The court order includes high-value assets such as a Mercedes-Benz G63 AMG, which was allegedly purchased for R2 million in cash using funds derived from unlawful activity, said NPA national spokesperson Adv. Mthunzi Mhaga. 

“The involved individuals, companies, and trusts are alleged to have engaged in a complex web of financial flows, designed to strip the Free State Department of Human Settlements (FSDHS) of its much-needed resources.”

The assets belong to the late Ignatius Igo Mpambani, his wife, Michele Mpambani, their related entities, and co-accused businessman Sello Radebe. The unit said these assets are the proceeds of criminal activities, including theft, fraud, corruption, and money laundering.

“They were able to move the proceeds of crime through attorneys, real estate agencies, and high-end motor dealers. The AFU has shown through financial flows that these properties were purchased with monies siphoned from the FSDHS.”

The preservation order follows a previous restraint order valued at R300 million, granted by the same court in September 2020 in relation to the same asbestos scandal. Mhaga emphasised that this latest order is critical in safeguarding the assets in question.

“The preservation order will effectively put a freeze on and thwart any efforts to dissipate the very assets sought to be preserved, as this will provide for the subsequent forfeiture of these proceeds of crime to the state,” he said.

He said this move aligns with the recommendations of the State Capture Commission, which called for the recovery of public funds misappropriated through contracts awarded under the Free State Asbestos Eradication Project.

Meanwhile, the broader criminal trial linked to the scandal continues in the High Court in Bloemfontein. The accused include high-profile figures such as former ANC Secretary General and Free State Premier Ace Magashule, his former personal assistant Moradi Cholota, former Human Settlements MEC Olly Mlamleli, and businessman Edwin Sodi.

The accused appeared on Wednesday (14/5) on charges ranging from fraud and corruption to contraventions of the Public Finance Management Act and asbestos safety regulations. 

During the commencement of a trial within a trial, Judge Phillip Loubser allowed Magashule’s legal team to cross-examine a state witness regarding the legality of Cholota’s extradition from the United States.

However, Loubser cautioned that he is not to ask questions on the merits of the case, limiting the cross-examination to whether the High Court has jurisdiction to prosecute Cholota. 

The judgment followed arguments by Magashule's legal counsel, Adv. Laurance Hodes SC, who claimed Cholota was ambushed and coerced into implicating Magashule.

The ruling was welcomed by state prosecutor Adv. Johan de Nysschen, who described it as a cautious decision, granted a limited line of questioning.

OFM News/Kekeletso Mosebetsi mvh