Fin24

Nkandla: from R6m to R248m in two years

2012-11-25 15:40

Johannesburg - Fresh documents about President Jacob Zuma’s Nkandla upgrade reveal that price was never a factor as the project’s value ballooned from R6.4m to R248m in two years.

A clear picture is emerging of an ever-growing project, with more and more items being added to the public works department’s shopping basket.

And there is now, for the first time, proof that Zuma knew about the extent of the splurge.

Former Public Works minister Gwen Mahlangu-Nkabinde wrote to the president on November 5 last year, detailing her department’s work at the homestead.

The correspondence to Zuma was also signed by Hendrietta Bogopane-Zulu, the department’s former deputy minister, as well as senior departmental staff.

The project was initiated in August 2009.

A year later, Mahlangu-Nkabinde’s predecessor Geoff Doidge responded to a written question in parliament about the Nkandla upgrade, stating it would cost R6.4m in total, with R5.7m spent on professional fees.

An amount of R700 000 was budgeted for the relocation of families, site establishment and the construction of bypass roads.

A month later, a top-secret report compiled by the department’s Durban regional office estimated the project would cost “above R100m”.

An undated Public Works presentation, which is in Fin24's sister publication City Press’ possession, put the total expenditure for the department at R89m and for Zuma personally at R23m.

Zuma’s expenditure consisted mainly of the construction of two new houses, at a cost of R6.5m each, according to this document.

In September, City Press revealed the state’s “portion” of the project rocketed to R203m. Zuma’s portion, according to the regional Public Works manager in Durban, came down to R10.6m.

The letter, written in March last year, didn’t stipulate what Zuma was paying for, but previous documents indicated the president was funding the construction of two houses.

In parliament last week, Zuma said he had paid for “five additional houses”.

This raises the question of how it was possible for Zuma’s share to decrease from R23m to R10.6m, despite him building more houses for himself and his family than was previously reported.

The newest set of Public Works documents in City Press’ possession show the current cost of the project has grown to R248m.

This is money paid by the state and doesn’t include Zuma’s unknown contribution.

When Zuma spoke about a bond in parliament last week, he was referring to a home loan acquired for him by his businessman-friend Vivian Reddy.

The loan to fund the initial building of rondavels in 2000 was worth R1m.

But the president is opaque about the funding of his five new, much bigger homes.

Reddy was quoted on Monday by Durban daily, The Mercury, as saying: “I am very close to Nkandla.

I lent the president the money to pay for the first phase and he paid it back. Now he has taken a new bond.”

But he backtracked when City Press asked him for more detail concerning his support for the latest developments at Nkandla.

On Friday night, Reddy informed City Press via SMS that he had no involvement in a second Nkandla bond.

“I am not involved in the current bond nor have I contributed towards the president’s home,” he said.

Zuma’s spokesperson Mac Maharaj on Sunday reserved comment.

He told Sapa: "As you aware, the president has indicated various investigations are going on into different aspects. He has appealed to us all to await the outcomes."

- City Press

Comments
  • brad.ken.18 - 2012-11-25 15:49

    The ONLY place you should be packing your bags for is JAIL you thief!

      imran.phiri.9 - 2012-11-25 15:52

      Zuma works and gets salary .what if builds a house?camon jealous guys

      brad.ken.18 - 2012-11-25 15:54

      Cant wait for the day to see him in an orange overall! Bwahahahahaha!

      brad.ken.18 - 2012-11-25 15:58

      AND THE TROLL AWARDS GOES TO..........IMRAN!!!!!!

      deon.joubert.5 - 2012-11-25 16:12

      Crooks will be crooks!

      furlong.lubisi.7 - 2012-11-25 16:12

      @Imran. His salary is less than R2.5m a year and has been in the position for less than 5years. That can translate to less than R15m since employed.

      ramagomamd - 2012-11-25 16:19

      TSOTSI are Ur Grand Pa's & Mom's U white thiefs. Jou RAcists Rats!!! Dislike dis 4 all I care...

      piet.motsoeneng - 2012-11-25 16:34

      If you all think you are going to get a response that makes sense from Imran, you are going to wait for ever to get. Some comments a really seriously funny lol! Imran please respond and keep the show going.

      jack.blacking.56 - 2012-11-25 16:36

      @ramagomamd: That's real sad, how bored are you to troll? Your so pathetic, Get a life!!

      morne.demeillon - 2012-11-25 16:48

      Iran, go get an education please,your statement is that of a grade 5 kid.

      morne.demeillon - 2012-11-25 16:56

      What gets to me is that there is evidence of corruption, but this will take quite a couple of years before you will get any results, it any! This systems our ours are failing the citizens of SA.

      rontheogre - 2012-11-25 17:04

      Rama, the lab rules posted on you FB could have been written for the way the ANC functions! Not much hope for software engineering of the future!

      brad.ken.18 - 2012-11-25 20:35

      Hideous THIEF!!!! http://www.dailymail.co.uk/news/article-2238017/UK-gives-19million-aid-South-Africa--president-spends-17-5million-palace.html

      Montagnes.Bleues - 2012-11-25 20:47

      Even better in public http://bit.ly/UNoZqh

      charlesbronson.bronson - 2012-11-25 20:47

      South Africa's biggest liar and thief the one and only corrupted J.Zuma

      Cameron - 2012-11-25 20:50

      http://www.dailymail.co.uk/news/article-2238017/UK-gives-19million-aid-South-Africa--president-spends-17-5million-palace.html Suk on that lemon Imran!!

      handy.andy.3990 - 2012-11-26 07:46

      @imran - you obviously did not attend the math class in school where you were were tought to calculate loan repayments. The monthly repayment on R240m is roughly R1.9m, which is almost what the president earns in a year! He stole our money!!

      heathway.master - 2012-11-26 09:09

      The vast sums of public money spent at Nkandle are not in accordance with any Ministerial Handbook. Surely all extra spending is therefore clearly unjustified, and should be re-imbersed back to the Government. Why are these simple legal facts never brought into the open. If Zuma cannot privately raise R 250 million, then surely all his properties must be seized by the State, and sold off in public auction to recover some of the money due. I hope the DA picks up on this one, and finally gets the actions passed through the courts. Nixon thought that as President of the USA, he was above the law. America very quickly showed him just how delusional and arrogant he was of the country’s Constitution.

      konstabel.koekemoer - 2012-11-26 10:06

      The fact that any comments supporting Zuma always contain bad spelling and grammar without any logical argument shows that only someone with a very low IQ could support him.

      susan.paul.330 - 2012-11-26 14:09

      How is getting money from Vivian Reddy called a bond??should'nt this be called a loan or payment for some underhanded job.

  • tshepo.maaga - 2012-11-25 15:50

    Project: Nkandla luxury resort. Resident: Zumoron, countless wives

      art5SA - 2012-11-26 06:46

      Nkandlha City!!! Wonder if it too will host a Golf Open? GUPTA / Nkandlha $$$Million Open

      handy.andy.3990 - 2012-11-26 07:48

      Nkandla is a disgrace. It does not even have a golf course! No self respecting African dictator would live there!

  • zmvulane - 2012-11-25 15:50

    Nkandla24 *Yawns*

      rontheogre - 2012-11-25 17:10

      Kaspaas, he must be a be a beneficiary of corruption that drives a BMW ZANA-WP with logos paid for by the ANC, nogal.

      phaldiemeyer - 2012-11-25 20:58

      no guys, he's a beneficiary of BEE al you can BEE at other peoples expense.

      handy.andy.3990 - 2012-11-26 07:49

      That car is the funniest thing I have ever seen. Hahahahahaha!

      colin.dovey - 2012-11-26 08:25

      @zmvulane - one of yours friends tells me that sick yellow BMW has a bad backfiring problem....he says that the ANC cannot afford to service it.....

  • squeegee.pilot - 2012-11-25 15:51

    Corruption. They saw the opportunity yet forgot that they are being watched!

  • richman.ndou - 2012-11-25 15:51

    Minister Mxesi must come clean and explain without hiding behind the National Keypoint excuse

      art5SA - 2012-11-26 06:47

      Wait till you read about how the R1,5b Highway for funded!

  • surfing.sam.9 - 2012-11-25 15:56

    When will it stop.

      michael.kleber.376 - 2012-11-25 16:08

      When the masses come to their senses and vote these corrupt people out

  • LouisPVenter - 2012-11-25 16:04

    A huge scam is taking place and growing day by day. How can people in any country allow a person to be the president of the country and he is lying about basically everything he has been faced with so far. Zuma has been blamed for corruption even before he was president and here the whole world can see how he is continuing on the same path. It is a disgrace. He is stealing from the tax payers.I am ashamed of the leaders in this country and specifically the president.

  • paul.samuel1 - 2012-11-25 16:04

    For as long as the majority of our countrymen have to dig holes for a 'toilet', this kind of self interest on the public's dine is nothing short of disgusting.

  • allan.rosenberg.752 - 2012-11-25 16:06

    Nkandla Gate is my new soapie. Beats Isidingo hands down

      piet.motsoeneng - 2012-11-25 16:26

      Lol Allan, its true!

      morne.demeillon - 2012-11-25 16:51

      LOL!, Even Barker looks like a amateur against ZM

  • michael.kleber.376 - 2012-11-25 16:07

    There is nothing wrong with zuma building a house with his own money the problem is , is that he is using tax money meant to benefit the citizens of this country through housing , education etc. People must realise what does R250 MILL buy when it comes to housing considering that your average house in the suburbs is roughly between R1.2 to R1.5 million including the stand , so this put into perspective the absolute extravagance with which zuma is going to with our tax money , that is the issue its tax money it does not belong to him , he is taking money which is not his to take if broken down could be construed as theft

  • Terisah Risah RiRi Jeray - 2012-11-25 16:11

    imran either ur oblivious or stupid,reali? ?wow ur post is a joke bru

  • matshane.seleko - 2012-11-25 16:14

    All these unsettling revelations about possible reckless spending of taxpayers' money while there's an implication somewhere that it's no problem whether some people live in mud houses,because atleast they have electricity connection.Phew!

  • aroka.murombe - 2012-11-25 16:16

    Guys I'm working for transnet earning between the range of 10 to 16 obvious I'm under payed if you check the amount of job I do, anyway I don't have a problem with that but there comes that point were I check ma payslip, it has this funny figure ±21 thousand but honestly I've never saw that 21 in ma bank account which again I don't have a problem with since the tax man has took some for ma grama and yours and not forgetting the poor. But lately that does not happen it all goes straight to enkandla. And there comes 2014 they will be campaigning for ma vote. Maybe I'm blind, deaf stupid or something but ma vote will go were I think ma tax money will be well used.. Cry ma beloved country cry

      cecile.kiley1 - 2012-11-25 18:21

      Well said Aroka, well said indeed.

      handy.andy.3990 - 2012-11-26 07:51

      And that is exactly the problem. Would you not rather take the 5k a month and give it to the local orphanage? Or help your family members that are battling? But no, we build a house for one of the families riches families in South Africa! Disgusting!

  • adriaan.kroon.1 - 2012-11-25 16:18

    President.... Zuma is NO such thing! The meaning of the word clearly states he should set a "president"an example to the rest of us....... what are we still doing here??????

      mya.schultz.16 - 2012-11-25 17:13

      hehe... sweet Adriaan, but I think the word you were looking for is Precedent: any act, decision, or case that serves as a guide or justification for subsequent situations. But I completely get what you are saying and he is a terrible example to the people of South Africa, which I'm sure can be directly correlated with our rising crime and poverty.

  • flysouth - 2012-11-25 16:18

    The very man who apparently could not afford to make a loan to his son Edward (now being sued by a development bank for loans never repaid) for business purposes can afford on his salary of R2.8 million p.a. to pay 10 million or more on this project? Everyone is lying here. Then we read today of a brewing scandal in Britain, that the British govt., itself in deep financial dwang, has just given about R277 million in 'aid' to the government of South Africa for 'aids research and treatment' - is this a coincidence? - do we believe in such coincidences? The world, at least of governments has truly gone mad!

  • ryan.sthole - 2012-11-25 16:20

    Ok so he's doing it but if u change the Da won't do it instead Hellen Zille will build her own shack in soweto or khayalitsha and she will use taxis to go to work.and for thosee who are holding degrees in striking to get wat u want linyile

      reine.marais - 2012-11-25 16:40

      What gives you the right to say this? WHEN has Helen Zille shown herself to be corrupt? This is defamation of character. You should be sued for this.

      Cameron - 2012-11-25 20:50

      Stealing from the citizens! Sick on this lemon! http://www.dailymail.co.uk/news/article-2238017/UK-gives-19million-aid-South-Africa--president-spends-17-5million-palace.html

      p.borchard - 2012-11-26 08:50

      Ryan, "Ok so he's doing it" AND YOU TRY TO EXUSE THIS WITH A PIE IN THE SKY COUNTER ACCUSATION - Dude, you need to face up to the effect that all this looting is having on the country. What Hellen Zille might or might not do is not even remotely the issue here, not that there is a chance in hell that she would follow in this disgrace of a president's footsteps.

      croix.mactee - 2012-11-26 15:29

      You are living proof "ryan.stole" that 'outcomes based education' is a total flop! Shame.

  • ian.flack2 - 2012-11-25 16:20

    "National keypoint" must mean it belongs to the country and is not a home, so then, logic suggests that when he loses his Presidency he must get out of Nkandla and give the new incumbant the front door keys.............

  • Daniel Nunes - 2012-11-25 16:23

    Yep, and yet the idiots will follow him always. And they wonder why they go hungry hahaha Eish!!!

  • Gert van Coller - 2012-11-25 16:24

    This joke of a president has managed to avoid drawing the 'go to jail' card for how many years now. Hopefully not forever. It should be declared a public holiday when he's finally told to 'Go to jail, go directly to jail, don't pass start, and give back your R200m set of Nkandla keys

  • barend.wasserman - 2012-11-25 16:26

    More corruption Who said a few months ago that the anc should not be called a corrupt party? Every sector filled with anc officials seems to be corrupt beyond control. Eating the country's money as far as they go while the poor, homeless and jobless people are suffering. Shame on the CORRUPT anc. I hope they loose more and more votes and faith in the future youth.

  • craig.lott.589 - 2012-11-25 16:30

    If I understand this correctly - a crime has been committed here. There is apparently evidence that State money has been used for self interest, or, enrichment. Can the president now be charged? Who is going to charge him? Can any tax payer go to the SAPS and lay a charge? If so, why aren't the DA, and half the bleater's on this site taking civil, or even criminal action against the President for this crime?

      Adeeb Saban - 2012-11-25 16:55

      Can't happen, ANC have a 2/3 majority, only way the pres gets recalled is if the 5000 ANC delegates decide so at Mangaung. As for corruption and criminal charges, won't happen, he sidestepped over a hundred charges the last despite a prima-facie case of corruption against him...... My advice, make enough money for yourself, dodge taxes if u can, and then take ur loved ones and relocate....

  • antoinette.dutoithooghiemstra - 2012-11-25 16:34

    The other day i received an sms from SARS saying thank you for my tax contribution and stating I should visit www.sars.co.za to see how my tax contribution is enriching the lives of others. I wonder when they wil add the pictures of our honerable presedent Mr. Zuma's homestead on the SARS website...just asking...

      thabo.modiba.7 - 2012-11-25 17:05

      You mean this one : Dear Taxpayer, thank you for your tax contribution that's touching people's lives. Go to sars.gov.za to see their stories of hope and achievement. Regards SARS

      michael.kleber.376 - 2012-11-25 18:08

      well you sure are touching jacobs life 250 million times doesn't it make you feel good ,

  • marika.oliphant.5 - 2012-11-25 16:36

    I'm dissappointed by you Mr president.what a liar.I don't comprehend why people are so obsessed about you .you are teaching us that corruption is a norm in SA.you have just said to us we must freez our bonuses;I wonder was that for financing Nkandla. What one can learn from you as individual?

  • adriaan.kroon.1 - 2012-11-25 16:36

    Zuma... you could have built at R35000 cost for a RDP house more than 7000 houses???? And the R32 bilj that is unaccounted for another 1000 000 houses!!! Keep on voting ANC and stay in shacks and stay hungry with NO service delivery! Your government is stealing you blind!!!!

      gary.doyle.520 - 2012-11-25 16:42

      You make a good point adriaan but unfortunately our goverment can't understand logic or reason. The seeds of entitlement to everything are to deep in them and it's poisening a nation.

  • winifred.watson.9 - 2012-11-25 16:37

    Nkandla reeks of corruption and stinks to high heaven. That people will want to put their integrity on the line for a liar who will eventually take them down is really amazing. Once a thief always a thief and you will die a thief.

  • adriaan.kroon.1 - 2012-11-25 16:37

    .....then you blame apartheid and the whites....sic

  • selma.botha.9 - 2012-11-25 16:37

    If the 700 charges against the president are reinstated and he is found guilty he can spend the rest of his days in house arrest at the Nkandla compound.

  • emmanuel.baloyi.75 - 2012-11-25 16:39

    yah neh!our tax money.thise guy is taking south africa to africa

  • William Mohlolo - 2012-11-25 16:49

    We condemn and not supporting what Zuma is doing about our tax money. But really is this goin to the be weekly news? We calculated more than we can even count. Its boring now please give us something new or progress on this issue.

      handy.andy.3990 - 2012-11-26 07:53

      YES, UNTIL IT STOPS!

      colin.dovey - 2012-11-26 08:28

      Until Zuma goes to prison?

      croix.mactee - 2012-11-26 15:37

      As long as the looting continues, so will the criticism. Which part of that is hard for you to follow?

  • piero.mendace.5 - 2012-11-25 16:51

    Maybe the ANC should set up a committee to investigate... :).

  • Gareth L Pieterse - 2012-11-25 16:54

    Can of worms guys. All our favourites will come back now. You can actually retire from playing golf and go to prison, and not the other way around! Only in SA..

  • dolphindunes.guesthouse - 2012-11-25 16:56

    As you aware, the president has indicated various investigations are going on into different aspects. He has appealed to us all to await the outcomes." Zuma should have nothing to do with the investigations, neither the State. Get independent auditors for this one.

  • ike.jakson - 2012-11-25 16:58

    Down our way the people are asking for little HOP houses costing R 50 000 a piece but the Municipality says there is no money for it. But, comes voting time, they all vote the ANC. Isn’t that ironic?

  • owen.nxumalo.3 - 2012-11-25 17:01

    Dear President Zuma. Don't think that your people hate you. Remeber how much they(people) together with the media defended you during the your corruption allegations trials. Do you in your full sense think poeple are fools. You have involved yourself in a lot of questionable behaviour, and you expect the very same people that you lead to smile and watch you undermine the country's freedom? Do you expect sensible people to stand and watch you run the down? President, you have done enough damage to your image, if you were a genuine leader, you would not even make yourself available for nominations in Mangaung. Do yourself a favour, give others a chance, and apologise to the nation for the way you misrepresented democracy.

      Gareth L Pieterse - 2012-11-25 17:20

      Well put. You've just stated very eloquently what we're all thinking.

  • kosmonooit - 2012-11-25 17:01

    And this is just some of the visible plunder. We can only speculate as to what else has taken place, and how many Zulu palms did Mr Reddy grease ...

  • Orapeleng Edgar Monnaoapula - 2012-11-25 17:22

    is this a continuous heredity? i definitely see the likes of Mobutho Sese Seko nd Idi Amin in making...sies!!

  • jonas.mbedzi - 2012-11-25 17:25

    Preshident zooma is only thinking of hismself not about others.if elected unopposed he will do more harm dan gud,everything will be about him(zooma) marriage

  • leon.delange.3 - 2012-11-25 17:28

    you fat ugly thief you are fired

      phaldiemeyer - 2012-11-25 20:37

      also known as zuma and his 40 thieves, an appointed not elected shadow of a president!!!

  • rory.n.price - 2012-11-25 17:39

    Come on guys where is your loyalty, 5 wives, yip, 5, 22 odd children, how on earth do you expect him to fit them all into one house, R280 odd million is peanuts to a politician in SA, a lot are billionaires in there own right

  • zolisa.dlokovu - 2012-11-25 17:40

    I am not sure whether I trust the law enforcement agencies and other institutions that were established during Mandela- Mbeki administration. Under this current leadership these institutions such as the office of public protector,office of auditor- general, human rights commission,NPA and others are under a lot of political pressure. They are not independent anymore. The public broadcaster(sabc) is also under a lot of pressure to promote the activities of the current leadership and destroy the..

  • talana.malherbe - 2012-11-25 17:41

    What worries me is how is the ANC government not aware or in control of such a huge amount being used???? Why didn't our government who cares so muc about the poor stop their comrade with this waste and unnecessary expenditure, plainly, why didn't they speak up?

      lacrimose.wolf - 2012-11-25 18:20

      It was the same with SCAMRAL. The e-toll project costs went up by 190% from 2010-2011. Despite much coverage in the media at the time, this was denied(!) and clever tricks were used about excl VAT. At the end of the day, they managed to persuade the courts to make the costs secret - and force the citizens to foot the bill. De ja vu

  • lacrimose.wolf - 2012-11-25 17:45

    There aren't enough adjectives for what is wrong with the whole Nkandla deal but for those who are still not outraged, perhaps knowing that we still get *foreign aid*, might help shift your perceptions. http://www.dailymail.co.uk/news/article-2238017/UK-gives-19million-aid-South-Africa--president-spends-17-5million-palace.html

  • abdul.cassiem.9 - 2012-11-25 18:02

    Oh man!!! Zuma an his supporters thy r realy goin all out tellin the DA cme 2014 it will b a walk in t park

  • Bernadette Berney Phillips - 2012-11-25 18:20

    Question: When(soon) he is no longer president, will the people that have been relocated to new homes, at the expense of the taxpayer, be demanding their ancestral land back?

  • kevernet - 2012-11-25 18:23

    All of this is well documented in the Schabir Shaik trial. I'm sure Schabir Shaik took the fall because as it's documented, he wanted to distance himself on what was going on with the property. This property is just a sink-hole for monies received for favours and payback. And Schabir Shaik received many a government tender. Just look up on wikipedia. Basically Money laundering.

      imran.phiri.9 - 2012-11-26 06:42

      Zuma Innocent until proven guilty by the court of law

  • daniel.w.gie - 2012-11-25 18:53

    what exactly is anyone going to do once his kingdom is complete. You can threaten all you want ....its going to get you no where . The rich and connected , will score and benefit .... The places are built , he will get his 2 nd term , this is Africa ....

  • sammyto.sammytoss - 2012-11-25 18:59

    Good day poor people! Two weeks ago we have seen demolitions of houses at Lanasia, but our president still busy stealing our money. I thing is time to go to Nkandla to demolition those houses just like Lanasia's houses. Minister of housing,public work and financial it's time to go to Nkandla, because president stealing from our Tax.

  • brad.ken.18 - 2012-11-25 20:28

    FACTS!!!!!! http://www.dailymail.co.uk/news/article-2238017/UK-gives-19million-aid-South-Africa--president-spends-17-5million-palace.html

  • phaldiemeyer - 2012-11-25 20:43

    people we have all forgotten, he was a default appointment and not elected into office hence his bad track record, his flippen clueless and he doesn't give a hoot about the poor!!!

  • dlokolo.lwando - 2012-11-25 22:31

    guyz we are not saying our President must not build himself or spoil himself.becoz the guy is working he get paid just like any employee and he even pay others. but this is not right a house costing R248m I don't think he must use that kind of money to fulfill his necessity's what about the Public services that are not being meet.

      handy.andy.3990 - 2012-11-26 07:57

      and you, today with these facts, have an ANC logo as you profile pic? I'd be so ashamed, even a Nazi emblem is better than that modern day symbol of corruption and demise of the poor. Disgusting.

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