Thirty-six accused, comprising 18 individuals and 18 companies allegedly contracted by the eThekwini Municipality, have appeared in the Durban Magistrate’s Court on charges of fraud and tax-related offences involving an estimated R26 million.
The National Prosecuting Authority (NPA) said the accused appeared before the court between 7 and 10 July 2026, where they collectively faced 93 charges of fraud and contraventions of the Tax Administration Act.
According to the NPA, the case relates to alleged tax irregularities involving companies that provided services to the municipality between 2017 and 2021.
While the eThekwini Municipality is not an accused in the matter, the prosecution alleges that the offences are linked to service providers contracted by the City during the four-year period.
The alleged offences amount to approximately R26 million.
The matters have been postponed to 31 August and 1 September 2026 to allow for the electronic discovery process and further consultations between the State and the defence.
The NPA has not disclosed the identities of the accused or the companies involved, citing the fact that the matter is now before the courts.
The case is expected to attract significant public interest as it involves companies that secured municipal contracts during a period in which eThekwini faced ongoing scrutiny over procurement processes, governance and financial management.
If convicted, those found guilty could face penalties under both the common law offence of fraud and the Tax Administration Act, which criminalises offences including the intentional submission of false tax information, the failure to submit tax returns and tax evasion.
