Mpumalanga taxi boss Joe "Ferrari" Sibanyoni has denied entering into a corrupt deal with bus operator Putco. He testified at the Madlanga Commission that his interactions with government officials were legitimate attempts to advance the interests of the KwaNdebele community. Sibanyoni is facing cross-examination over his alleged links to organised crime, extortion rackets, and the manipulation of high-value government contracts.
Sibanyoni said Putco's chief executive approached him seeking assistance to move the company from a month-to-month contract with the government to a longer-term agreement. He said GCBS, an affiliate business company, also wanted a 30% stake in the transport routes, while businesses in KwaNdebele sought a share of the contracts. Sibanyoni facilitated engagements between the Putco chief executive and government officials at an election event attended by President Cyril Ramaphosa and minister of petroleum resources Gwede Mantashe.
Sibanyoni told the commission that he had engaged with the KwaNdebele community over demands that 30% of transport routes be reserved for locals. The commission played video footage of an election event in which Sibanyoni reaffirmed his support for the ANC and called for greater government participation in service delivery. He insisted that he had never requested payment or kickbacks from Putco.
WhatsApp messages presented to the commission appeared to show Sibanyoni discussing efforts to secure the 30% allocation with an unknown government official. The messages suggested that Sibanyoni was pushing for the allocation and threatening action if it was not granted. Sibanyoni said the community wanted a subcontract from Putco to operate buses on the affected routes and acquire additional buses to service its 30% allocation.
The commission also heard about the history of Putco's government contracts. A public protector investigation into allegations of the irregular implementation of Putco's bus contract by the Gauteng department of roads and transport resulted in a report published on 31 January 2022. The public protector found that a short-term contract awarded to Putco on 26 March 1997 had been repeatedly extended, effectively becoming an "evergreen contract".
Businessman Tengane Thomas Ntuli has submitted a statement alleging that Sibanyoni and his alleged accomplice, Bafana Sindane, operated a protection racket and forced him to pay protection fees to secure mining-related contracts. Sibanyoni denied extorting Ntuli, saying they were legitimate business partners and that the payments were corporate dividends.
Sibanyoni and Sindane face criminal prosecution in a separate case involving charges of extortion and money laundering. Both men are out on R50 000 bail. The commission's investigation into Sibanyoni's alleged corrupt dealings continues.
Key points
- Sibanyoni denies corrupt deal with Putco
- Taxi boss says interactions with government officials were legitimate
- Commission investigates allegations of organised crime and extortion
