trash-collecting vehicles contract
Gasela began her tenure as HOD in 2018 and allegedly played a key role in mismanaging a contract with Enviro Mobi (Pty) Ltd (later known as Groen Mintirho).
SIU spokesperson Kaizer Kganyago said that Gasela authorised additional payments and approved a R6 499 712.64 settlement for 'storage costs' — an item not included in the original contract — even though the company failed to deliver the vehicles.
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Senior counsel explicitly advised against this payment, which was later declared fruitless and wasteful expenditure.
'Her actions allegedly contravened the Public Finance Management Act (PFMA) and contributed to the depletion of public funds, as the SIU contends, in what it describes as a fraudulent scheme,' Kganyago said.
After discovering evidence of criminal activity, the SIU referred the case to the National Prosecuting Authority (NPA). The SIU sent this evidence to the NPA to consider pursuing criminal charges against Gasela, including fraud, corruption and maladministration.
October 2024 arrest
In October 2024, authorities arrested Gasela and her six co-accused.
Her co-accused include:
Loyiso Mkwana, chief director: sustainable use of environment, who also served as the bid evaluation committee chair.
Thandeka Mbassa, former HOD. She left in August 2018.
Abdullah Mohamed Ismail, former chief financial officer and chair of the bid adjudication committee.
Matlhekelo Elsie Mabe, director of Mvest Trading (Pty) Ltd.
Tinyiko Mahuntsi, director of Enviro Mobi.
Puleng Peter Mabe, former director of Enviro Mobi and a former member of parliament
Infographic: Supplied
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The accused appeared before the Palm Ridge Specialised Commercial Crimes Court inJohannesburg.
They were linked to financial mismanagement and illegal procurement in connection with the R33 million contracts that the Ekurhuleni metropolitan municipality (EMM) and the department gave to Enviro Mobi.
Kganyago confirmed that the SIU filed papers in the special tribunal to review and cancel the contract and recover R33 731 463.64 in financial losses suffered by the state.
R33m financial losses
'Furthermore, as part of consequence management, the SIU has made disciplinary referrals to the department against implicated officials. An administrative referral was made against Enviro Mobi for blacklisting,' he said.
According to Presidential Proclamation No. R.15 of 2021, the SIU was tasked with investigating claims of maladministration in the department and Ekurhuleni specifically concerning the contracting or purchase of 200 portable three-wheel motorised trash-collecting vehicles.
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During the 2023/24 financial year, the SIU finished its investigation into this issue and delivered the report to the president.