South African taxi boss Joe "Ferrari" Sibanyoni has conceded to receiving R2.29m from a subcontractor for doing no work on a R3.7bn road upgrade project in Mpumalanga. Sibanyoni, president of the South African Local and Long-Distance Taxi and Bus Organisation, made this admission at the Madlanga commission. The project in question is the Moloto Road upgrade, undertaken by the South African National Roads Agency (Sanral).

Sibanyoni's company was not involved in the project; however, he claimed to have entered into a partnership with Tengane Thomas Ntuli, who owns a company supplying aggregate stone to Sanral's R573 project. Sibanyoni stated that his involvement was necessary to meet a "30% local content" requirement for the tender. He argued that without his partnership, Ntuli would not have secured the tender as a resident of Kwaggafontein.

Despite his assertions, Sibanyoni could not provide specific regulations to support the local content requirement. Commissioner Sesi Baloyi questioned the nature of this requirement, suggesting it seemed to necessitate locals providing services in their area for payment. Sibanyoni agreed that he received R100,000 monthly for merely entering into a partnership with Ntuli without providing any services.

An affidavit from Bathabile Ntuli, director of the mining company, alleged that payments to Sibanyoni were made under duress due to fear for their lives. Bathabile cited Sibanyoni's history of operations in Kwaggafontein as a reason for their fear. According to the affidavit, it was a common practice for those who did not cooperate with Sibanyoni's demands to face danger.

Sibanyoni denied allegations of extortion, despite his admission of receiving payments for no service. He maintained that Ntuli needed his partnership to secure the tender. However, there was no documented evidence of their deal. Chief evidence leader Matthew Chaskalson pointed out the lack of paper trail to prove Sibanyoni's interest in Ntuli's company.

Sibanyoni's associate, Oupa "Bafana" Sindane, allegedly made threats to halt Ntuli's operations when payments were not made. Sibanyoni claimed that these actions were not carried out on his instruction and that he had a good relationship with Ntuli. He denied making threatening messages or stopping Ntuli's operations.

The Madlanga commission will continue its investigation into the allegations against Sibanyoni. Sibanyoni faces criminal charges of extortion, with allegations that he is part of an extortion cartel. The commission's findings could have significant implications for Sibanyoni and his role in the South African taxi industry.

Key points

  • Sibanyoni received R2.29m for no service in the Moloto Road upgrade project.
  • Sibanyoni denied extortion allegations despite admitting to receiving payments.
  • The Madlanga commission will continue investigating allegations against Sibanyoni.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.