The Special Investigating Unit (SIU) has revealed that Rubicon Communications CC, and its Chief Executive Officer Hangwani Mudangawe Nengovhela have signed an Acknowledgement of Debt to repay R2,699,000 received from the National Skills Fund (NSF).
The SIU reveals that the repayment will be made in monthly instalments of R74,772.29 starting on 1 May 2026, with interest accruing until the full amount is settled.
Rubicon Communications CC was initially awarded R2,699,968.75 by the NSF in November 2018 to deliver a leadership and skills development programme for 100 learners. The project was meant to start in 2019 and run for 12 months, equipping participants with a National Certificate in Clothing, Textile, Footwear and Leather Manufacturing.
However, the SIU’s forensic analysis revealed that the funds were spent within two months of receipt, between November and December 2018, long before the training could begin.
According to the SIU, the money was diverted to operational expenses, logistics, machinery purchases, rentals, loan repayments, school fees and personal transfers. R1.39 million was spent on “operations and logistics”, R200,000 on machinery and R90,000 on rentals, while additional amounts were transferred to individuals linked to the company. By the end of December 2018, the entire allocation had been depleted.
“This misuse of funds meant that the leadership programme never took place, and 100 learners were denied the opportunity to gain critical skills that could have improved their livelihoods,” the SIU said.
The investigation was conducted under Proclamation No. 253 of 2025, after which the SIU engaged the company to recover the misused funds. Following negotiations, Rubicon Communications CC signed the Acknowledgement of Debt in February 2026, ensuring that the NSF will recover the full amount plus interest and costs.
“The agreement and payment that follow do not exempt the parties involved from being referred to the prosecuting authority for potential criminal prosecution,” the SIU said.
The SIU said the recovery underscores its commitment to protecting public funds and ensuring accountability.
“Money meant to uplift South Africans through skills development will now be returned to the NSF, reinforcing the principle that corruption and maladministration will not go unchallenged.”
In line with the SIU Act, the unit confirmed that any evidence of criminal conduct uncovered during its investigation will be referred to the National Prosecuting Authority (NPA) for further action.
Saturday Star