News24 | Ramaphosa orders SIU probe into Buffalo City corruption, stalled R30m pool project

President Cyril Ramaphosa has tasked the SIU with probing allegations of serious maladministration and corruption at the Buffalo City Metropolitan Municipality and the Gauteng Department of Human Settlements.

Sharon Seretlo/Gallo Images via Getty Images

• President Cyril Ramaphosa has tasked the Special Investigating Unit with the investigation of corruption and maladministration in the Buffalo City municipality and the Gauteng human settlements department.
• Probes include stalled projects, such as Mdantsane’s R30 million swimming pool.
• The unit will refer criminal evidence to the National Prosecuting Authority and pursue civil action to recover losses.
• For more political news, visit News24 Politics.

President Cyril Ramaphosa has tasked the Special Investigating Unit (SIU) with probing allegations of serious maladministration and corruption at the Buffalo City Metropolitan Municipality and the Gauteng Department of Human Settlements.

Proclamation 350 of 2026 will see the SIU investigate several projects at the municipality and the Buffalo City Metropolitan Development Agency (BCMDA).

Among the projects are the procurement of or contracting for goods, works or services relating to a swimming pool project in Mdantsane, the appointment of First New Generation Trading (Pty) Ltd for the demolition of existing walls; the appointment of Lefito Trading, trading as Kuyasa Electrical Contractors, for the removal of the Donkin wall and palisade installation; consulting engineer services for the Water World project; and the main contractor for the Water World project.

READ | Multimillion-rand headache for taxpayers as cost of Buffalo City swimming pool skyrockets

News24 reported in April 2025 that a plan to build an Olympic-sized swimming pool in Mdantsane had turned into a financial nightmare for taxpayers.

It was reported at the time that R22.4 million was initially spent on the project, with costs later escalating to about R30 million, but construction has been stalled for many years.

The issue was also placed before the Buffalo City Metro’s Municipal Public Accounts Committee (MPAC), which found that during a site visit late last year, “operations had ceased”.

MPAC members also slammed the lengthy delay in completing the project, describing it as an example of wasteful and fruitless expenditure, with funds disbursed for work that failed to deliver any tangible value.

READ | Buffalo City metro spent R30m on a swimming pool; now it is a derelict facility with broken toilets

In a statement, SIU spokesperson Selby Makgotho said the proclamation covers conduct that occurred between 1 January 2016 and 18 September 2026.

“The SIU will investigate allegations of serious maladministration, improper or unlawful conduct by employees of the municipality and the BCMDA, and the unlawful appropriation or expenditure of public money or property,” he said.

Makgotho said the investigation would also examine any unlawful, irregular or unapproved acquisitive act, transaction, measure or practice involving state property, as well as any intentional or negligent loss of public money or damage to public property.

He added:

The SIU will further investigate payments made in connection with the above matters where such payments were not fair, competitive, transparent, equitable or cost-effective, or were contrary to applicable legislation.

Ramaphosa has also amended Proclamation 181 of 2024, which mandates the SIU to investigate allegations relating to two tenders in the Gauteng Department of Human Settlements.

Makgotho said the investigation related to the procurement of or contracting for goods, works, or services for 150 ablution and sanitation infrastructure and facilities at Sicelo Shiceka informal settlement: Phase 1 and Evaton, and 180 walk-up units at Sicelo Shiceka Extension 5.

Additionally, the amendment expands the scope of the investigation to include 100 ablution and sanitation infrastructure and facilities at Bekkersdal.

“It also extends the period covered by the investigation to include allegations of unlawful and improper conduct that occurred between 1 April 2017 and 18 September 2026,” Makgotho said, adding that in terms of the SIU and Special Tribunals Act 74 of 1996 (SIU Act), the SIU will refer evidence of criminal conduct uncovered during its investigations to the National Prosecuting Authority (NPA) for consideration and further action.

“The SIU is also authorised under the SIU Act to institute civil proceedings in the High Court or the Special Tribunal in its own name to recover losses or address wrongdoing arising from acts of corruption, fraud or maladministration,” Makgotho said.