The Western Cape Human Settlements Department says all due processes were followed when a contract was awarded to a company linked to the wife of alleged 28s gang boss Ralph Stanfield.
Housing MEC Bonginkosi Madikizela said the law does not permit him to get involved in tender processes.
But he’s indicated the department will investigate the matter further.
The R43 million Valhalla Park housing project began in February 2016.
It was to be completed by September 2017 but was halted several times due to violence in the area.
Nicole Johnson is with Glomix House Brokers, one of six contractors appointed to build more than 700 houses in the area.
She’s the wife of an alleged gang boss.
Madikizela said everything was above board.
“If these people are known to be gangs or involved with gangs, then why are they still roaming in the streets? We cannot be made a scapegoat as the Department of Human Settlements if these people are running a legitimate company that has registered with Sars and followed due processes.”
Madikizela has emphasised the department needs to follow the law in its investigation.