Three people have been arrested in connection with an alleged fraud and corruption scheme at the Govan Mbeki Local Municipality, where a service provider was allegedly paid more than R1.5 million for goods and services that were never delivered.
The suspects are 46-year-old service provider Brutus Hlophe, 48-year-old former municipal official Caiphus Ndimande, and 65-year-old former municipal employee, Henry Swart.Hlophe and Ndimande were arrested on Tuesday, 6 October 2026, by the Hawks’ Secunda Serious Commercial Crime Investigation (SCCI) unit.
Swart, who is on pension, was arrested today after handing himself over.The investigation stems from an invoice submitted to the municipality on 5 December 2022 by J Mabhengu Construction and Transport (Pty) Ltd, represented by Hlophe, for goods and services allegedly never rendered.
READ | https://mpmirroronline.co.za/hawks-arrest-three-for-alleged-r1-8-million-sars-fraud/
The municipality made payment on 9 December 2022.According to investigators, the company had been appointed to the municipality’s panel of service providers in June 2021 on a rotational, quotation-based system through Supply Chain Management processes, with a Service Level Agreement required.
The prescribed procurement processes were allegedly not followed.The company has also been cited as an accused in the matter.The three accused and the company appeared before the Evander Magistrate’s Court facing charges of fraud and corruption in terms of the Prevention and Combating of Corrupt Activities Act (PRECCA).
Hlophe and Ndimande appeared on Tuesday, 7 October 2026, while Swart appeared today. They were all remanded in custody pending a formal bail application on Thursday, October 9.
Mpumalanga Hawks Head, Major General Nico Gerber, said the Hawks remain committed to pursuing corruption and fraud in public institutions.“Public funds must be protected and utilised lawfully for the benefit of the communities they are intended to serve,” said Gerber.
