Kodwa, Mackay emails used to build corruption case

Businessman Jehan Mackay, standing, and former sports minister Zizi Kodwa appearing in the Palm Ridge magistrate’s court on corruption charges yesterday Image: ANTONIO MUCHAVE

"My Brotha. I hope you are well. If it is possible please can you ask the chair to look into it [tender reference], there are games being played.”

This is the email from businessman Jehan Mackay to then ANC spokesman Zizi Kodwa in 2015, which forms part of the evidence which prosecutors will rely upon to prove a corrupt relationship between the two.

"Initially, we were number one then... decided to re-evaluate the bids and now it seems we are disqualified.

"The total value is about R360m. Also please don't forget to talk to the regional funding coordinator to understand what their funding requirements are," wrote Mackay, a former IT solutions firm Enterprise Outsourcing Holdings (EOH) boss.

Mackay is now the director of Tactical Software Systems (TSS).

Kodwa and Mackay appeared in the Palm Ridge specialised commercial crime court on Wednesday in the latest state capture case to nab high-profile politicians and one of President Cyril Ramaphosa’s closest allies.

Kodwa, who later on Wednesday resigned as sports minister, is said to have received R1.68m from Mackay, including payments for accommodation at some of Cape Town’s most expensive seaside villas between April 2015 and February 2016.

Among the 14 alleged payments to Kodwa are three totalling R480,000 in accommodation rental in some of Cape Town's most affluent suburbs – Clifton, Camps Bay and Fresnaye.

It is alleged that he also received a payment of R1m, a portion which he used to purchase a Jeep in Sandton, Johannesburg.

"On 28 April 2015, accused 1 [Mackay] makes a direct transfer of R1.000,000 from his FNB account...into accused 2's [Kodwa] bank account... The payment reference is NG Kodwa (ANC DONA-JM).

"On 6 May 2015, accused 2 transfers R890,000...to Tajari Motors (Pty) Ltd t/a Jeep Sandton for the purchase of a motor vehicle," reads the charge sheet in part.

"The said payment (gratification) to accused 2 was made to him in relation to the exercise, carrying out of performance of the powers, duties and functions of accused 2 within the scope of his employment with the ANC, intervene in government procurement processes to advance the interests of accused 1, TSS and EOH.

In his testimony during the inquiry, Kodwa, who claimed he was broke, said he was unaware that the luxury accommodations in Cape Town were rented out and that he believed the properties belonged to Mackay.

He said the payments were made following his requests, saying he has never been in a position to make repayments to Mackay. 

"...He insists that they were not payment made as a quid pro quo for any assistance on his part. In particular, he denies that the payments and the luxury accommodation were in any way related to the procurement of government contracts by EOH or related companies," read part of the state capture report. 

Kodwa looked subdued in the dock. His lawyer, Adv Zola Majavu,  said his client had testified at the inquiry because of his innocence and respect for law.

In his affidavit, read by Majavu,  Kodwa said: "I have no intention to interfere with state witnesses as I have no knowledge of who they are at this stage nor do I have intention of   concealing or  destroying evidence in possession of the state. Thus far I have cooperated fully with the investigation officer.

"I am not aware of the charges pertained in the charge sheet except the generalised allegations arising from my testimony in the [Zondo] commission's state capture report. I will be in better knowledge once the charge sheet has been disclosed. I intend to plead not guilty and I'm determined to attend court in all the dates as directed by the honourable court.

“I have been also made aware that my imminent arrest has been publicised in various forms of media by those who seem to know more about me than me. My constitutional right cannot be sacrificed at the alter of publications and statements by my political opponents."

Mackay's lawyer, Adv Ian Small-Smith, argued that he gave the money to Kodwa  because they are friends and it was not a bribe as the state alleges.

Both the accused claimed to be innocent and in their bid for bail, argued that they are not flight risks. 

Magistrate Sharon Soko-Rantao granted them  R30,000 bail each.

“The accused are expected to attend court until the matter is finalised. The accused should hand over their passports. The applicants should not have direct or indirect contact with the witnesses," Soko-Rantao said of their bail conditions.