The Special Tribunal ruled that it would not be in the interest of justice to allow businessman Hamilton Ndlovu and his co-accused to retain possession of preserved assets while they appeal the asset forfeiture order in the Johannesburg High Court.
NDLOVU AND CO ASSETS REMAIN PRESERVED
In June 2022, the Special Tribunal set aside and declared invalid 19 personal protective equipment (PPE) tenders worth R172 million that were awarded to Ndlovu and his associated companies by the National Health Laboratory Service (NHLS).
READ: SIU: Businessman Hamilton Ndlovu ordered to pay back R158m
Ndlovu and the associated companies were ordered to pay back R158 million with interest. The Tribunal also ordered that the preserved properties and funds belonging to Ndlovu, Zisan Kaihatsu and Bugatti Security Services and Projects will be forfeited to the State. The properties and funds amounted to R42 million.
“The SIU and NHLS applied to the Special Tribunal to confirm that the preservation order remains operative despite an appeal by Ndlovu and others to the High Court to overturn the forfeiture order,” read a statement issued on Tuesday, 7 February.
On 31 January, the Special Tribunal ordered that the June 2022 preservation order still stands and the assets remain preserved.
Judge President of the Special Tribunal, Lebogang Modiba, found that Ndlovu and others did not dispute the serious allegations of procurement fraud. Therefore, they had no legal basis for resisting the preservation order.
“The purpose of the preservation order was to preserve specific assets and protect them against damage or loss of value pending their final forfeiture. The Special Tribunal found that it was not in the interest of justice to allow the Ndlovu and others to retain possession of the preserved assets,” said Judge Modiba in her judgement.
The Special Investigating Unit (SIU) welcomed the Special Tribunal order.
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