SCA dismisses Ledla's appeal in R139m PPE corruption case

A Mpumalanga businessman has been charged for allegedly defrauding the SA Tax Revenue Service. Stock photo.
A Mpumalanga businessman has been charged for allegedly defrauding the SA Tax Revenue Service. Stock photo.
Image: 123RF/Olivier Le Moal

The Supreme Court of Appeal (SCA) on Wednesday dismissed an application to appeal against a Special Tribunal order declaring a R139m PPE contract to Ledla Structural Development as unlawful and invalid.

The application was dismissed with costs.

In court papers last year, the SIU described Ledla as a “proxy” to Royal Bhaca, a company belonging to Thandisizwe, the husband of Kusela Diko, who was President Cyril Ramaphosa's spokesperson at the time of the Covid-19 outbreak. The company was awarded a PPE tender by the Gauteng health department.

According to claims the SIU laid out in court documents last year, the company was reported to have made an 800% mark-up on PPE sold to the government.

“The SIU investigation revealed that the [department] irregularly awarded Ledla a contract for the supply and delivery of PPE. The SIU welcomes the SCA order as an affirmation of the standing of the Special Tribunal in adjudicating matters brought to it by the SIU and the orders granted.  

“It has made it possible for the SIU to expedite the preservation of potentially illicit funds and assets and the recovery of financial losses suffered by the state resulting from corruption and maladministration,” said Kaizer Kganyogo, SIU spokesperson.

This is the second failed attempt by Ledla and its directors to appeal the tribunal order.

The order also includes ordering the final forfeiture of funds to the state in respect of R139m by the department.

TimesLIVE


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