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LTE Consulting housing corruption scandal

Dear Johannesburg

The Democratic Alliance (DA) in Gauteng is calling on the Gauteng Premier, David Makhura to ask the Special Investigating Unit (SIU) to urgently investigate the Gauteng housing project corruption scandal involving LTE Consulting.

The DA has learnt through media reports that LTE Consulting has been paid more than R938 million since 2014 for more than 25 Gauteng housing projects.

It is alleged that of the R938 million paid to LTE Consulting, records show that R224 million of those funds were for projects that LTE Consulting claims it has never worked on.

The LTE Consulting has denied that it was paid R224 million for the following projects: Diepsloot East, Simunye Extension 2 in Johannesburg and Bikoville in Hammanskraal, Tshwane yet records show that the payment was made by the department to LTE Consulting with regards to the mentioned housing projects.

LTE Consulting has been receiving lucrative government contracts from the ANC-led administrations across the province namely, Ekurhuleni and the Gauteng Department of Human Settlements.

It is also alleged that LTE Consulting has donated millions of rands to the ANC in Gauteng and its local structures.

This clearly indicates that these donations were made as a golden handshake in exchange for tenders.

A lack of financial control has been a major challenge for this department resulting in money being wasted with nothing to show for it.

The R224 million paid to LTE Consulting could have built over 750 RDP houses for our people who are desperately in need of dignified housing.

It is unacceptable for the department to pay millions to service providers when the service has not been rendered.

The DA calls on Premier Makhura to ask the SIU to investigate the Gauteng housing project scandal involving the Gauteng Department of Human Settlements and LTE Consulting.

Should LTE Consulting be found to have received these funds, then they should pay back the money and officials from the department and politicians who are implicated should face the might of the law.

Regards

Mervyn Cirota MPL
DA Gauteng Shadow MEC for Cooperative Governance and Traditional Affairs (COGTA) and Human

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