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#Post#: 88--------------------------------------------------
Ace Magashule Exposed In Dodgy R150-Million RDP Housing Scam
By: Hawk Date: March 28, 2018, 9:48 am
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SOURCE : HUFFINGTON POST
HTML https://www.huffingtonpost.co.za/2018/03/28/ace-magashule-exposed-in-dodgy-r150-million-rdp-housing-scam_a_23397175/
Ace Magashule Exposed In Dodgy R150-Million RDP Housing Scam
An exclusive exposé by News24 reveals Magashule's involvements
in government contracts to benefit his own family at the expense
of Free State's poorest.
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ANC secretary-general Ace Magashule has been caught in the
middle of a housing-project scam used to ensure that a company
partly owned by his daughter earned contracts worth R150-million
from his provincial government.
An exclusive exposé by News24 reveals Magashule's involvements
in government contracts to benefit his own family at the expense
of Free State's poorest citizens in need of housing.
Here are the major pointers you should be aware of:
Magashule and other provincial officials interfered in a
housing project, the Bethlehem RDP project, to construct RDP
houses on a plot of land to the north of Bethlehem, Free State.
After the initial contractor was booted off the project, the
provincial government appointed a different company
The company, Unital Holdings, is a Chinese company in which
Thoko Malembe, Magashule's daughter, is a shareholder.
The company was appointed to build RDP houses without a
tender process and had R70-million paid to it by the department
of human settlements.
In November 2013, Magashule and several MECs officially launched
the Baken Park RDP project and vowed to build quality houses.
They said: "We don't want to build a 'kasi' township here". He
then introduced the MECs at the launch to a Chinese businessman
known as "Mr Li".
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News24 reports that Unital Holdings, a company in which
Magashule's daughter owns a 30 percent stake, bagged contracts
in 2013 and 2015 to build RDP houses near Bethlehem.
A recent report by councillors in the local Dihlabeng council
shows that the houses built by Magashule's daughter's company
are substandard – those now living at the development have no
working toilets, running water or electricity.
This is the second scandal involving Magashule's daughter.
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An earlier report by News24 detailed how Malembe pocketed
R9-million in a contentious property deal with the Free State
Development Corporation (FDC), a government-owned entity whose
chairperson is a close ally of Magashule.
The premier's office insisted that Magashule in no way
influenced government contracts.
"The honourable premier is not at all involved in the awarding
of tenders or any related processes. The honourable premier was
therefore not involved in the appointment of the service
provider with regards to the Bethlehem RDP project," it said in
a statement.
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