Corruption Watch Presents Report to Eastern Cape Legislature Revealing Systemic Corruption Behind Poor Service Delivery

A recent corruption risk assessment conducted in 2025 by Corruption Watch, in partnership with community-based organizations under the Strengthening Action Against Corruption project, has concluded that poor service delivery in the Eastern Cape province stems from a deliberate, self-reinforcing ecosystem of corruption rather than mere administrative failures.

The findings were presented to the Eastern Cape provincial legislature, highlighting widespread governance shortcomings and control weaknesses in key municipal functions, including supply chain management, financial oversight, recruitment processes, procurement, tender systems, and program implementation. The report describes this corruption as orchestrated and politically fueled, creating manufactured disorder that serves as a smokescreen for misconduct such as tender fraud.

Executive Director of Corruption Watch, Lebogang Ramafoko, explained that the cycle often begins with manipulated recruitment for critical positions in finance and supply chain management. Political interests influence appointments, with examples including irregular hiring processes where rules, such as fingerprint requirements, are bypassed to favor preferred candidates. Once in place, these appointees—lacking transparency in skills and qualifications—bypass procurement protocols, enabling fraud.

The report points to severe cases, such as Macana municipality’s six consecutive disclaimed audit opinions, signaling a near-total collapse of recordkeeping that hinders forensic audits. It also aligns with ongoing investigations by the Special Investigating Unit (SIU), including probes into R24 million worth of toilet tenders in Nelson Mandela Bay municipality and Covid-19-related fraud in Buffalo City.

In Nelson Mandela Bay, Mayor Babalwa Lobishe addressed water supply challenges, noting that the metro has spent R10.7 million over the past 24 months to repair major infrastructural leakages, with plans nearing R3 billion for further fixes. She highlighted the strain from 172 informal settlements, increasing water demand, unauthorized connections, and overusage, despite calls for reasonable consumption. The city collects only 55% of its water revenue, contributing to a significant annual deficit.

Ramafoko emphasized that administrative chaos is not accidental but a well-orchestrated mechanism to sustain corruption. She stressed the need for prevention alongside investigations, proposing measures such as independent observers during appointments to key finance and supply chain roles, tools for transparent expenditure tracking, and greater support for National Treasury initiatives to monitor tenders, applicant skills, and evaluation processes.

She advocated for professionalizing technical positions, separating them from political influence, and ensuring appointees serve public interest rather than those who placed them in power. Ramafoko noted that while the SIU and National Prosecuting Authority (NPA) are essential for addressing wrongdoing, systemic reforms are required to prevent recurrence, describing reactive efforts as “fetching water with a bucket with holes” without preventive steps.

Positive examples exist where political will has driven change. Similar progress has been seen in other areas through standardized oversight and protection from interference, demonstrating that accountability and clear defense mechanisms against corruption can reverse mismanagement.

Ramafoko criticized the tendency of municipalities to disregard Auditor-General findings, calling for stronger legislation to enforce accountability to legislatures and citizens. She expressed hope that under new NPA leadership, prosecutions would accelerate, and urged communities to scrutinize municipal performance using Auditor-General reports ahead of local government elections.

The report underscores that turning around failing municipalities requires political commitment to transparency, oversight, and consequence management, as evidenced by successful turnarounds in certain Eastern Cape areas. Officials from Nelson Mandela Bay and others are expected to face further scrutiny before a parliamentary committee on Cooperative Governance and Traditional Affairs.