A major investigation into alleged corruption has shaken the City once again, with police confirming that a City of Cape Town tender fraud case worth R1.6 billion is at the centre of fresh search-and-seizure operations.
According to the South African Police Service (SAPS), the Commercial Crime Investigation Unit, assisted by detectives and other stakeholders, began raiding 26 locations across Cape Town from the early hours of Tuesday, 30 September 2025.
These addresses include private homes of municipal officials, business premises, and sites linked to companies that were awarded contracts by the City.
SAPS said the operation was triggered by information from a whistleblower and a City-led internal probe that uncovered irregularities .
Colonel André Traut, speaking on behalf of the police, explained that the purpose of the raids is to secure both paperwork and electronic evidence.
“This coordinated effort underscores the commitment of law enforcement agencies to decisively address corruption and safeguard public resources,” he said.
City of Cape Town Mayor Geordin Hill-Lewis welcomed the intervention, stressing that the municipality is determined to root out wrongdoing.
“We will always do all we can to root out any malfeasance when we become aware of it. So, we’re supportive of their action, and our own internal processes, in fact, spurred this action,” he told News24.
This week’s operation follows a similar episode in January 2025, when SAPS executed search warrants at municipal offices, including those of mayoral committee members JP Smith and Xanthea Limberg.
At the time, Hill-Lewis ruled out suspending the officials, citing the absence of concrete evidence. Smith later described the raids as politically motivated, alleging he was the target of a smear campaign.
The latest probe is focused on the City’s urban mobility directorate. Smith confirmed that the ongoing raids are linked to that department but said he has limited information.
City manager Lungelo Mbandazya was the one who referred the case to the Hawks, leading to this week’s large-scale enforcement action.
The R1.6 billion in question relates to contracts issued by the City, although the full scope of the alleged fraud is still being established.
At this stage, no arrests have been announced, and SAPS has appealed to the public and political figures to allow investigators the space to complete their work.