Businessperson Hamilton Ndlovu could be facing jail time after the Special Investigating Unit (SIU) filed a contempt of court application against him. The SIU claims Ndlovu, along with his associates, has failed to comply with an order to surrender assets valued at over R3 million. These assets include a luxury Mercedes Benz AMG, a Rolex watch and bracelet, as well as a road freight truck. The alleged non-compliance stems from a broader investigation into government Covid-19 procurement contracts.
The SIU’s investigation, which spanned 18 months, scrutinized over 5,400 contracts worth R14.3 billion, awarded to thousands of service providers during the pandemic. Among its findings, the SIU revealed that Ndlovu was involved in irregular procurement processes and had been awarded a R3 million tender in 2019 for the construction of a prefab laboratory in Gqeberha. Furthermore, the SIU discovered a series of financial transactions linking Ndlovu to various entities that were awarded government contracts.
According to the SIU’s court application, Ndlovu has not cooperated in disclosing the whereabouts of the listed assets. Ndlovu claims that some of the assets, such as the trucks, are owned by a separate entity, Akanni, which opposes the contempt application. The Special Tribunal has suspended any potential incarceration for 30 days to allow Ndlovu time to comply, but if he fails to do so, he could face 90 days in prison and be fined R500,000.
The SIU’s investigation also uncovered suspicious financial activity, including R42 million transferred to Ndlovu’s personal accounts from companies that had received PPE contracts. These funds were subsequently diverted to Ndlovu’s businesses, Hamilton Holdings and Feliham, raising further concerns about the legitimacy of the procurement processes and Ndlovu’s involvement in the alleged irregularities.
