Gangster State

(Nora) #1

later merged with the provincial gambling board and liquor authority.^25
Sources familiar with developments say that, as with nearly all major
moves in his government, Magashule was behind Netshivhodza’s
appointment to the tourism authority.
Netshivhodza’s two companies – Ithuteng Consultancy and Harakisha
Building Construction – together pocketed more than R 30 million from
the FSHS, about R 20 million of which was received during the first
two financial years of Magashule’s reign as premier.
Like some of the other connected contractors, Netshivhodza
apparently failed to complete his houses. For instance, Harakisha was
appointed in 2010 to build 400 houses in QwaQwa. By 2013 , the
company had not finished a single one of these units, according to a
progress report. The FSHS was left with no choice but to terminate the
contract. The project was then taken over by TTC, the company owned
by soccer boss Mike Mokoena.^26
This apparent inability to finish projects seems to be a common trait
among the contractors from Magashule’s circle.
The final contractors worth singling out are owned by businessmen
Madoda Khoba and Tlale Mokgadi, both alleged to be close to
Magashule.
Khoba is based in the former homeland of QwaQwa and is said to be
one of Magashule’s closest friends in this part of the province. His two
companies, Group Two Trading Enterprise and Group YWO Trading
Enterprise, earned an impressive R 210 million in revenue from the
FSHS between 2009 and early 2018 , coinciding exactly with
Magashule’s rule as premier.
There is documentary proof that Khoba may have dished out bribes to
clear certain regulatory obstacles. Records from a court case in the

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