Former police commissioner’s R54 million fraud case postponed

The Pretoria Specialised Commercial Crime Court has rescheduled the R54 million fraud and corruption case against former acting police commissioner Khomotso Phahlane and his co-accused for 3 July to allow for disclosure and transfer to the Pretoria Regional Court.

Additionally, the state has been instructed to provide a pending document to one defence attorney by 17 May.

Phahlane, along with Lieutenant-Colonel Godfrey Mahwayi, Major-General Maanda Obert Nemutandzhela, Major-General Mankosana Agnes Makhele, and businessmen Inbanathan Kistiah and Avendra Naidoo, face charges including fraud, corruption, theft, and contravention of the Public Finance Management Act (PFMA) in connection with two contracts valued at approximately R54 million.

Former police commissioner Phahlane and co-accused face fraud charges

The case, which stems from incidents dating back to October 2015 during the #FeesMustFall protests, alleges that Phahlane and his co-accused were involved in illicit procurement activities related to the unrest.

Specifically, it is claimed that the South African Police Service (SAPS) Crime Intelligence Division hastily procured software tools, including RIPJAR and Daedalus, intended for monitoring social media and encrypting communications.

According to Henry Mamothame, the spokesperson for the Investigating Directorate, the court proceedings shed light on the questionable circumstances under which the contracts were awarded, with allegations of favouritism and collusion among the accused and affiliated companies.

Notably, it was revealed that the procurement of the RIPJAR software involved a company unrelated to software engineering but rather a security alarms and surveillance cameras provider. This revelation raised suspicions of cover quoting and improper influence in the procurement process.

Daedalus software procurement raises concerns

Furthermore, the procurement of the Daedalus software raised additional concerns, as it was expedited through deviation from standard procurement procedures.

“Another mobile communication encryption software known as Daedalus, which was solely used for encrypting calls and wiping out cellphone records and messages, was procured through deviation from standard procurement processes, with the contract signed on the same day and payment made on December 22, a day after approval,” said Mamothame.

“The software was also used to encrypt voice calls made by SAPS management at the time when Phahlane was under investigation by IPID for the “Blue Lights” police tender and other irregular procurement at the time he was acting police commissioner.”

Accused granted bail despite serious charges

Despite the gravity of the fraud charges, all accused individuals are out on bail and are expected to return to court on 3 July, when the case is set to resume.