Corruption Stalls Mahikeng R54m Housing Project Amid Land Sale Scandal

MAHIKENG, 30 Aug 2025 – A R54 million housing project intended to provide shelter for residents of Mahikeng stands as a ghostly monument to corruption and failure, abandoned for over a decade while seven accused, including a former municipal manager, await their day in court.

The Marang Estate project, which broke ground in 2013, is now a vandalized and crumbling shell. Its collapse has become a symbol of alleged graft and administrative failure, leaving a community in need of homes without hope of resolution until at least the end of 2025.

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A Project Mired in Allegations From the Start

Initiated as a partnership between the Mahikeng Local Municipality, the Department of Human Settlements, and the Social Housing Regulatory Authority (SHRA), construction on the development was halted shortly after it began in 2014.

The project quickly became the subject of multiple investigations, with the Special Investigating Unit (SIU) probing allegations of serious irregularities that brought construction to a standstill.

The Legal Limbo and Mounting Charges

The scale of the alleged corruption is vast. A Hawks investigation into the illegal sale of municipal land, worth over R144 million, led to the arrest of seven individuals.

Among the accused is former Mahikeng municipal manager Hennie Smith. The group faces a litany of charges including fraud, corruption, money laundering, contravention of the Municipal Finance Management Act, and theft. All accused are currently out on bail, with their trial scheduled to begin on December 8, 2025.

Compounding Failures and a Path to Nowhere

Further complicating any chance of revival, the National Home Builders Registration Council (NHBRC) halted construction in 2024 due to critical non-compliance with safety requirements.

The North West Department of Human Settlements, which helped fund the project, has expressed a desire to revive it. However, officials admit that the structures have deteriorated so significantly that a new forensic audit is required before any rebuilding can even be considered.

For now, the department states it must wait for the lengthy legal process to conclude, leaving the R54 million investment—and the people it was meant to serve—in a state of indefinite limbo.