We do not want to send the wrong message

Blanket amnesty would not be granted for all involved in fraud in the housing department and each case would be dealt with on merit, the national department's Director General Itumeleng Kotsoane said. "We do not want to send the wrong message that corruption pays," he told a media briefing at Parliament.

The intention was to "clear the cloud" casting doubt on the credibility of the department's housing subsidy system and to "clean the system", he said.

Each case would be dealt with separately to determine whether or not the amnesty would apply, with the special investigating unit (SIU) closely involved.

The proposed amnesty would include housing subsidy beneficiaries, contractors, civil servants and other individuals.

Kotsoane said a proclamation was currently being prepared to allow for a much wider investigation by the SIU into housing fraud and corruption, and the amnesty would form part of this.

Such a proclamation would have to be approved by President Thabo Mbeki, but he could not say when it or the amnesty would come into effect.

The SIU was currently dealing with 88 housing fraud and corruption cases.

Of these, three convictions had been secured, three were acquitted, 44 were referred to the police and 18 were before the courts.

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