Ledla Structural Development (Pty) Ltd and Others v Special Investigating Unit (CCT 319/21) [2023] ZACC 8; 2023 (6) BCLR 709 (CC); 2023 (2) SACR 1 (CC) (10 March 2023)

Ledla Structural Development (Pty) Ltd and Others v Special Investigating Unit (CCT 319/21) [2023] ZACC 8; 2023 (6) BCLR 709 (CC); 2023 (2) SACR 1 (CC) (10 March 2023)

The Constitutional Court held that the Special Tribunal is not a court as contemplated by section 166 of the Constitution, given its ad hoc establishment, lack of security of tenure for members, and limited jurisdiction to civil proceedings arising from SIU investigations. However, the Tribunal is empowered by section 8(2) of the SIU Act to adjudicate any civil proceedings brought by the SIU, which includes legality reviews of unlawful contracts. The Tribunal's powers are broader than those of the Competition Tribunal, as there is no statutory carve-out limiting its jurisdiction over legality reviews. The Court declined to entertain the applicants' constitutional challenge to the...

Citation
[2023] ZACC 8
Parties
Applicant: Ledla Structural Development (Pty) Ltd; Applicant: Rhulani Lehong; Applicant: Kgodisho Norman Lehong; Respondent: Special Investigating Unit
Court
Constitutional Court
Jurisdiction
South Africa
Judgment Date
10 March 2023
Case Number
CCT 319/21
Procedural Posture
Leave to Appeal / Application for Leave to Appeal and Appeal From Special Tribunal
Outcome
Leave to appeal granted; appeal dismissed with costs, including costs of two counsel.
Judges
Kollapen, Madlanga, Majiedt, Mathopo, Mhlantla, Mlambo, Theron, Tshiqi
Legal Topics
Special Investigating Units Act, Legality Review, Forfeiture Orders, Tender Procurement, Section 217 Constitution, Powers of Tribunals
Administrative Law Civil Procedure Constitutional Law Special Investigating Units Act Legality Review Forfeiture Orders Tender Procurement Section 217 Constitution +1 more

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Parties

Ledla Structural Development (Pty) Ltd

Applicant

Rhulani Lehong

Applicant

Kgodisho Norman Lehong

Applicant

Special Investigating Unit

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal and Appeal From Special Tribunal

Legal Issues

  1. 1 Is the Special Tribunal a court of law under section 166 of the Constitution.
  2. 2 Does the Special Tribunal have jurisdiction to adjudicate legality reviews and grant forfeiture orders.
  3. 3 Are the Special Tribunal's factual findings regarding the applicants' conduct subject to review by this Court.

Ratio Decidendi

The Constitutional Court held that the Special Tribunal is not a court as contemplated by section 166 of the Constitution, given its ad hoc establishment, lack of security of tenure for members, and limited jurisdiction to civil proceedings arising from SIU investigations. However, the Tribunal is empowered by section 8(2) of the SIU Act to adjudicate any civil proceedings brought by the SIU, which includes legality reviews of unlawful contracts. The Tribunal's powers are broader than those of the Competition Tribunal, as there is no statutory carve-out limiting its jurisdiction over legality reviews. The Court declined to entertain the applicants' constitutional challenge to the...

Court Disposition

Leave to appeal granted; appeal dismissed with costs, including costs of two counsel.

Orders

  • Leave to appeal is granted.
  • The appeal is dismissed with costs, including the costs of two counsel.