The KwaZulu-Natal Department of Transport has exposed widespread fraud among construction firms that secured major road contracts but failed to deliver. Officials told the provincial finance committee that some companies effectively bought higher grade Construction Industry Development Board certificates or entities to qualify for lucrative tenders.

Many of the 30 failing projects involved contractors who never properly established sites, leaving roads half finished. The department is cancelling contracts, pursuing blacklisting and working with authorities on tighter vetting after losses estimated at about R4.6 billion.