R3.7m worth of artworks seized from home of DNG Energy CEO Aldworth Mbalati

Advocate Modesto Saldino and Candice du Toit who were representing the Candice Berman gallery getting ready to enter the residence of DNG CEO Aldworth Mbalati to repossess the artwork worth with nearly R4-million. (Photo: Julia Evans)

By Onke Ngcuka

1 Dec 2022

‘I don’t know how he can sleep at night knowing that he’s got [almost] R4m worth of unpaid art while artists in this country are virtually starving,’ said Candice Berman, the owner of the gallery at which Mbalati purchased the art — but failed to pay for it.

About R3.7-million worth of artworks have been seized from the Johannesburg home of DNG Energy group founder and CEO Aldworth Mbalati. This came after Mbalati was evicted from the house after six months of non-payment and ignoring numerous legal letters.

Seized in terms of a court order were 50 pieces of art that had been commissioned from Johannesburg’s Candice Berman Gallery in May, including paintings, sculptures and woven works.

Candice Berman, the owner of the gallery, told Daily Maverick she had been approached by a high-end interior decorator who had recommended Mbalati.

“I was referred to this client [Mbalati] by a very high-end interior designer who had already gotten this gentleman to spend R14-million [on] interior design and renovations to his internal space [in] a home he is not the owner of. Given that as a track record, he came and consulted me for an art advisory service… to curate his private collection.”

Vehicles were granted access to the residence to reposed about R4-million worth of artwork that included 50 pieces of paintings, woven art and sculptures. (Photo: Julia Evans)

After Mbalati’s attorney arrived at the scene and read through the court papers, Candice Berman vehicles were granted access to the residence to reposed about R4-million worth of artwork that included 50 pieces of paintings, woven art and sculptures. (Photo: Julia Evans)

After doing the work and confirming the purchase of the art, the gallery invoiced him, and to date, has not seen a cent of the balance of about R3.7-million.

“What a very well-spoken gentleman he is! Charming and completely chivalrous all the way. But what a con! What an absolute con! Both myself and my staff were taken by his charm and his demeanour, but to date, there has been no payment, [just] empty promises.

“And this is the last resort; having to arrive here with the sheriff of the court and the court order to retrieve the goods as he’s ignored numerous legal letters sent,” the gallery owner said.

Daily Maverick tried unsuccessfully to contact Mbalati. His attorney, Graham Houston, said he had barely had time to go through “the merits of the matter” and would respond, but Mbalati had been “caught completely off guard” by the matter.

Read in Daily Maverick: DNG Energy threatens Daily Maverick with legal action but fails to answer our questions

The art seizure caused a spectacle on the street in the upmarket suburb of Sandhurst, with luxury cars slowing down to ask what was happening. Present at the scene were a SAPS vehicle with a team of police, a team of private security with their vehicles, the sheriff of the court, numerous vehicles belonging to the gallery and members of the neighbourhood watch.

This reporter observed neighbours driving by taking videos and pictures, and overheard one saying they hoped Mbalati was being arrested “for all the nonsense he causes in the neighbourhood”.

The sheriff of the court and police parked outside DNG CEO Aldworth Mbalati’s home. The two had come to repossess artwork that Mbalati failed to pay for. (Photo: Julia Evans)

A few months ago, Daily Maverick revealed that Mbalati had a pattern of non-payment at his company DNG Energy, with workers, suppliers and rent not being paid, or being paid intermittently.

The lack of payment resulted in workers being almost evicted from their homes and locked out of the company’s workshops, with some employees being unable to support their families or pay for school fees, while others were left in arrears so badly they struggled to find a job due to low credit scores.

Read in Daily Maverick: DNG Energy, the company that promised SA energy security, struggles to keep its own lights on

Mbalati first came to the public eye during the bidding round for a share of the 2,000MW of emergency power supply for South Africa under the Risk Mitigation Independent Power Producer Procurement Programme. The tender was eventually won by Karpowership. The DNG founder challenged the outcome on the grounds of corrupt tender processes; a case which he lost and has not yet appealed against.

Read more in Daily Maverick: Creecy firm in rejecting Karpowership plan – but gives Turks a third bite at the cherry

Daily Maverick has been told that a sheriff will attach all of the CEO’s furniture from the residence and that employees would soon be evicted from the offices in Illovo, due to the non-payment of rent.

The art seizure came just over a week after Mbalati was evicted from the R35-million house, on which he made a purchase offer in January 2021.

He paid R3-million towards the deposit and the first payment but did not pay the balance, forcing the seller to cancel the offer and evict Mbalati and his wife, Lindo Mbalati, the finance director at DNG Energy, at the end of 2021. The couple refused to leave, claiming renovations and improvements to the home as security, court papers have shown.

Berman’s lawyers, Candice du Toit and Modesto Saladino, told Daily Maverick this was the modus operandi of many people: paying a portion for possession of goods and reneging on the remainder of the payments.

“Unfortunately, we had to go to court. We did demand repossession — no response was forthcoming. Ultimately, we approached the court urgently when we heard about the eviction order that was granted,” Du Toit said.

It took over an hour to grant the sheriff, Berman and her attorneys access to the heavily guarded home, which has high walls and armed security. A call was made to the property owner to grant entry to the residence but with Mbalati having barred Berman, the guards denied them entry. Only after the arrival of Mbalati’s attorneys were Berman, her attorneys and the sheriff granted permission to enter the residence and collect the art.

“There were 50 pieces in total, all South African artists, with one from Cologne [in Germany],” said Burman.

“Fortunately, all the pieces are back in my possession — they are all in good order and I can update the artists accordingly. It’s been devastating to the art economy locally and has been such a blow to human ethics and how people can operate.

“I don’t know how he can sleep at night knowing that he’s got [almost] R4-million worth of unpaid art while artists in this country are virtually starving.” DM/OBP

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