Witness ‘could implicate himself’ in Mabuyakhulu’s R28m corruption case

Former KwaZulu-Natal MEC for economic development and tourism Mike Mabuyakhulu in the Durban high court
Former KwaZulu-Natal MEC for economic development and tourism Mike Mabuyakhulu in the Durban high court
Image: Sakhiseni Nxumalo

The first state witness in the R28m North Sea Jazz Festival  corruption case has been advised to seek legal advice after counsel realised his evidence may implicate him in fraud.

Timothy Mangwedi, who gave evidence at Durban's high court during the corruption trial of former KwaZulu-Natal MEC for economic development and tourism Mike Mabuyakhulu and his co-accused, was rolled over to Wednesday as one of the accused was reportedly unwell.

 Mabuyakhulu and the other accused — former economic development department head Desmond Golding, event organisers Ceaser Mkhize, Mabheleni Ntuli, Basil Ninela and his wife Brenda, Nothando Zungu, Ntokozo Ndlovu and Njabulo Mkhize — face fraud, money-laundering and corruption charges relating to a failed R28m North Sea Jazz Festival in 2013.

The festival did not materialise but, the state alleges, money was paid to service providers. 

 While giving evidence in court, Mangwedi was asked to stand down as the counsel believed that his evidence incriminated and implicated him in charge six, of fraud, alternatively theft, of R969,000.

Mangwedi, who is one of the directors of MPM Productions and International Projects, told the court that they came up with the idea of bringing the premium jazz festival back to South Africa.

 He said they drafted a proposal, flew to the Netherlands to present the idea to Mojo, and it was approved.

 “In the meeting, I gave input as to why Mojo should come to SA and stage another jazz festival. I was also a part of those who put together a proposal, including which cities were suitable to host — Tshwane, Gqeberha and Durban.

 “In February 2012, we managed to get a meeting with Durban Tourism and the economic development department in KZN to pitch our idea for the festival. It was a very short meeting, and Mabuyakhulu was there,” he said.

 He said around April, they were advised by Golding to work with a local KZN-based company.  Golding later introduced them to Soft Skills Communications. 

Mangwedi said Soft Skills Communications wanted a 50/50 partnership, but they objected and finally agreed to 60/40. They opened a joint-venture bank account at FNB and registered on the KZN Edtea database. 

When Mangwedi was giving evidence, the accused  kept shaking their heads and mumbling to one another.

Mangwedi said they signed a three-year agreement with Edtea worth R75m.

 The dramatic twist started when Mangwedi was giving evidence about a trip made by the joint venture and some government officials to the Netherlands for the festival’s activation event, to expose them to the magnitude of the event. 

 Mangwedi said the joint venture had presented to the department a budget of R1.4m for the activation. 

He said MPM directors and other government officials arrived earlier in the Netherlands for the activation event, while Soft Skills Communications representatives arrived on the day of the event.

Mangwedi said Zungu told them that R850,000 was paid to the Soft Skills Communications account because the joint venture was yet to be loaded on to the database.

“I don’t know how the R850,000 was paid. Zungu said the money was to be split equally, but I didn’t agree to that. I asked for R200,000 to be sent to MPM to pay suppliers who provided material used during activation, a flight ticket and accommodation,” he said. 

 It was then that the counsel told the court that Mangwedi’s evidence implicated him in count six of fraud. 

 This as the state alleges that according to count six, R969,000 was fraudulently obtained and used. 

 In that charge, a number of individuals, including Golding and Soft Skills Communications directors, are allegedly involved.

 Judge Mahendra Chetty was asked to stand down while the court deliberated on whether Mangwedi should seek legal advice. 

 Chetty told the nervous-looking Mangwedi that he was entitled to his own legal advice when giving evidence that might incriminate himself. 

“The view of the council is that the evidence you have given may potentially implicate you on count six of fraud. I am mindful that it is in the interest of the witness that he is given proper legal advice,” said Chetty.

 Chetty adjourned the matter to Thursday.  

TimesLIVE


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