President Cyril Ramaphosa has authorised the Special Investigating Unit (SIU) to probe alleged serious maladministration, corruption and irregular expenditure at North West Transport Investments SOC Ltd (NTI), its wholly owned subsidiary North West Star SOC Ltd (NSL), and Atteridgeville Bus Service SOC Ltd (ABS), the SIU said on Monday.
Scope of the probe
The proclamation directs the SIU to examine procurement and contracting processes linked to a number of specific suppliers and contracts, including fuel supplies, vehicle rentals and commuter bus services. The unit will also investigate how claims were received, processed, approved and paid by the NTI, and whether those processes complied with applicable legislation and Treasury guidelines.
"The President has directed the SIU to investigate the affairs of the NTI, its wholly owned subsidiary, North West Star SOC Limited [NSL], and the Atteridgeville Bus Service SOC Limited [ABS], which is also a wholly owned subsidiary of NSL," the SIU said.
The SIU statement lists the primary areas and agreements to be examined:
- Fuel supplied by Zentrafor Fuel (Pty) Ltd, trading as FuelU.
- Vehicle rental services provided under a Vehicle Rental Agreement dated 28 July 2023.
- Commuter bus services under a Sub-Contractor Agreement dated 7 July 2023, and the payments made for these services.
- Receipt, processing, approval and payment of claims submitted by Tansanat Coachlines (Pty) Ltd, Ziggy Investments CC, and the Tansanat–Ziggy joint venture.
Business rescue and benefit checks
The SIU has been authorised to investigate whether actions taken by the Business Rescue Practitioner appointed on 21 July 2022, that practitioner's agents or NTI employees led to individuals or entities receiving undue benefits. The probe will assess whether any such conduct amounted to serious maladministration or caused actual or potential losses to the NTI or to the State.
Why this matters locally
NTI is the provincial public entity charged with coordinating certain commuter and transport services in the North West. Allegations of irregular expenditure and improper contracting can have direct consequences for commuters who rely on subsidised routes, for the provincial fiscus and for the thousands of employees and contractors whose livelihoods depend on transparent procurement processes.
For workers and communities in towns across the province, an SIU probe raises immediate concerns about service continuity and the fate of contracts and claims currently under dispute. The SIU's mandate typically includes recovering losses for the State, which can lead to civil action and referral to criminal investigative units if evidence supports such steps.
Details at a glance
| Item | Entity / Date |
|---|---|
| Fuel supplier | Zentrafor Fuel (Pty) Ltd (FuelU) |
| Vehicle rental agreement | Agreement dated 28 July 2023 |
| Commuter bus sub-contract | Sub-Contractor Agreement dated 7 July 2023 |
| Claims under review | Tansanat Coachlines (Pty) Ltd; Ziggy Investments CC; Tansanat–Ziggy JV |
| Business Rescue Practitioner appointment | 21 July 2022 |
Wider SIU activity
The proclamation concerning the NTI comes alongside an amendment to an SIU investigation into the eThekwini Metropolitan Municipality’s Security and VIP Protection Services, extending that probe and broadening the procurement aspects under scrutiny. The SIU confirmed the President signed both the new proclamation and the amendment authorising the expanded investigations.
SIU spokesperson Selby Makgotho said the unit is mandated to recover any financial losses suffered by the State or the institutions under investigation. The enquiries will also consider whether Treasury guidelines were breached.
What to expect next
SIU investigations can be protracted. They typically involve forensic review of contracts and payments, interviews with officials and service providers, and analysis of compliance with procurement legislation and Treasury regulations. Where evidence of wrongdoing is found, the SIU may seek civil remedies, recommend disciplinary action or refer matters to criminal investigators such as the Hawks.
Provincial officials, NTI management and the named service providers will be expected to cooperate. For commuters and employees, the immediate concern is continuity of services and clarity on outstanding claims and payments; the SIU's public statements suggest the unit will assess those payments closely.
This investigation places the spotlight on governance at a key provincial transport entity and could have fiscal and operational consequences for the North West if maladministration or irregular expenditure is confirmed.
