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Cape Town city manager leads R1.4m sting in tender corruption probe

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By Johnathan Paoli

City of Cape Town City Manager Lungelo Mbandazayo has placed himself at the centre of a high-stakes police sting operation that led to the arrest of a company director allegedly attempting to bribe him with R1.4 million in cash to protect lucrative municipal contracts.

In a statement from the city, Cape Town executive mayor Geordin Hill-Lewis praised Mbandazayo’s role in the operation.

“I commend the bravery shown by our City Manager, who played a central role in a SAPS sting operation yesterday by posing as the key figure to attract the suspects to the scene. This is another demonstration of the extraordinary leadership that characterises our City’s daily pursuit of good governance and zero tolerance approach to those seeking illicit benefit from this government,” Hill-Lewis said.

“We welcome the arrest made as a result of this dynamic operation and will continue to support SAPS in ensuring successful prosecutions.”

The dramatic operation, carried out on Tuesday at the Watershed Centre in Somerset West, formed part of an ongoing joint investigation between the City and the SAPS Commercial Crime Investigation Unit (CCI) into alleged fraud and corruption involving a contracted City vendor.

According to the City, CCI members, supported by Mbandazayo acting as an authorised agent of the operation and “with significant personal risk”, executed the planned sting after weeks of controlled engagements with the suspect.

During the encounter, the suspect allegedly handed Mbandazayo R1.4 million in cash.

The money was purportedly offered as a bribe in exchange for assistance in retaining the vendor’s contracts with the City and halting internal municipal investigations into the company.

CCI officers immediately intervened, seizing the cash along with a mobile device and a Toyota bakkie believed to have been used during the commission of the alleged corrupt act.

The suspect was arrested on-site, detained at Bellville police station; and is scheduled to appear in the Bellville Magistrates’ Court on Thursday, 5 March.

The Somerset West sting followed an earlier controlled operation conducted under Section 252A of the Criminal Procedure Act late last month at Table Bay Mall in Sunningdale.

During that engagement, the company director allegedly approached Mbandazayo and requested his assistance in halting the City’s internal investigative processes.

In return, the director allegedly offered gratification of R4 million and committed to an initial payment of R2 million in cash.

On 27 February, the Director of Public Prosecutions authorised the continuation of the controlled operation, paving the way for the recent sting in which the R1.4 million was allegedly handed over.

The city confirmed that the joint investigation dates back to March last yeah, when a whistleblower tip-off first raised red flags about the company’s dealings.

Given the seriousness and scope of the allegations, the matter was investigated collaboratively by the City’s Ethics and Forensics Services Department and SAPS Commercial Crimes in the Western Cape.

Authorities indicated that further arrests are anticipated as investigations continue, with alleged accomplices potentially facing charges linked to fraud and corruption.

Mbandazayo has served as city manager since 2018 and was reappointed for a second term in 2022 under Hill-Lewis, and has been closely associated with strengthening the municipality’s anti-corruption framework.

The city praised the operation as marking a significant escalation in its anti-corruption drive, with senior municipal leadership directly assisting law enforcement in undercover operations.

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