Mandela Funeral Funds: R10m Buffalo City Memorial Budget Diverted to ANC T-Shirts and Politicians

R6 million+ (alleged misappropriation of the R10m budget, NPA charge sheet)

documented loss

Days after Nelson Mandela's death in December 2013, Buffalo City Metro approved R10 million for mourners' transport and memorial venues. Prosecutors allege the accused manipulated procurement so that more than R6 million flowed to service providers and onward to political purposes — including 20,000 ANC T-shirts bought for R688,560 and on-sold for R1.3 million. One accused pleaded guilty; the Asset Forfeiture Unit recovered R1.3 million in 2021; seven principal accused, including a former mayor and a later provincial Health MEC, pleaded not guilty in the Bhisho High Court in April 2022.

The Record The Evidence What Was Lost Implicated Institutions The Paper Trail

The Record

Nelson Mandela died on 5 December 2013. Within days Buffalo City Metropolitan Municipality approved R10 million to transport mourners to memorial services and to hire venues. According to the National Prosecuting Authority, ANC Amatole regional chair Phumlani Mkolo, mayor Zukiswa Ncitha, deputy mayor Themba Tinta, speaker Luleka Simon-Ndzele, councillor Sindiswa Gomba (later Eastern Cape Health MEC), supply-chain manager Thembelani Sali and others manipulated the procurement so that more than R6 million went to chosen service providers and on to political purposes. Victory Ticket CC supplied 20,000 ANC T-shirts for R688,560 which were resold for R1.3 million.

Richard Ntozini pleaded guilty and received a suspended five-year sentence and a R100,000 fine. In April 2021 the Makhanda High Court forfeited R1.3 million from Dean Fanoe, who had argued the ANC "was justified to have used Buffalo City Municipality funds for purchasing the T-shirts because the [metro] is dominated by the ANC". On 10 April 2022 the seven principal accused pleaded not guilty in the Bhisho High Court; the trial has run since. Charges are untested and the accused are presumed innocent. A widely repeated "R300 million" figure for this scandal has no primary source and is not adopted here.

The Evidence

Institutions

Sources

Sector: Local Government / Municipalities · Scope: municipal (EC)

What Was Lost

Partial conviction.

convictioncompleted2019-01-01
Richard Ntozini pleads guilty: five years suspended, R100,000 fine.
financial recoverycompleted2021-04-12
AFU forfeits R1.3m from Dean Fanoe.
R1.3m recovered.
legal proceedingongoing2022-04-10
Seven principal accused plead not guilty, Bhisho High Court.
Trial in progress.