Graft costs City Power

Another City Power employee was dismissed this past week after being found guilty of colluding with contractors, the City of Joburg said yesterday.

This included signing off on payment of invoices for work not done at Eldorado Park substation.

“The employee was suspended when City Power initiated the investigation.

“He was found guilty of gross negligence, resulting in financial loss to the City of Joburg,” mayoral committee member for environment and infrastructure services Nico de Jager said.

This was the second employee in the past week to be dismissed for collusion with the same contractor, Setheo Engineering, he added.

“Setheo Engineering received payments exceeding R88 million for work that was never completed involving the construction of Eldorado Park substation and the refurbishment of Hopefield substation.

“They secured the contract through a fraudulent bank guarantee which led the city to believe they had the balance sheet to handle the project.”

The two directors of Setheo Engineering were arrested in 2017. However, the National Prosecuting Authority withdrew the case from the court roll.

“Acts of corruption undermine honest officials and honest taxpaying residents who expect services,” he said. – ANA