By Johnathan Paoli
Suspended City of Tshwane chief financial officer (CFO) Gareth Mnisi has pushed back against claims that Gubis85 Solutions was paid millions without doing any work, telling the Madlanga Commission that there is evidence the company did render services to the municipality, even as he conceded that questions remain over why some invoices went unpaid.
Appearing before the commission of inquiry on Friday afternoon, Mnisi’s testimony directly contradicts that of former EMPD Deputy Commissioner Revo Spies, who previously told the inquiry that Gubis85 Solutions received more than R59 million over a 12-month period “without performing any services”.
“There was work that Gubis85 did. Evidence exists to prove that Gubis85 had rendered services to the city; however, the outstanding question pertains to the non-payment of invoices,” Mnisi said.
At the centre of the dispute is whether the company legitimately carried out ad hoc work for the Tshwane Metro Police Department (TMPD), and if so, why payment processes appear to have been inconsistent and contested within the municipality.
Mnisi denied ever meeting Calvin Mahlangu, the owner of Gubis85 Solutions, but confirmed that the two had spoken telephonically after Mahlangu sought intervention over outstanding payments.
“He contacted me seeking assistance with resolving outstanding payments related to ad hoc services rendered to the City of Tshwane,” Mnisi said.
According to his testimony, Mahlangu warned during the call that he would consider legal action if the matter was not resolved.
“He indicated that the city owed his company a significant amount of money and that he intended to pursue legal action if it was not resolved,” Mnisi told the commission.
Mnisi said he informed Mahlangu that the finance department had no record of outstanding claims and referred him back to the TMPD for further assistance.
The call was allegedly overheard by SAPS Gauteng Organised Crime Sergeant Fannie Nkosi, who has been repeatedly linked in evidence to alleged tender manipulation involving Gubis85 and two other companies, Triotic Protection Services and Ngaphesheya Security Services (a company owned by Nkosi’s brother, Bheki Nkosi).
Mnisi confirmed Nkosi’s presence, adding that the officer later took it upon himself to intervene in the dispute.
“Sergeant Nkosi took it upon himself to intervene and speak to [TMPD Deputy Chief] Umashi Dhlamini regarding the unpaid invoices,” Mnisi said.
This intervention, he explained, exposed a deeper administrative dispute within the municipality.
“There was a standoff as to where payment should come from, TMPD or the water and sanitation department,” he said.
The commission heard that TMPD had already been operating under a deviation, opting to use a panel of 22 pre-approved companies rather than sourcing new service providers, a decision that forms part of the broader scrutiny into procurement processes.
Mnisi maintained that he had no improper relationship with any of the individuals involved and denied receiving any financial inducements.
“I didn’t get any inducement or a bribe. My relationship with Umashi Dhlamini is professional, and we don’t share any business interests,” he said.
Commission chairperson Mbuyiseli Madlanga sought to clarify how services were commissioned and paid for, focusing on the municipality’s use of purchase orders.
Madlanga noted that purchase orders typically specify the required services, including personnel, vehicles, and associated costs, before work is undertaken.
Mnisi elaborated on the process, stating that under the service level agreement, TMPD first issues an allocation or deployment letter outlining deliverables.
“The allocation letter from TMPD, in accordance with the service level agreement, specifies the required deliverables. A deployment letter is issued, and upon completion of the work by the service provider, a purchase order is subsequently generated,” he explained.
The commission also examined broader procurement rules, including the 90-day bid validity period.
“Bids must be finalised within 90 days. They then have a discretion to indicate whether 90 days is probable… they can make an extension beyond 90 days. It’s a law,” Mnisi said.
Evidence leader advocate Matthew Chaskalson signalled that legal precedents require all bidders to be notified when this period lapses, though he indicated that issue would be addressed later.
Beyond the Gubis85 matter, Mnisi used his testimony to defend the integrity of the city’s procurement systems, outlining a multi-layered process involving pre-compliance checks, administrative reviews, mandatory requirements, and a preferential points system.
He emphasised the role of independent oversight through probity audits.
“By the time the Bid Evaluation Committee completes its work, probity must automatically take over the process and conduct its own work,” Mnisi said.
Despite these safeguards, the commission continues to probe how Gubis85 Solutions was paid tens of millions of rand and whether those payments were justified, irregular, or the product of manipulation involving officials and external actors.
Proceedings adjourned, with Mnisi to return to the hot seat on Monday morning.
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