The Limpopo government has granted a R12 million contract increase to a contractor who has failed to meet two deadlines, according to a report on Monday.
A variation order had increased from R41m to R53m the budget for the Seshego residential project, which is being constructed by Steve Bosch's company Raesetja Property Developers, trading as Sizani Build It, The Star newspaper reported.
Bosch had already received R43m of the value of his contract.
Minutes of a meeting held in May between the department, Sizani and the department also indicated that the materials used for the project were not SA Bureau of Standards approved.
Independent Newspapers previously reported that Bosch had quit construction on some units, for which his company had earned more than R38m during the 2010/2011 financial year.
Bosch and the department did not respond to The Star's requests for comment.
Bosch is allegedly a benefactor of expelled African National Congress Youth League president Julius Malema and is believed to have business ties with Limpopo premier Cassel Mathale.
Bosch also allegedly has ties with Limpopo's co-operative governance MEC Clifford Motsepe and Limpopo ANC secretary Soviet Lekganyane. - Sapa