Seven arrested in alleged R1.1m fraud at Maruleng municipality

Seven people were arrested in Phalaborwa in connection with an alleged R1.1 million fraud and related offences at Maruleng Local Municipality, police said.

What police say happened

Police allege municipal officials processed building-plan applications and diverted client payments into personal bank accounts instead of the municipality’s account. A preliminary enquiry was opened after information was received by authorities, and further investigation allegedly uncovered irregularities and money laundering.

Operation and arrests

The arrests were made during an intelligence-driven operation conducted by the Directorate for Priority Crime Investigation (DPCI) Serious Corruption Investigation (SCI), codenamed Operation Nasi Stocko, together with the Mopani District Crime Prevention Unit.

The suspects, whose ages police said range between 25 and 57, were taken into custody in Phalaborwa and are expected to appear in the Hoedspruit Magistrate’s Court on Wednesday, September 30, 2026.

Origins of the probe

Police said the matter began after information was brought to their attention on 16 January 2025. A preliminary enquiry was registered and the subsequent investigation uncovered the alleged offences and the reported loss of R1.1 million to the municipality.

Official responses

“Such information assists law-enforcement agencies in protecting public resources and ensuring that allegations are properly investigated. More arrests are imminent as the investigation continues,”

said Captain Wendy Nkabi, a police spokesperson, urging the public to continue providing information about suspected corruption.

The Provincial Head of the DPCI in Limpopo, Major General Adv Gops Govender, welcomed the arrests and commended the SCI Phalaborwa team and all role players involved for their work in combating corruption.

Next steps

The arrested suspects are due to appear in the Hoedspruit Magistrate’s Court as the investigation continues, police said.