Hopes for stability amid woes
DR SIMO Lushaba, the new CEO of the troubled Mhlathuze Water board in Richards Bay, took up office this week.
His appointment came amid an investigation into a R38 million corruption and fraud case allegedly involving some of the top brass of the board.
Mthokozisi Pius Duze, the board’s suspended CEO, and his two co-accused, debt collector Siphiwe Mabaso and lawyer Sthemeblo Mhlanga, appeared in the Durban Specialised Commercial Crimes Court earlier this week facing charges of intimidation, defeating or obstructing the course of justice and fraud.
Duze has been suspended without pay.
Mabaso was granted bail of R25000 and Mhlanga’s bail was R250 000. Duze was denied bail.
Duze and four others were accused in the case involving Nonhlanhla Mkhize, the director-general in the Kwazulu-natal Office of the Premier. Mkhize was the first to be granted bail of R25 000.
There were gasps from the gallery when the court denied Duze bail.
Natasha Ramkisson-kara, the National Prosecuting Authority’s regional spokesperson, said Duze still had the right to appeal the bail application outcome. It is not known yet if Duze has done so.
Ramkisson-kara said the bail conditions were still to be set by the court.
“The court found that in Duze’s affidavit or his application for bail he did not prove or did not convince the court enough that there’s a likelihood that he would not interfere with the witnesses,” said Ramkisson-kara.
Mhlathuze Water spokesperson Siyabonga Maphumulo said it was business as usual at the state-owned entity, adding that they trusted Lushaba would ensure stability at the entity.
“We obviously can’t comment on the case that involves some of our colleagues but we have our internal processes that are going on totally separate from the court process, as usual employer-employee processes,” said Maphumulo.
A court report indicates that Duze’s interference with witnesses began when the first audit into the board took place.
It was alleged Duze had the means to intimidate those involved in the case and apparently hired, at his own cost, bodyguards armed with weapons to protect him.
Magistrate Garth Davis said Duze’s conduct was shown to be that of a belligerent person who was willing to bully individuals.
“Witnesses are also deserving of protection and I am satisfied that the fourth applicant (Duze) has not discharged the onus of showing that there is no likelihood that he would interfere or intimidate witnesses.”
The Mhlathuze Water Board was selected in 2018 when the then-minister of water and sanitation Gugile Nkwinti expressed confidence in the “new” board, saying it would bring stability and certainty to Mhlathuze Water.
“Their diverse professional backgrounds and skills will no doubt set Mhlathuze Water on a path to excellence and enable the water utility to execute its founding mandate of bulk water delivery with a renewed vigour,” said Nkwinti.
The state-owned utility had been without a permanent board since the expiry of the previous board’s term of office in 2016.
All the accused were expected to reappear in court on December 6.