The construction company run by alleged 28s gang wife, Nicole Johnson, has been banned from doing business with government.
The National Treasury has placed Glomix on the list of restricted suppliers for the next 10 years, for allegedly supplying fraudulent Broad-Based Black Economic Empowerment (BBBEE) certificates on tender applications.
City of Cape Town Manager Lungelo Mbandazayo said he had received the outcome from the Treasury following a complaint last year.
It follows an investigation by the municipality into collusion between the construction mafia and City officials, following applications by various companies either owned by Johnson or affiliated with her.
It is understood that this led to the discovery of the fraudulent BBBEE certificates being issued.
The investigation also homed in on extortion by gangs which were holding up construction developments across Cape Town.
Johnson, who is the wife of alleged 28s gang boss Ralph Stanfield, was notified that the City had blacklisted various companies either owned by her or Stanfield due to reputational risk.
According to a list provided, 12 companies were blacklisted from doing business with the municipality.
As the owner of Glomix CC, Johnson applied for two tenders for the construction of houses.
In June last year, Mbandzayo wrote to Johnson raising concerns about the BBBEE certificate, stating that not only was the document fraudulent but that the SM BEE Rating Agency had confirmed it had never issued any certificates to Glomix.
In response, Nicole’s lawyers, Dirk Kotze Attorneys, claimed that their client had instructed the New Generation Corporate Group (NGCC) to obtain the certificate on her behalf.
The attorneys stated that Johnson had submitted the certificate as it was received by the NGCC, and had no reason to question its authenticity. They blamed the NGCC for the fake certificate.
“Our client was shocked to discover this fraudulent conduct and is in the process of taking appropriate legal measures against all those involved. We want to emphasise that our client had no motives to manipulate or falsify the certificate, as they have consistently maintained a level 1 contributor status at all relevant times,” their letter stated.
In turn, the NGCC said the person employed to obtain the certificate could not be reached. Documents attached to the letter showed that Nicole paid R50 000 for the certificate.
Mbandazayo then wrote to the National Treasury highlighting the fraudulent certificate and last week the Treasury informed him of its decision.
“This means Glomix CC is restricted from doing business with any organ of state for the next 10 years. The Treasury instructed me to write to Johnson and inform her of the outcome which I have done,’’ the City manager said.
Johnson and Stanfield are currently in jail after they were arrested by the Anti-Gang Unit last year.
The duo along with three others were arrested following the attempted murder of a former employee of Stanfield who allegedly stole over R1 million from the couple.
During the bail hearings it was revealed that Johnson also faced losing two upmarket Sorbet salons in Green Point and Canal Walk following her incarceration.
At the time Sorbet Group CEO, Linda Sinclair, confirmed they had made an offer to purchase the two salons after Johnson had not met her franchisee obligations.
mahira.duval@inl.co.za