Tender fraud allegations: Cape Town Mayco members face calls for suspension

Mayco members JP Smith and Xanthea Limberg’s offices were raided by the police as part of a tender fraud investigation. Picture: David Ritchie / Independent Newspapers

Mayco members JP Smith and Xanthea Limberg’s offices were raided by the police as part of a tender fraud investigation. Picture: David Ritchie / Independent Newspapers

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Political parties have called for the suspension of the City of Cape Town Mayco members Alderman JP Smith and Xanthea Limberg after police raided their offices on Friday morning.

The Commercial Crimes detectives raided the Civic Centre as part of their investigations into the tender fraud matter in the construction sector within the city.

Smith, the DA leader in the metro, and Safety and Security boss, said this was a smear campaign and was politically motivated.

Limberg, the Mayco member for Energy, has remained mum.

Police spokesperson Colonel Andrè Traut said further investigations into the tender fraud in the construction sector within the City of Cape Town municipality have seen Provincial Commercial Crimes investigators descend on the municipality’s offices in Cape Town on Friday morning.

“Their presence is part of forensic investigations which emanate from a case that is running before courts. Several municipal officials and business owners are facing a myriad of charges that relate to the same investigation.”

Traut said whether the investigations the commercial crimes detective team is embarking upon now will lead to arrests remains to be seen.

“As of now, no one has been arrested. Suffice it to indicate that the team requests space to conduct its investigation. Speculation about who the investigation is directed at, seizure of items, and possible arrests, would be premature at this point,” Traut said.

Provincial DA leader Tertuis Simmers and Mayor Geordin Hill-Lewis noted the raid.

“Details are limited and we will hold back a comprehensive statement until the facts, context, and investigation details are better known. However, we are aware that no arrests have been made. We will monitor the situation closely and await further developments,” Simmers said.

The GOOD Party secretary-general Brett Herron expressed shock and called for transparency.

“The raiding of the offices of Cape Town MMCs Smith and Limberg demands an explanation from the DA and Mayor Hill-Lewis. This raid has followed a similar process to that of former Mayco member Malusi Booi.

“First the raid, then the mayor’s surprise, then his call for a briefing from SAPS. The theatre is dishonest and disrespectful.”

Brett said the mayor and the administration must have been aware of an investigation in which these two MMCs were allegedly implicated.

“Hill-Lewis has a duty to share with the public what they are under investigation for and when he became aware. The personal relationship between Smith and Limberg only adds more fuel and speculation to an unexplained fire.

“Hill-Lewis must also explain whether Smith and Limberg will be suspended, as he did with Booi, and removed from their offices. If the investigation involves city matters or corruption, then they cannot be in office.”

The Economic Freedom Fighters National spokesperson Leigh-Ann Mathys said this corruption is particularly damning, given the crisis of housing backlogs and infrastructure failures affecting the people of Cape Town.

“It is no coincidence that these allegations emerge in the same sector plagued by the ‘construction mafia’ and protection rackets.

“The EFF has long maintained that political elements are behind this phenomenon, and these raids validate our assertions. The DA’s administration has not only failed to provide leadership in addressing this crisis but has seemingly facilitated criminality and collusion at the expense of the people it claims to serve.”

Meanwhile, the ANC’s opposition leader, Councillor Banele Majingo, expressed his grave concern regarding the search.

“Equally concerning is the ongoing case involving Alderman Grant Twigg, who is under investigation by the Speaker of Council. This case is yet another example of the deep-seated political infighting and factional battles that have come to define the DA’s leadership in the City of Cape Town.

“Instead of focusing on the delivery of services and improving the lives of residents, the DA appears consumed by internal strife, which detracts from their ability to govern effectively.”

Explaining the raid, Smith said he has reasons to believe this was part of a smear campaign.

He said he was tipped off about a political ‘hit-squad’ against him.

“I was alerted to this some months back… I received recordings of meetings held by ANC politicians and SAPS.

“Having taken advice from a forensic specialist on the recordings, I have laid charges against one of the councillors, already identified. It is my intention to engage with SAPS.

“I was informed that the originators of the investigation didn’t believe they would secure any conviction but that their purpose is rather to initiate a ‘trial by media’ and seek to disgrace me in public.”

He said this would not distract him from the local government election in 2026.

In September last year, ex-Mayco member for Human Settlements, Malusi Booi, was arrested on allegations of fraud, corruption, and money laundering. The probe was about tenders totalling more than R1 billion.

He stands accused with nine others. Alleged 28s gang boss Ralph Stanfield and his wife Nicole Johnson were added to the case.

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