More arrests of Samwu leaders expected
MORE heads are set to roll following the release of a damning new forensic report into the theft of R200million belonging to Samwu members, said the union’s general secretary, Koena Ramotlou.
The newly elected leadership of the SA Municipal Workers’ Union (Samwu) said they were hoping more of its former leadership would be arrested.
These latest revelations came almost four years after former Samwu deputy secretary Moses Miya, officials Surprise Mnisi and Zukiswa Ntsiko, as well as financial consultant Sam Phaswane, were charged in the Johannesburg Special Commercial Crimes Court for the theft of more than R178m of Samwu funds in October 2015.
At the time, the Pretoria News reported that Phaswane had allegedly siphoned off more than R9.5m from Samwu’s account and channelled the money into his personal account through six illegal transactions.
All four were released on R50000 bail each.
Ramotlou said a forensic report by Ernst & Young presented to its central executive committee (CEC) meeting this week had revealed the names of unions officials, service providers and law firms that were allegedly siphoning union funds for their personal benefit. Ramotlou said the auditing firm was appointed in 2016 but was only able to release their findings this week following leadership squabbles in recent years.
“The auditors have confirmed that the union had eight bank accounts in 2012, which had a combined balance of R94569934.63, and that by November3, 2015, the union’s bank balance was R6 252 404.57 and not the R538m that has been widely reported in the media,” Ramotlou said.
He said his leadership planned to meet with the Hawks’ prosecution team and to provide them with the latest audit report to allow them to further their investigations. “We can’t mention their names until they are criminally processed,” he said.
Ramotlou said the special CEC had resolved that the attorneys who had been implicated in the report should be removed from the union’s panel of attorneys and also be reported to the law society.
“Employees who have been implicated in the report will be charged with gross negligence, and criminal charges will be laid with the police,” he said.
Ramotlou added there were allegations of financial irregularities during the renovation of the union’s headquarters in Frederick Street in Joburg’s CBD, but auditors could not make a final determination because the service provider had refused to co-operate with their investigations.