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SIU recovers R25 million in R431m irregular COVID-19 school decontamination contracts

The Special Investigating Unit (Special Investigating Unit) has concluded settlement agreements to recover part of R431 million in irregular COVID-19 school decontamination contracts awarded by the Gauteng Department of Education.

At least 16 service providers linked to the Chachulani Group Investment Holdings matter have agreed to repay R25 million of funds previously received. The contracts were set aside by the Special Tribunal in 2022 after being found to have bypassed proper supply chain processes during the pandemic.

Investigators found that officials used informal supplier selection methods, including WhatsApp referrals, and applied arbitrary pricing instead of standard cost-based procurement procedures, resulting in inflated payments.

The SIU says it will continue efforts to recover public funds and refer any criminal conduct to the National Prosecuting Authority.

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