• Tweet

Sbu and Shauwn Mpisane

RELATED ARTICLES

• Mpisane wins court bid
• High-profile support for Shauwn Mpisane
• Mpisane supporters probed over threats
• KZN probes graft in school nutrition programme
• Ex-NFP chair in court for fraud
• 'Prince' Sifiso Zulu is in jail
• Corruption charges withdrawn against KZN ANC officials
• 'Prince's house sold at auction
• ANC councillor killed in KZN
• Stop the mini war in KZN
• Alleged political hitmen in court
• Durban Metro 'not ready' to release forensic report

The eThekwini Municipality gave in to the couple’s legal demands last week when it agreed to settle the R176-million owed to their company, Zikhulise Cleaning, Maintenance and Transport, for houses that it had built and also to honour the contract by allowing them to build the remaining 2,825 houses.

The Mpisanes will earn about R141-million for those houses.

But the couple had to give up their privilege to bypass the city’s procurement process to get back their contract.

One of the conditions of the settlement is that the company gives up all preferential rights to allow other players in the market an opportunity to bid for housing contracts.

The couple’s housing contract dates as far back as 1997 when it received the tender from the provincial Department of Housing.

The department then handed the housing project over to the municipality with a condition that the contractors be retained.

Since then the Mpisane’s have won contracts worth R300-million from the city despite complaints of shoddy workmanship and Shauwn Mpisane’s VAT fraud conviction in 2005.

In court papers opposing the Mpisane’s application for the reinstatement of the housing contract earlier this year, the city admitted that the procurement process was flawed.

In most instances it had used Section 36 of the procurement policy to bypass the normal public tender route.

The settlement was discussed during a executive council meeting yesterday while the court was expected to deliver a summary judgement on the matter.

However, Zikhulise’s advocate Alan Boulle told the court that the matter had been settled.

But Shauwn Mpisane’s legal woes are not over.

She is accused of submitting revised financial statements to SARS that understated the profit made by her company in 2008.

The State alleges that company book-keeper Kishal Reddy forged four invoices, allegedly on instructions from Mpisane, that showed inflated purchases of more than R5-million.

She faces 118 charges relating to tax evasion and fraud, and charges of contravening the Close Corporations Act by managing a business though convicted of tax fraud in 2005.

The trial will resume in October.

Comments

• Sign in or sign up to comment

Thu Jun 20 14:37:02 SAST 2013 ::

Aug 22, 2012

TKay

Talk about a slap on the face
Report Abuse

Aug 22, 2012

BEAUTYPRINCESS

Sowetan, is this the only picture you have for the couple?
Next time please use another picture
Report Abuse

Aug 22, 2012

GODESS

sbu and shawn? and the people standing emasydini? Ai ok.
Report Abuse

Aug 22, 2012

Manndudu

The article is interessting to read but the picture o kare ke ya NIGERIAN MOOVIES
Report Abuse

Aug 22, 2012

maneater

i am not sure why they would have had prefferencial treatment in the first place!!!
Report Abuse

Aug 22, 2012

thabiso992000

Balesego batho babang, or ke tsona di connection or muti at its work
Report Abuse

Aug 22, 2012

Sboro

She''ll sail through this one unscathed as well.........she did in 2005. Just a waste of time.
Report Abuse

Aug 22, 2012

hiddengold

Money talks in this case
Report Abuse

Aug 22, 2012

MsKinkyakaKamaSutra

Money can buy your toys but not CLASS (STYLE)!!
Report Abuse

Aug 22, 2012

Kabelo10

Red carpet, who is this now, KENNY KUNENE?
Report Abuse

Read all 16 comments