The Special Investigating Unit (SIU) has secured an interim preservation order from the Special Tribunal preventing the KwaZulu-Natal Joint Municipal Pension Fund (NJMPF) from disbursing pension benefits worth R2,768,021.42 to former Greater Kokstad Local Municipality IT Manager, Mr Yaw Owusu-Boakye.
This comes after the SIU’s investigation revealed that Owusu-Boakye was the beneficial owner of Obytech Solutions (Pty) Ltd, a company that was awarded a R5.27 million tender by the Greater Kokstad Local Municipality to renew software licenses for three years.
The order, granted by the Special Tribunal, interdicts the NJMPF from doing “anything that may in any other way encumber or prejudice the value of the monies held or administered by it” in respect of the pension benefits due to Owusu-Boakye.
The preservation order follows an SIU investigation into the affairs of the Greater Kokstad Local Municipality, including the lawfulness of the tender awarded to Obytech Solutions for the renewal of software licenses.
The SIU investigation found that Owusu-Boakye allegedly manipulated the procurement process to secure the appointment of his company through fraudulent misrepresentations in its bid documents.
The municipality made three payments to Obytech Solutions in respect of the software license renewal contract, including R1,227,875.55 on 5 March 2023; R2,815,652.74 on 26 July 2023; and a further R1,227,875.55 on 24 January 2025. The payments totalled R5,271,403.84.
Further investigation found that Owusu-Boakye was a signatory to Obytech Solutions’ bank account and had sole control over the funds held in the account.
According to the SIU’s findings, the municipality received little or no value for money from the services provided by Obytech Solutions. The investigation identified significant non-delivery under the contract, valued at R3,465,835, with proceeds allegedly used to fund personal expenses and lifestyle. He resigned in June 2025 after the SIU investigation began.
On 31 March 2026, the SIU launched an application before the Tribunal seeking to review and set aside the Greater Kokstad Local Municipality’s decision to appoint Obytech Solutions to provide the three-year software license renewal services. The SIU is also seeking an order directing Obytech Solutions to repay the profits derived from the tender.
The investigation is authorised by Proclamation 244 of 2025, which empowers the SIU to investigate two tenders awarded by the Greater Kokstad Local Municipality. These include the appointment of a service provider to supply and renew software licenses for three years and the appointment of a service provider to provide customer care and information technology (IT) service desk solutions.
The preservation order forms part of the SIU’s efforts to implement investigation outcomes and ensure consequence management, including the recovery of financial losses suffered by state institutions as a result of corruption, fraud and maladministration.
In terms of the Special Investigating Units and Special Tribunals Act 74 of 1996, the SIU is empowered to institute civil proceedings in the High Court or Special Tribunal to address wrongdoing uncovered during its investigations.
The SIU also refers evidence pointing to criminal conduct to the National Prosecuting Authority (NPA) for further action, in accordance with the Act.
Enquiries:
Selby Makgotho
Spokesperson: Special Investigating Unit
Cell: 083 718 6128
E-mail: SIUMedia@siu.org.za
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