The City of Johannesburg disbursed almost R1 million for a boundary wall at Moffat View Old Age Home that was never built, relying on falsified photographs from another site. Ward councillor Faeeza Chame exposed the fraud after resident complaints about security issues. Although funds were reportedly recovered, questions linger over procurement oversight and potential wider irregularities.
In a case highlighting procurement vulnerabilities, the City of Johannesburg paid R986,129.09 to contractor Eenbee Plumbing CC on 1 July 2022 for a boundary wall at Moffat View Old Age Home in Ward 57, south of the city. The project aimed to address resident complaints of break-ins and theft, as people jumped the existing fence to steal furniture and belongings. The wall was included in the ward's Integrated Development Plan, and the old-age home manager handled the tender through Johannesburg Social Housing Company (Joshco).
However, no wall was constructed at the site. The contractor submitted five invoices with photographs of a face-brick wall from Reuven Retirement Village, falsely presented as proof of completion. These included charges for scaffolding on a two-metre-high wall and plastering, despite the images showing no need for such work. A former Human Settlements area manager signed 'happy letters' confirming receipt, bypassing quantity surveying approvals required under municipal finance rules.
Ward councillor Faeeza Chame queried the project six months later, discovering the discrepancy during her regular visits. 'I was stunned,' she said. 'I visit the facility often and have never seen a wall.' Her challenge led to the fraud's exposure. In a 22 December 2023 letter, former MMC for Human Settlements Anthea Natasha Leitch expressed 'grave concern,' describing it as a 'brazen act of corruption' and demanding an independent forensic investigation into Joshco's work. She noted red flags like split invoices and ignored technical controls, warning, 'If such a brazen act of corruption could have occurred at Moffat View, what else has been going on?'
An internal email from Human Settlements official Zanele Malusi in September 2022 alerted Joshco chief operations officer Themba Mathibe to missing approvals, but he did not respond. Mathibe, now CEO of the Johannesburg Development Agency, was arrested on 27 January for unrelated money laundering charges involving procurement irregularities at Joshco. The Joshco board discussed possible interference in the recovery process and resolved to suspend officials and expand the probe.
The city confirmed the misrepresentation, recovered the full amount, blacklisted the Midrand-based contractor, and dismissed the responsible project manager. The forensic investigation concluded on 28 March 2024. Yet Chame and Leitch question the recovery's proof and broader systemic failures, asking how many similar unchecked contracts exist.