Former eMadlangeni Mayor Arrested Over Alleged R2 Million “Ghost” Mall Study

Former eMadlangeni Local Municipality (Utrecht) Mayor Lindile Mhlungu was arrested on Tuesday, 21 July 2026, alongside former Municipal Manager Musawenkosi Thwala, in connection with an alleged R2 million payment for a shopping mall feasibility study that investigators claim was never conducted.

According to Directorate for Priority Crime Investigation spokesperson Lieutenant Colonel Simphiwe Mhlongo, the 42-year-old Mhlungu and 52-year-old Thwala face charges of fraud, corruption and contravention of the Municipal Finance Management Act.

The arrests followed an investigation into the municipality’s procurement process when appointing a service provider for the proposed development of a shopping mall in Utrecht.

Providing further details, Lieutenant Colonel Mhlongo said Mhlungu allegedly introduced a service provider on 10 July 2019 to deliver a presentation relating to a feasibility study for the proposed development.

She is thereafter alleged to have instructed the then Municipal Manager to appoint the same service provider.

“The Municipal Manager allegedly complied with her instruction and proper Supply Chain Management processes were not followed. A few weeks later, the service provider in question submitted an invoice of R2 014 250.00 to the eMadlangeni Municipality for payment. A purchase order was allegedly created and the service provider was paid. However, it is alleged that no work was done and the matter was reported to the Hawks members for thorough investigation,” stated Lieutenant Colonel Mhlongo.

The matter was subsequently investigated by the Hawks in collaboration with the National Prosecuting Authority, resulting in the arrest of Mhlungu and Thwala.

Both accused appeared briefly before the Pietermaritzburg Magistrate’s Court following their arrest.

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Following which, Mhlungu was granted bail of R10 000, while Thwala was released on bail of R2 000.

The matter was postponed to 1 September 2026, with Lieutenant Colonel Mhlongo confirming that further arrests are expected as the investigation continues.

The allegations against Mhlungu and Thwala have not yet been tested in court, and both accused are presumed innocent until proven guilty.

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