ANC councillor under investigation for alleged nepotism and corruption in R29bn SANRAL highway project
Msunduzi Municipality politician Sibusiso Mkhize is at the centre of a growing corruption scandal over alleged nepotism, bribery and abuse of power in connection with the R29 billion SANRAL upgrade of the N3 highway between Durban and Pietermaritzburg.
Mkhize, the long-serving ANC councillor for Ward 14, was appointed by Mayor Mzimkhulu Thebolla to serve on the Project Liaison Committee (PLC) for the massive infrastructure project, which forms part of the government’s Strategic Integrated Projects (SIPs) initiative.
“Many of his employees are there purely because of nepotism,” a source said.
“This includes his son, Sthabiso Mkhize, and three maternal family members. This favouritism has sidelined poor, deserving, and qualified community members, fuelling widespread frustration and disillusionment.”
Local sources also allege the existence of a “pay-to-work” scheme, where job-seekers are expected to pay bribes of up to R3,000 to be considered for positions on the project. Residents of Mkhondeni and Willowfontein say they fear speaking out, citing Mkhize’s alleged connections to influential taxi bosses.
There are further claims that a company allegedly linked to Mkhize – via a friend acting as a front -is profiting financially from the highway project, raising serious concerns about conflicts of interest and procurement irregularities.
Allegations that Mkhize enjoys protection from higher municipal authorities compound the community’s fears.
“It’s a climate of fear; he appears to be shielded by municipal superiors,” one source added.
Further concerns involve Mkhize’s ownership of a company, allegedly fronted by a friend, which benefits financially from the project, raising serious conflict of interest questions and doubts about ethical governance.
In June, IOL investigations revealed that Mkhize and his wife, Nkule MaKhuzwayo, were implicated in a separate set of allegations involving payments from a contractor working on the N3 upgrade.
One source alleged that bribes exceeding R169,000 were paid into MaKhuzwayo’s bank account, with ongoing monthly transfers of R25,000.
Evidence suggests illicit dealings between local politicians and contractors which could compromise the integrity of the R29 billion upgrade connecting Durban and Pietermaritzburg.
The upgrade, part of South Africa’s Strategic Integrated Projects (SIPs), aims to alleviate congestion, improve safety, and support economic growth by expanding the freeway from four to six lanes, with plans for eight lanes at key interchanges.
The project is expected to create over 33,500 jobs and allocate R8.8 billion to black-owned enterprises.
When approached for comment, both Mkhize and his son, Sthabiso declined to respond.
Speaker of the Msunduzi Council, Eunice Majola, confirmed that the allegations are under internal investigation.
“The matter was referred to our internal audit for investigation. As the Council, we decided that it should be investigated internally. If the findings of the investigation warrant escalation, then that will happen at that time. For now, we are awaiting the outcome of the internal Audit unit which is investigating the matter into the alleged activities of Mr Mkhize.”
Earlier in June, Msunduzi Mayor Thebolla acknowledged the seriousness of the allegations but emphasised that Mkhize’s role was strictly as a municipal representative.
“He was nominated to the Project Liaison Committee by the municipality, but recent nominations have replaced him,” the mayor clarified.
“These allegations do not reflect well on the municipality.”
SANRAL spokesperson Lwando Mahlasela confirmed that the national agency was actively investigating the claims.
“SANRAL takes these allegations very seriously. We are reviewing the situation and will communicate our findings once the investigation is complete.”
The N3 project aims to improve transportation infrastructure, foster job creation, and support economic inclusion, but recent revelations threaten to undermine public trust.
Some of the opposition parties in the municipalities are calling for urgent intervention.
The EFF’s member of Council Chuma Wakeni stated, “The matter has been referred to the ethics committee, but delays are damaging the municipality’s reputation. We need decisive action.”
The ACDP’s Rienus Niemand added, “The SIU is investigating allegations of a widespread racket involving selling jobs and extortion.
“Low-level jobs are sold at R500, and prices increase with job levels. Several councillors are said to be involved.
Niemand called for the “Immediate prosecution of involved individuals, which is essential to restore integrity.”
Last month, Thebolla survived an opposition-led motion to investigate his alleged role in maladministration and procurement irregularities.
The motion, which was listed under confidential items on the council agenda, draws on claims made by former municipal manager Lulamile Mapholoba during his defence against suspension proceedings early last year.
The DA had submitted a motion to Speaker Majola’s office earlier this June, calling for a probe into the mayor’s conduct. The Speaker indicated the matter would need to be presented to the full council for consideration.
In his presentation, Mapholoba accused Thebolla of making unilateral financial and administrative decisions under the city manager’s or council’s jurisdiction.
He allegedly bypassed due processes in decision-making, including the irregular awarding of contracts and authorisations involving municipal funds.
thabo.makwakwa@inl.co.za
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