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24 May 2012
   
 
 
Article by: Sapa

Gauteng premier Paul Mashatile will face criminal charges for failing to report attempted fraud by embattled ANC spokesman Carl Niehaus, the Democratic Alliance said on Monday.

Party leader in the Gauteng legislature Jack Bloom said the DA would lay a complaint at the Johannesburg Central police station on Tuesday.

The complaint would centre around Mashatile's failure to report attempted fraud committed by Niehaus while he was at the helm of the Gauteng Economic Development Agency (Geda). Mashatile was the provincial finance MEC at the time.

Bloom said Mashatile would be charged with obstructing justice and with failing to report corruption in terms of Section 34 of the Prevention and Combating of Corrupt Activities Act which makes it an offence not to report a corrupt act to the police.

On Friday, the Mail & Guardian reported that Niehaus allegedly forged the signatures of senior Gauteng officials, including Mashatile, while he was at Geda.

The Mail & Guardian reported that the letter was an attempt to secure a loan from a businessman who had wanted favourable conditions related to Johannesburg property deals.

He also admitted to having received R70,000 from murdered mining entrepreneur Brett Kebble.

The report said that Niehaus's financial problems were caused by his "extravagant" lifestyle.

Mashatile's spokesman Percy Mthimkhulu on Monday said he was unable to comment as the premier was delivering the state of the province address.

"I am unable to comment at this point, he [Mashitile] is busy delivering his state of the province address," he said.

The Business Day on Monday reported that former Gauteng premier and Congress of the People founding member and leader Mbhazima Shilowa could also be drawn into the Niehaus saga.

However, Shilowa told the paper he knew about the incident but had not asked for "details" as the matter had been dealt with by Mashatile.

In a press briefing on Friday, African National Congress secretary general Gwede Mantashe said there was "no cover-up" on the Geda matter.


"No fraudulent transaction went through... it was stopped... the man was asked to leave," he said.

The Independent Democrats on Sunday said it had filed criminal charges against Niehaus, also over his admission that he had forged signatures in an attempt to secure a loan at Geda.

Gauteng police spokesman Superintendent Eugene Opperman confirmed that a case against Niehaus was opened at the Johannesburg Central police station.

Niehaus' resignation was accepted by the ANC on Friday, however, the party added that he would be "redeployed" to another role within the organisation.

 

Edited by: Sapa
 
 
 
 
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