Backlash over R5m St George's Hotel lease scandal

THE Department of Defence has come under fire for failing to take action against officials who entered into a lease agreement of St George’s Hotel at a cost of RS million a month without following procurement processes.

- MAYIBONGWE MAGHINA

DA MP Chris Hattingh said it was unacceptable that no one has been held accountable.

“If no one is held to account, it tells officials they can push big, pricey deals through a friendly foundation and get away with it. That breaks the checks and balances, discourages honest procurement staff, and makes a joke of the Auditor-General’s effort to stop irregular spending,” Hattingh said.

He made the statement after Defence Minister Angie Motshekga confirmed, when asked about measures taken against the officials responsible for the irregular expenditure, to use the hotel to house the headquarters of the SANDF Defence College and the SA War College.

Motshekga said the lease agreement was terminated last year, and the hotel has since been acquired by the department.