President Cyril Ramaphosa has authorised a Special Investigating Unit (SIU) investigation into North West Transport Investments (NTI) and its subsidiaries amid allegations of serious maladministration, corruption and irregular expenditure.
Ramaphosa signed a new proclamation and an amendment authorising the probe into NTI, North West Star and Atteridgeville Bus Service.
The investigation comes after NTI’s operations collapsed earlier this year following severe financial constraints, including unpaid workers’ salaries and the withdrawal of subcontractors.
According to SIU spokesperson Selby Makgotho, the investigation will examine allegations of corruption, maladministration and irregular expenditure, as well as seek to recover any financial losses suffered by the State or the affected entities.
The SIU will also scrutinise NTI’s procurement and contracting processes, including fuel supplied by Zentrafor Fuel (Pty) Ltd, trading as FuelU.
The investigation will further examine vehicle rental services provided under a Vehicle Rental Agreement dated 28 July 2023, as well as commuter bus services provided under a Sub-Contractor Agreement dated 7 July 2023.
The SIU will investigate the related payments made by or on behalf of NTI for these services.
The unit has also been authorised to investigate alleged maladministration involving the receipt, processing, approval and payment of claims submitted by Tansanat Coachlines and Ziggy Investments, including their joint venture.
Makgotho said the SIU would determine whether these processes complied with applicable legislation and guidelines issued by National Treasury or the relevant provincial treasury.
The investigation will also examine the conduct of the Business Rescue Practitioner appointed on 21 July 2022, as well as the actions of the practitioner’s agents and NTI employees.
The SIU will determine whether individuals or entities received undue benefits and whether such actions resulted in serious maladministration or actual or potential financial losses for NTI or the State.
The investigation comes as NTI works to restore services following months of disruption.
NTI acting Group Chief Executive Officer Dr Ntlhopeng Dikobe recently announced that operations had resumed at approximately 40% capacity after more than six months of service disruptions.
The entity currently has around 160 buses operating across Gauteng, Mpumalanga, Limpopo and parts of the North West.
