R1bn housing tender controversy: SAPS raids the office of MMC JP Smith

Source: Pexels

These actions, which took place on Friday, 24 January 2025, are part of an investigation into alleged graft involving a R1bn housing tender. Both Smith and Limberg have been identified as persons of interest in this case, which also implicates Malusi Booi, the former Mayoral Committee Member (MMC) for Human Settlements in the City of Cape Town.

In September 2024, Booi was arrested alongside nine others, including his ex-wife and alleged 28s gang boss Ralph Stanfield, on charges related to fraud, corruption, money laundering, and racketeering. The allegations involve the unlawful awarding of eight housing tenders worth over R1bn within the city's Human Settlements directorate. In the same month, Booi was granted bail of R250,000.

Sources indicate that Smith is suspected of receiving bribes in exchange for awarding tenders to certain businesspeople.

Following the raid, City of Cape Town mayor Geordin Hill-Lewis said the two MMCs have committed to fully co-operating with the SAPS.

Alleged political smear

In his defence, Smith claims on his social media account, @JP Smith on Facebook, that he has uncovered a political smear campaign against him, involving senior ANC politicians, private security, and potentially SAPS members.

Recordings provided by a source suggest fabricated evidence and a 'frame-up' to undermine him. Smith highlights unethical behaviour and "character assassination" as central motives, as well an attempt by opponents "to paralyse [his] role in the position as the chairperson of the DA in the Cape Town Metro."

"I have been tipped off that some political actors have been working on a smear campaign and have mobilised a political ‘hit-squad’ against me. I was alerted to this some months back," Smith said.

"The source of the recordings also informed me that the individual in the police who supplied the evidence, stated that the originators of this investigation did not believe they would secure any type of conviction outcome from such investigative action, but that their purpose is rather to initiate a “trial by media” and to seek to disgrace me publicly."

Charges filed, evidence pending

In response, Smith has filed charges with the Democratic Alliance's Federal Legal Commission against a councillor implicated in these recordings. Acting on forensic advice, he intends to share the recordings with SAPS investigators, despite ongoing delays. His attorney has repeatedly contacted SAPS over the past weeks, requesting an opportunity to present the evidence.

"When the rumours first started, I was upfront and open with SAPS and others about this matter. I attempted to contact SAPS to determine if such allegations were indeed substantiated. In an effort of complete transparency, I also reported the concerns to the Executive Mayor, as well as the Speaker of council and to my party leadership, after which the Speaker wrote to the NPA and SAPS asking them to “confirm or deny” such rumours," Smith said.

"My attorney also approached SAPS to get clarity and to formally place my ‘willingness to co-operate’ on record.

"In response, various persons in SAPS repeatedly assured my attorney and myself that SAPS "did not act on rumours" and that my attorney would be contacted should SAPS wish to talk to me."

Fighting crime, standing firm

JP Smith stressed that he was determined to continue fighting crime in Cape Town, in spite of the allegations against him.

He highlighted his track record in this regard, having been instrumental in the formation of the GDTT (Metro Police Gang and Drug Task Team), the SSIU (Safety & Security Investigations Unit), and the SSIMS (Safety & Security Information Management Service).

"I persevered and fought not only to create but also to continuously expand these agencies in the city, as I understood that we could not withstand attacks from the criminal underworld without the necessary intelligence and investigative capabilities.

"As a result of my efforts and ongoing pressure, the SSIU and SSIMS identified companies owned by well-known gang bosses or their proxies. This enabled our City Manager to bravely block their attempts to infiltrate our procurement processes, leading to the blacklisting of these companies, along with others linked to figures from the underworld."

Smith said the attempts at tarnishing his reputation would not distract him from his attempts at clearing his name, his focus on his job nor from taking part in the 2026 local government elections.

"I accept that I signed up for this role as Mayoral Committee Member for Safety and Security, fully understanding the responsibilities and risks that come with it. As a senior former member of the NPA said to me when I discussed what was unfolding: 'JP, what did you think was going to happen in that job?'"

No arrests have been made.