Deputy Mayor Eugene Modise asserts he has settled his debts, dismissing the DA's allegations as politically motivated.
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City of Tshwane Deputy Mayor Eugene Modise is embroiled in controversy after he was accused by the DA of a potential conflict of interest stemming from his previous links to a security company benefiting from a contract with the municipality valued at R300 million per year.
The company in question, Triotic Protection Services, was awarded the security tender in the 2016/2017 financial year before Modise became a councillor in 2023 and subsequently elected a deputy mayor last year in October.
On Tuesday, former DA Finance MMC in Tshwane Jacqui Uys said her party has gathered information showing that the company is now run by Modise’s mother, Nelly Modise, and its human resource manager-turned-director is Neo Mafodi, who “is allegedly the mother of Modise's child”.
“This revelation raises serious questions about possible conflicts of interest and financial dealings within the City of Tshwane,” she said.
While she cited that it was uncertain whether Modise was still financially benefiting from the company, she called for a forensic probe into Tender TMPD 02-2016/2017, which appointed the panel of security services to the city.
The probe, she said, must also determine if Modise was still financially benefiting from the tender.
Uys said the investigation must be fast-tracked and its report be presented to the municipal accounts committee and ultimately the Council.
She also raised concerns about the company's eligibility for the tender due to its history of non-payment of taxes to the South African Revenue Service (SARS).
She claimed that the company had a judgment against it for non-payment of R59 million in taxes over five years.
Uys said: “This raised concerns that Triotic Protection Services might not have had a tax clearance when submitting their bid and, therefore, would not have qualified to be awarded the tender.”
Uys said she first raised concerns about the company's eligibility for the tender due to its history of non-payment of taxes to SARS in November 2024.
“I wrote to the city manager (Johann Mettler) raising alarm on a company named Triotic Protection Services, a company started by the Deputy Executive Mayor and MMC of Finance, Eugene Modise, and a service provider benefitting from the City of Tshwane's R300 million a year security tender,” she said.
She disclosed that the company was started as a close corporation by Modise with a 50% ownership and was later converted into a PTY(Ltd) with Modise as director.
Modise was asked for comment on the allegations but has opted to remain silent, leaving Mayor Nasiphi Moya to address the issue.
Moya said the contract in question was awarded during the 2016/2017 financial year under a previous administration long before Modise assumed office as a councillor in February 2023 and prior to his election as deputy mayor in October 2024.
“To ensure full compliance with governance and ethical standards, I have engaged the Deputy Executive Mayor regarding the allegations and he has informed me that upon becoming a councillor in 2023, he resigned as a director of the company and stepped away from any involvement in its operations. He further informed me that he no longer has any financial or managerial ties to the company and does not benefit from it in any way,” Moya said.
Despite Modise’s submission to her, she said “the city will commission an independent investigation to address these allegations thoroughly”.
According to her, Modise is in full support of such an investigation.
“Should any irregularities be uncovered, we will follow due process and take appropriate action,” Moya said.
She further cautioned against unfounded allegations intended to distract from the urgent work of governing the municipality.
rapula.moatshe@inl.co.za