This article may contain graphic and/or adult content unsuitable for minors and sensitive readers.
The Assett Forfeiture unit has obtained a court order to freeze the bank account of East London based company, Camel Rock Social Housing Institution.
National Prosecuting Authority spokesperson, Tsepo Ndwalaza, says the preservation order was granted by the Grahamstown High Court on Thursday.
He says the state had argued that the supply chain procedure followed in transferring more than R61m into Camel Rock's bank account had been rigged and that an official had been pressured into making the transfer.
Ndwalaza says the money deposited into Camel Rock's account was to be used to pay service providers during the construction of Village Units for the poor in Connemara in East London.
Only a vacant plot remains where the Village Units should have been erected.