THE North West human settlements department yesterday said it would ensure that the millions of rands lost in the Taung municipality housing project were recovered.
Spokesman Lesiba Kgwele said they would also get interest accumulated over the years.
MD3 Developers was awarded a contract to build 731 "low-income" RDP houses - 360 in Mokassa II in Ba GaPhuduhucwana Extension (ward five) and 371 in Ba GaMaidi (ward 13) - for more than R16-million.
But the company never delivered as per its contractual agreement, building only one RDP house in Mokassa II. This led to residents embarking on service delivery protests.
Kgwele said: "We are confident that there will be a full recovery of the money."
He said the department could not have appointed a new contractor to build houses while investigations were continuing.
"We have not seen the special investigation unit's report. As soon as we are satisfied with the results, we will act.
"The MEC [Desbo Mohono] will look at interventions and fast-track the project to ensure that our communities are not adversely affected," Kgwele said.
Ministry of Human Settlements spokesman Xolani Xundu said: "The company only completed one house in Ward 5 at Ba GaPhuduhucwana and also failed to provide the services required."
The department initiated investigations and engaged the special investigation unit last year.
The Hawks arrested the company's directors, Janice Mendes, 42, and Machiel Marais, 47, two weeks ago.
Mendes and Marais are out on R1000 and R5000 bail, respectively. They will be back in the dock on February 16.
Xundu said the department would help ensure that any person who might have defrauded government or benefited from criminal acts was brought to book.
Taung municipal manager Mpho Mofokeng said the Ba GaMaidi contract was awarded on February 1 2004, while the Ba GaPhuduhucwana contract was awarded on April 20 2004.
The company was paid more than R1-million by the municipality for both projects for pre-planning and site establishment.
"The then municipal manager Mokgadi Kgatla later got an instruction from the director of housing Hans Kekana to pay an extra R2.9-million to MD3 Developers," said municipal spokesman Charity McCord.
"The provincial housing office then took over the housing projects. The department must have paid out the rest of the monies."
Bid to recoup housing project's millions
THE North West human settlements department yesterday said it would ensure that the millions of rands lost in the Taung municipality housing project were recovered.
Spokesman Lesiba Kgwele said they would also get interest accumulated over the years.
MD3 Developers was awarded a contract to build 731 "low-income" RDP houses - 360 in Mokassa II in Ba GaPhuduhucwana Extension (ward five) and 371 in Ba GaMaidi (ward 13) - for more than R16-million.
But the company never delivered as per its contractual agreement, building only one RDP house in Mokassa II. This led to residents embarking on service delivery protests.
Kgwele said: "We are confident that there will be a full recovery of the money."
He said the department could not have appointed a new contractor to build houses while investigations were continuing.
"We have not seen the special investigation unit's report. As soon as we are satisfied with the results, we will act.
"The MEC [Desbo Mohono] will look at interventions and fast-track the project to ensure that our communities are not adversely affected," Kgwele said.
Ministry of Human Settlements spokesman Xolani Xundu said: "The company only completed one house in Ward 5 at Ba GaPhuduhucwana and also failed to provide the services required."
The department initiated investigations and engaged the special investigation unit last year.
The Hawks arrested the company's directors, Janice Mendes, 42, and Machiel Marais, 47, two weeks ago.
Mendes and Marais are out on R1000 and R5000 bail, respectively. They will be back in the dock on February 16.
Xundu said the department would help ensure that any person who might have defrauded government or benefited from criminal acts was brought to book.
Taung municipal manager Mpho Mofokeng said the Ba GaMaidi contract was awarded on February 1 2004, while the Ba GaPhuduhucwana contract was awarded on April 20 2004.
The company was paid more than R1-million by the municipality for both projects for pre-planning and site establishment.
"The then municipal manager Mokgadi Kgatla later got an instruction from the director of housing Hans Kekana to pay an extra R2.9-million to MD3 Developers," said municipal spokesman Charity McCord.
"The provincial housing office then took over the housing projects. The department must have paid out the rest of the monies."
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