Crime Intelligence’s Multi-Million Rand Hotel Purchase

Dear Editor

The Democratic Alliance (DA) has written to the Inspector-General for Intelligence to request that his office investigate reports that the Crime Intelligence division of the South African Police Service (SAPS) has purchased a luxury boutique hotel in Pretoria North, with a price tag of a staggering R22.7 million.

While it is reported that this purchase took place in October 2024, it is striking that no mention of such a purchase was made when the SAPS reported on its property portfolio to the Portfolio Committee on Police in November 2024.

If it was meant to be a secret – perhaps a front in a specific intelligence exercise – the fact that it is now front-page news speaks volumes in terms of their ability to keep information secret.

It has been reported that this purchase was signed off by Crime Intelligence head, Major-General Dumisani Khumalo, who was appointed to the post just under two years previously, as well as the entity’s chief financial officer, Major General Philani Lushaba.

It is troubling that Crime Intelligence has opted to purchase a luxury hotel at a steep R22.7 million (reportedly complete with four dining rooms, a gym, and an infinity pool) when senior Crime Intelligence Officers work from dilapidated offices, replete with broken furniture. Some are reported to be working from their cars due to lack of office space.

The purchase also raises the question as to whether or not Crime Intelligence had first approached the Department of Public Works and Infrastructure (DPWI) to seek out vacant public property that is fit for purpose, instead of spending millions on a boutique hotel. Had Crime Intelligence instead obtained a property from the DPWI, the cost would no doubt have been substantially less, if not zero.

Indeed, the Minister of DPWI, Dean Macpherson, has today told the DA that he was not informed of the purchase, nor did his department receive a request for property allocations from Crime Intelligence in this regard.

The DA urges the Inspector-General of Intelligence to probe this purchase and to determine whether there were not more cost-effective means of obtaining property for Crime Intelligence that was fit for purpose.

We trust that the Inspector-General for Intelligence will investigate this matter to ensure that all lawful processes were followed in the procurement.

Regards

Dianne Kohler Barnard MP
DA Spokesperson on State Security