STATE Security Deputy Minister Zizi Kodwa has denied that payments and loans he received from former EOH manager Jehan Mackay were meant to influence state tenders.
Kodwa appeared before the State Capture Commission on Monday to explain a series of payments that trickled into his bank accounts at a time the JSE-listed EOH was bidding for lucrative government tenders.
The deputy minister and City of Johannesburg mayor Geoffrey Makhubo were singled out in a forensic probe by Steven Powell, ENSafrica lead investigator, who probed EOH’s tender irregularities.
The probe showed Kodwa allegedly received over R2 million in payments and luxury accommodation from EOH while the company was bidding for government tenders.
It also emerged that Kodwa received an R1 million loan from Mackay and used the money to buy an R890,000 Jeep, and to date, he has not paid back a single cent.
“Payments into my account from a friend carried no intent on my part to be corrupt. While I vehemently deny that such payments were quid pro quo for anything, I am not unaware that such payments carry with them a perception of abuse of our position of power,” said Mackay.
“These payments to me or the ANC were not corrupt or designed to influence any tender process or encourage any unlawful acts by our members who work within the state.”
Kodwa told the commission that he never facilitated corruption with Mackay, however, he admitted to receiving loans of R800 000 and assistance of R250 000 from his friend, Mackay.
Kodwa told the commission that he had an agreement to repay Mackay when he gets a better job and there was no discussion of interest on the loans.
He admitted that Mackay’s assistant offered to him, including accommodation and catering, may seem extravagant and excessive.
“I confirm that there was nothing untoward in his allowing me to visit his home or to spend a night any any of his properties, He specifically demanded no payment for the time I spent at any of his homes,” said Kodwa.
Evidence leader advocate Matthew Chaskalson characterised the relationship between the politicians and EOH as “corrupt” at the time he questioned mayor Makhubo.
Chaskalson asked Kodwa: “If you were in financial difficulties, why did you buy a R800 000 car?”
To which Kodwa replied: “That is a wisdom we can debate.”
- Inside Politics
