The Special Investigating Unit has welcomed a Constitutional Court judgment dismissing an application to appeal a High Court order bid by engineering company Mphaphuli Consulting to have the unit's report on Operation Mabone reviewed and set aside.
An investigation by the SIU found that the company - owned by Lufuno Mphaphuli - allegedly overcharged the municipality by at least R73 million after costs skyrocketed as the municipality twice amended the contract - bringing the total number of houses to be electrified to 19 000, at a cost of at least R326 million.
"The SIU welcomes the decision of the Constitutional Court, as it now settles the question of whether the SIU was empowered to investigate the electrification of villages under Greater Tubatse Municipality and paves the way for the civil claim against the engineering company to recover approximately R76 million to commence in the Limpopo High Court," the SIU said.
"However, the terms of the contract were changed to increase the pricing of the services by more than R5 000 than what was charged in Vhembe resulting in an overpayment of approximately R76 million. The SIU instituted a civil claim in 2017 in the Limpopo High Court to recover financial losses suffered by the Municipality following the conclusion of its investigation.