The Mpumalanga Specialised Commercial Crimes Court has sentenced a former Eskom contractor to 16 years’ imprisonment, wholly suspended, after she pleaded guilty to charges of fraud and money laundering at the Thuthuka Power Station.

According to the National Prosecuting Authority (NPA), Phindile Jessie Kubheka — director of Umnandi Catering and Accommodation and Ronny Grass Cutting (Pty) Ltd — was contracted by the power utility to supply a customised oil storage container and two weighbridge information storage containers at a cost of approximately R2.5 million.

“However, she only delivered one standard container valued at around R60 000, while submitting an invoice for three containers, which Eskom paid in full. Investigations later revealed that Kubheka had inflated the costs by R939 550,” the NPA said.

Senior State Advocate Derrick Mashego argued in aggravation that the crime was carefully planned, motivated by greed, and caused significant financial loss to Eskom and the fiscus.

In mitigation, Kubheka expressed remorse, citing her retirement status and personal tragedies, while admitting she had used the proceeds of the crime to purchase a luxury vehicle.

The court imposed an effective sentence of 12 years for fraud and four years for money laundering, wholly suspended for five years. In addition, under Section 300 of the Criminal Procedure Act 51 of 1977, Kubheka was ordered to repay R1 656 000 to Eskom within five years, through monthly instalments of R30 000.

The NPA stressed that serious commercial crimes undermine South Africa’s economic stability and Eskom’s ability to provide reliable electricity, pledging to continue prosecuting those who misuse public resources.

Eskom Group Chief Executive, Dan Marokane, reaffirmed the utility’s commitment to tackling corruption.
“Our commitment to eliminating corruption remains unwavering and these developments send a clear message: fraud and corruption will not be tolerated. The vast majority of Eskom employees act with integrity and dedication. We will pursue those who betray the organisation and the country with our law enforcement partners and seek prosecutions wherever possible,” he said.