Free State dairy project damned in treasury investigation

A controversial R570-million Free State dairy project was riddled with irregularities, investigators for the national treasury have found.

Exclusive material from the investigation shows that the treasury launched a full-scale investigation of the Estina dairy following several Mail & Guardian exposés about it in mid-2013. The reports suggested the deal with Estina – a company without agricultural experience and led by a computer sales manager – flouted treasury rules and was designed to milk provincial government coffers.

The articles also flagged allegations of the Gupta family’s proximity to the project and several of the role players.

Until recently, the treasury would not confirm that an investigation was taking place.  

Now a document obtained by ama­Bhungane shows that in Oct­ober last year a forensic team was dispatched by the treasury to Bloemfontein to question officials about the bizarre contract to develop a large dairy and milk processing plant in the northeastern Free State town of Vrede.

Investigators were shocked by what they heard...  READ MORE

Source:  M&G Centre for Investigative Journalism  #IFAMAFRICA