The Special Investigating Unit (SIU) in South Africa has been given the green light to sell a Ferrari SF90 hybrid supercar belonging to tender tycoon Hangwani Maumela for not less than R9.5m. The proceeds from the sale will be deposited into interest-bearing accounts and can only be used with the approval of the SIU. This development comes after the Pretoria high court dismissed an urgent application by Maumela and the trustees of the MHR Maumela Family Trust, who sought to prevent the sale of the vehicle.
The Ferrari SF90 Stradale is subject to a preservation order and is believed to have been purchased with proceeds from the alleged looting at Tembisa Hospital. Maumela is accused of being the kingpin in a scandal involving the looting of over R2bn through procurement processes. The court found that Maumela and the trust had not demonstrated a clear right to stop the sale, nor had they shown reasonable prospects of success on appeal or established that they would suffer irreparable harm if the sale proceeded.
Judge Stefan Maritz excused Maumela's failure to comply with prescribed forms, service, and time limits under the uniform rules of court and the division's practice directives. The judge condoned the late delivery of Maumela's further supplementary affidavit and admitted the further affidavits delivered by Maumela and the first respondent after the hearing. Maumela had accused the curator of acting in bad faith by giving an undertaking to sell the vehicle while the appeal was pending.
In a statement released after the judgment, SIU spokesperson Selby Makgotho said the court's decision affirms the principle that preserved assets can be managed practically to protect and preserve their value during legal proceedings. The spokesperson added that the high court recognized the ongoing storage, insurance, and maintenance costs could erode the value of the preserved estate, while the sale proceeds would remain secure and available pending the outcome of the litigation.
Makgotho emphasized that the judgment is a significant affirmation of the preservation and civil recovery mechanisms available to the SIU through the Special Tribunal. These mechanisms aim to prevent the dissipation of assets that are the subject of corruption investigations and related civil proceedings. The SIU is committed to investigating serious allegations of corruption and maladministration, recovering losses suffered by the state, and ensuring assets linked to unlawful conduct are preserved in the public interest.
Several other luxury vehicles, including Aston Martins, Ferraris, and a Bentley, are also subject to a preservation order granted in October last year. The SIU has attached eight properties with a combined estimated value of around R175m. The unit's efforts are part of a broader investigation into corruption and maladministration in South Africa.
The South African Revenue Service had previously slapped Maumela's mother, Mboneni Benedicta Maumela, with R39.9m in new assessments, including penalties and interest, regarding the 2017 to 2023 tax years. The sale of the Ferrari SF90 hybrid supercar marks a significant development in the ongoing efforts to recover assets allegedly linked to corruption and maladministration in South Africa.
Key points
- The Pretoria high court has dismissed an urgent application by Hangwani Maumela to block the sale of his Ferrari SF90 hybrid supercar.
- The Special Investigating Unit (SIU) will sell the Ferrari SF90 hybrid supercar for not less than R9.5m, with proceeds deposited into interest-bearing accounts.
- The sale is part of a broader effort to recover assets allegedly linked to corruption and maladministration in South Africa.
