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Four top officials suspended over R1.6bn prison tender

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PRETORIA — Four senior Department of Correctional Services officials, including its chief financial officer, have been suspended as authorities investigate allegations of fraud linked to the procurement of coal for prisons.

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The suspensions place scrutiny on senior financial and procurement controls inside Correctional Services after the department confirmed that the matter had also been referred to the Directorate for Priority Crime Investigation, known as the Hawks.

The officials affected are the chief financial officer, the chief director for supply chain management, a director responsible for logistics and the director of legal services. The department said the precautionary suspensions were intended to protect the integrity of its investigation and prevent possible interference with evidence or witnesses.

The investigation centres on allegations involving a coal supply tender. Subsequent reporting has identified the suspended CFO as Lebogang Marumule and placed the value of the procurement at more than R1.6 billion, substantially raising the public interest stakes surrounding the investigation.

Correctional Services has not, however, established that any of the suspended officials committed fraud. Precautionary suspension is an administrative measure and the allegations remain subject to investigation.

National Commissioner Makgothi Samuel Thobakgale said the department had adopted a zero tolerance approach to fraud, corruption and maladministration, arguing that such conduct undermines public confidence and the department’s mandate.

The department has commissioned a forensic investigation to establish the extent of any possible irregularities and said a criminal case had been registered with the Hawks.

What remains unclear is significant. Correctional Services has not publicly detailed the conduct underlying the fraud allegations, identified the companies involved in the coal procurement or explained whether payments were made under the tender before the investigation began.

Those questions matter because the investigation reaches into some of the department’s most important financial and governance functions. The CFO and senior supply chain officials occupy positions responsible for oversight of public expenditure and procurement, while the involvement of a senior legal official broadens scrutiny beyond the officials directly responsible for purchasing.

The case also places two processes in motion. Internally, the forensic investigation will have to determine whether procurement rules or other controls were breached and who, if anyone, should be held accountable. Separately, the Hawks investigation could determine whether the available evidence supports criminal charges.

Until those investigations are completed, the suspensions remain precautionary and should not be interpreted as findings of guilt. But the scale of the reported procurement and seniority of the officials involved mean the outcome could have consequences well beyond the four officials currently removed from duty.

Anyone with additional information can contact the press desk at press@townpress.co.za.