This follows after the suspect was arrested in Klerksdorp in the North West on Tuesday for his alleged involvement in the massive looting of the now defunct VBS Mutual Bank, wherein Mahikeng illegally invested R92 million of taxpayer’s money.

OFM News previously reported that four troubled municipalities in the province - including the Mahikeng Municipality - illegally invested R314 million of taxpayers’ money with the bank.

Hawks national spokesperson, Katlego Mogale, said the suspect is alleged to have received bribes to the tune of R1.7 million between 2017 and 2018. Mogale would not say if more arrests are imminent.

The suspect allegedly received gratification in the form of credit facilities for the purchase of two high-powered vehicles and property in Klerksdorp amounting to over R1.7 million between 2017 and 2018.

“Mahikeng is one of the 20 municipalities that invested municipal funds into VBS Mutual Bank. Of the R92 million, only R7 million was paid back to the Mahikeng Municipality, and R85 million was never paid back.”

Four municipalities, including Moretele, Mahikeng, Madibeng, and Dr Ruth Segomotsi Mompati illegally invested R314 million of taxpayers’ money.

More than R2 billion was stolen from VBS, allegedly by its former chairperson, other board members, and outside companies.

The suspect appearing in court on Wednesday is the ninth to be arrested over the bank saga.

OFM News