The Free State High Court has issued a preservation order to freeze R32 million in assets connected to South Africa’s notorious asbestos corruption case, marking a significant development in the ongoing investigation into the R255 million housing audit scandal.
The National Prosecuting Authority’s Asset Forfeiture Unit (AFU) obtained the order after tracing funds allegedly siphoned from an irregularly awarded contract by the Free State Department of Human Settlements in 2014. The deal, signed during former Premier Ace Magashule’s administration, was meant to remove asbestos from low-cost homes but instead became a vehicle for alleged fraud.
Though the frozen assets are not directly registered to Magashule or his co-accused, businessman Edwin Sodi, prosecutors believe they are held by associates involved in laundering the illicit proceeds. Among the seized items is a luxury Mercedes-Benz G63 AMG, bought in cash for R2 million—a purchase authorities say exemplifies the extravagant spending fueled by the scheme.
Magashule, Sodi, and former aide Moroadi Cholota face charges including corruption, money laundering, and procurement violations. All maintain their innocence as the case proceeds in the Bloemfontein High Court.
NPA spokesperson Mthunzi Mhaga emphasized that the preservation order aims to prevent further dissipation of stolen funds. “This is about accountability and recovering what rightfully belongs to the public,” he said.
The move signals the state’s intensified efforts to tackle high-profile corruption, with legal experts viewing it as a critical step toward asset recovery. The case resumes in June, where further details on the alleged money trail are expected to emerge.
