The Directorate for Priority Crime Investigation, better known as the Hawks, descended on the headquarters of City Power Johannesburg in September 2025 to seize evidence regarding a suspicious R67 million contract. The operation focuses on a purchase order for electricity transformers that were paid for in full but, according to internal documents, never actually arrived. This latest move is a flashing red light for the city-owned utility, which is currently struggling to keep the lights on in South Africa's economic heartland while facing allegations of systemic looting.
Here's the thing: this wasn't just a casual visit. A convoy of Hawks vehicles was spotted entering the premises, signaling a shift from simple information requests to a full-blown search and seizure operation. For the residents of Johannesburg, who deal with constant power outages and crumbling infrastructure, the idea that R67 million vanished into thin air while transformers remained undelivered is a bitter pill to swallow.
A Pattern of Questionable Payments
This September raid isn't an isolated event. It's the latest chapter in a saga of financial irregularity that has plagued the utility for months. Just two months prior, in July 2025, the Hawks were back at the offices investigating a staggering R500 million in alleged corruption. At the time, City Power tried to downplay the event, claiming it was merely a "formal request for information" rather than a raid. But the scale of the numbers suggests something much more sinister than administrative errors.
The investigation is now drilling down into three specific high-value transactions that have raised eyebrows. First, there's a R335 million spend on maintenance projects that completely failed, despite internal warnings that the invoices looked "dodgy." Then there's a R55 million appointment where the duties were seemingly duplicated and the contract value was heavily inflated. Most shocking, however, is a deal where the utility allegedly inflated prices by more than 1,000% just to buy transformers—the very same equipment that seems to be missing from the R67 million deal.
The CEO in the Crosshairs
At the center of this storm is Tshifularo Mashava, CEO of City Power. Appointed in June 2022, Mashava's tenure has been anything but smooth. While the Hawks are scrutinizing her approval of these massive payouts, the CEO has remained remarkably silent, offering no public response to the corruption allegations.
It's not just the Hawks who are worried. In September 2024, the Auditor-General flagged the utility for serious governance failures and irregular expenditure. The pattern is clear: as the governance collapsed, the service delivery deteriorated. It's a classic case of money flowing upward and outward while the infrastructure literally rots in the ground.
Key Facts of the Investigation:
- R67 Million: Amount paid for transformers that were never delivered by December 22, 2023.
- R500 Million: Total value of irregular payments investigated during the July 2025 probe.
- 1,000% Markup: Alleged price inflation on certain equipment procurement.
- Three Core Deals: The Hawks are specifically targeting three transactions totaling over R450 million.
Legal Battles and Political Fallout
Interestingly, City Power isn't just cooperating; they're fighting back in court. The utility has launched an urgent bid in the High Court in Johannesburg to declare the September raid unlawful. It's a bold move that seems to contradict statements from spokesperson Isaac Mangena, who claimed the organization has been cooperating with the authorities "every now and then." Turns out, "cooperating" and "suing the investigators" are happening simultaneously.
Meanwhile, the political heat is rising. Opposition parties are preparing to table urgent motions calling for Mashava's immediate suspension. They aren't just asking for a change in leadership; they're demanding a full independent forensic audit of every single contract signed since June 2022. The goal is simple: find out exactly where the money went and who signed off on the theft.
The Human Cost of Corruption
Beyond the spreadsheets and legal filings, there is a real-world impact. Johannesburg's power grid is aging and unstable. When R67 million is wasted on "phantom" transformers, it's the small business owner in Braamfontein or the family in Soweto who pays the price through prolonged blackouts. The disconnect between the CEO's approved spending and the actual state of the grid is jarring.
The Hawks now have until Tuesday to respond to the court application. Whether the court halts the investigation or the Hawks uncover a deeper web of fraud, the reputation of City Power is already in tatters. The public is no longer asking if there was corruption, but rather how much was actually stolen.
Frequently Asked Questions
What exactly happened with the R67 million contract?
City Power issued a purchase order for electricity transformers with a delivery deadline of December 22, 2023. Despite the utility paying out R67 million, evidence suggests the equipment was never delivered, leading the Hawks to launch a search and seizure operation in September 2025 to recover evidence of fraud.
Who is Tshifularo Mashava and why is she being investigated?
Tshifularo Mashava has been the CEO of City Power since June 2022. She is the central figure in the Hawks' probe because the investigation focuses on several high-value, irregular transactions approved during her tenure, including inflated contracts and failed maintenance projects totaling hundreds of millions of rands.
What other contracts are the Hawks looking into?
Beyond the transformer deal, investigators are scrutinizing a R335 million expenditure on failed maintenance and a R55 million appointment involving duplicated duties. Some of these contracts allegedly saw price inflations of over 1,000%, suggesting a deliberate intent to defraud the utility.
Is City Power fighting the Hawks' investigation?
Yes. While the utility's spokesperson claims they are cooperating, City Power has filed an urgent application in the Johannesburg High Court to have the September 2025 raid declared unlawful, challenging the legality of the Hawks' search and seizure operation.
What did the Auditor-General find in 2024?
In September 2024, the Auditor-General flagged City Power for severe governance failures. The report highlighted significant irregular expenditure and a direct link between these management failures and the deterioration of electricity service delivery in Johannesburg.