DPP declines to prosecute following HAWKS investigation into tender allegations

DPP declines to prosecute following HAWKS investigation into tender allegations

In a media statement issued on 14 August 2024, the President of the Alliance of Citizens for Change, Mr Masizole Mnqasela, announced that he had approached the Directorate for Priority Crime Investigation (the HAWKS) to probe allegations of criminal conduct against Councillor Clinton Lerm in relation to the awarding of tenders for the De Mond Caravan Park and Fisherhaven Lagoon sites.

The statement further called for investigations into the roles of the then Mayor, Dr Annelie Rabie, and the Municipal Manager, Dr Dean O’Neill, characterising the processes as “dodgy deals.” These claims were reportedly based on information provided by a so-called whistleblower, later identified as a former senior manager of the municipality who had served on the Bid Adjudication Committee (BAC) responsible for adjudicating the tenders. It is important to note that all BAC members are bound by strict non-disclosure agreements at every stage of the tender adjudication process.

From the outset, the municipality cooperated fully and transparently with the HAWKS’ investigation, providing all requested documentation and information, including the declarations of interest of Cllr Lerm. Notwithstanding the investigation, the municipality has throughout maintained its firm position that the tender processes were conducted lawfully, ethically, and in full compliance with applicable legislation.

Following an extensive investigation spanning nearly two years, the matter was referred to the Director of Public Prosecutions (DPP). After careful consideration of the evidence, the DPP declined to prosecute, citing insufficient evidence and a lack of reasonable prospects for a successful prosecution.

While the allegations caused significant reputational harm to the municipality, the implicated councillors, and the Municipal Manager, all parties remained resolute in their confidence that the processes would withstand scrutiny. The conclusion of the investigation, and the decision by the DPP, affirm that there was no evidence to substantiate the claims made.

The municipality welcomes the finalisation of this matter and reiterates its unwavering commitment to transparency, good governance, and the highest standards of public accountability.
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