By Thapelo Molefe
The Special Investigating Unit says it is awaiting a presidential proclamation to formally investigate the controversial Beachfront Court Crescent project at the Buffalo City Metropolitan Municipality, as questions mount over value for money and procurement processes.
Briefing Parliament’s Standing Committee on Public Accounts on Tuesday, SIU Eastern Cape head of investigations Mike Koya confirmed that the beachfront matter has not yet moved into a full investigation phase.
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“The BCMDA one, the waterfront, we have not yet conducted an investigation. We are still at the stage of assessment,” Koya told MPs.
The project falls under the Buffalo City Metropolitan Development Agency and has been under scrutiny alongside the Water World Fun Park development.
Koya said the SIU engaged the Auditor-General of South Africa (AGSA) to conduct a performance audit to determine whether the projects delivered value for money.
“The AGSA requested that the SIU allow them an opportunity to conduct their Performance Audit to determine value for money on the projects,” Koya said.
He added that the SIU is awaiting a material irregularity referral from the AG to support its motivation for a proclamation.
He told MPs that while both the beachfront and Water World matters were reported at the same time, progress on the beachfront had advanced further administratively.
“As much as the beachfront and the Water World were reported to us at the same time, we had moved with the beachfront. It was only that letter from the Premier that was standing,” Koya said.
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He explained that the required letter from the Premier, which supports the proclamation process, had been delayed for months.
“The letters were submitted to the Premier around July 2025, but by January the letters were not there,” he said.
According to Koya, the letter has since been received and the matter is now with the Department of Justice.
“This beachfront is closer now to a proclamation. It is now sitting with the Department of Justice,” he told the committee.
Without a proclamation, the SIU does not have the authority to conduct a full investigation, subpoena documents, or make referrals.
Acting SIU head Leonard Lekgetho said the unit is exploring ways to strengthen its powers to access information earlier in the process.
“We are busy looking at our legislation so that we can have the powers to subpoena for documents even before the proclamation is issued,” he said.
The SIU indicated that once the proclamation is signed, it will be able to investigate procurement processes, payments and any potential improper or unlawful conduct linked to the beachfront development.