Ricochet News

Chippa United drawn into corruption case

By Marc Jacobson - Feb 4, 2016
Chippa United drawn into corruption case

Chippa United have been drawn into a fraud and theft case brought forward by the Nelson Mandela Bay Ratepayer’s Association on Friday last week.

The corruption case was brought against the Nelson Mandela Bay Municipality, as the club allegedly benefitted from a R750 000 loan from Nelson Mandela Bay Stadium managers and Access Management.

The loan was granted in order to help the club stage their league game against Kaizer Chiefs in August 2015. The ratepayer’s association alleges that Chippa’s match-day income for that game amounted to R312 979.98, which was less than half of the amount borrowed.

Access Management allegedly sent an invoice to the city on behalf of the club for a R750 000 ‘assurance ticket’ on the grounds that the money would be paid back after the game.

Acting city manager, Johann Mettler, said according to an agreement the city had with the club, the money was not loaned but rather it was transferred.

Chippa United owner, Siviwe ‘Chippa’ Mpengesi, denied that the club had even asked the metro for a loan.

Additional reporting by Times Live

Image: Chippa United owner, Siviwe 'Chippa' Mpengesi