KZN councillor and wife implicated in alleged corruption on R29bn N3 highway upgrade
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An exclusive investigation by IOL has uncovered disturbing allegations of corruption and financial misconduct involving a local politician and his wife, linked to the multi-billion rand N3 highway upgrade - a critical infrastructure project connecting Durban and Pietermaritzburg.
The investigation suggests that a Chinese joint venture company, Base Major Joint Venture CSC, may be complicit in illicit dealings that jeopardise the integrity of the project.
The Msunduzi segment of the N3 upgrade forms part of a broader initiative to enhance approximately 79.3 kilometres of freeway - a key route facilitating trade and mobility in South Africa.
Valued at nearly R29 billion, the project aims to ease chronic congestion, improve safety, and enhance economic integration from Durban to inland regions. It is aligned with the government's Strategic Integrated Projects (SIPs), designed to spur economic growth and create jobs.
However, behind the scenes, controversy appears to be mounting.
Multiple sources have implicated local politician Sibusiso Mkhize, a councillor in the Msunduzi Local Municipality, and his wife, Nkule MaKhuzwayo Mkhize, in a scheme to siphon off funds via illicit payments.
According to insiders, Mkhize - appointed by Mayor Mzimkhulu Thebolla to serve on the Project Liaison Committee (PLC) - allegedly solicited and received bribes from contractors working on the project.
Some workers involved in the N3 upgrade have also raised concerns about intimidation and suppression, fuelling suspicions of high-level corruption.
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Financial Flows and Evidence of Misconduct
IOL's investigation uncovered financial records indicating that Mkhize received substantial payments, some of which were allegedly channelled into his wife's Absa bank account.
Three electronic receipts, reviewed by IOL, reflect transactions of R169,000, R100,000 and R30,000 - all referencing 'G7 Base Major,' presumed to be linked to the joint venture company.
Sources allege these payments have continued since the project's inception, with a regular monthly payout of R25,000 purportedly directed to Mkhize's wife.
The revelations raise serious concerns around conflicts of interest, abuse of office, and potential kickbacks on a public-funded project.
When approached for comment, Councillor Mkhize declined to respond, citing legal advice.
His wife, Nkule MaKhuzwayo Mkhize, demanded the identities of IOL's sources, questioned the publication's legitimacy, and invoked privacy rights under the Protection of Personal Information Act (POPIA). She refused to provide further comment despite multiple requests.
Absa spokesperson Carli Cooke confirmed that the account belonged to MaKhuzwayo Mkhize, lending credence to the allegations.
IOL also contacted municipal authorities. Eunice Majola, speaker of the uMsunduzi Municipality, said the matter would be referred to the Rules and Ethics Committee for investigation.
Mayor Thebolla acknowledged the gravity of the allegations, clarifying that Mkhize had been a municipal representative on the PLC but was replaced two months ago.
'These allegations do not reflect well on the municipality,' he said. 'Let's first agree this is a Sanral project. The municipality has no access to operational details. We merely nominate a council member to represent us. I recently nominated someone else to replace Councillor Mkhize.'
Sanral, the national roads agency overseeing the project, confirmed it was investigating the matter.
'Sanral takes these claims very seriously. We are reviewing the situation and will communicate our findings once the investigation is complete,' said spokesperson Lwando Mahlasela.
The N3 upgrade involves 15 work packages at a projected cost of R29 billion. It aims to create around 33,500 jobs, prioritising local labour, and channel R8.8 billion to black-owned enterprises to foster inclusive growth.
The upgrade involves expanding the freeway from four to six lanes between Camperdown and Ashburton and eventually to eight lanes at the interchanges.
thabo.makwakwa@inl.co.za
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