CITY OF CAPE TOWN RECOUP BILLIONS FROM COMPANIES IN STADIUM COLLUSION

FILE: Cape Town Stadium. Picture: capetown.gov.za

CAPE TOWN – The City of Cape Town will go ahead with plans to recoup more than half a billion rand from companies implicated in corruption involving the construction of Cape Town Stadium in the run up to the 2010 soccer World Cup.

Mayor Patricia de Lille made mention of the issue while delivering a speech at a full sitting of the city council earlier on Wednesday.

Last month, the North Gauteng High Court ruled in the city’s favour in its case against construction firm WBHO’s objection to admissions made by other companies.

De Lille has made it clear she views the alleged inflation of costs in the construction of Cape Town Stadium as “corruption”.

She says the North Gauteng High Court’s ruling paves the way for the city to claim back money.

“The city is claiming more than R500 million in damages from the construction companies.”

De Lille says city’s also going after construction companies involved in CT Stadium corruption to recoup R500 million. XK

De Lille also disagrees with national government’s decision to reach a settlement with the companies.

African Christian Democratic Party councillor Grant Haskin has suggested the implicated firms be barred from bidding for future city contracts.

But De Lille says the municipality has to follow procedures.

-Eye Witness News

PHOTO: Cape Town Stadium. Picture: capetown.gov.za

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