Lungisa, his wife Ursula Sali, Thabo Shogolo and Xolisile Guquza are accused of accepting and sharing among themselves R2.5 million paid by the arts and culture department for the Nelson Mandela Sports Day concert last year. They allegedly promised that US singer R Kelly would perform at the concert, but he did not.
Lungisa and the others were arrested after handing themselves over to the Hawks in October.
On October 4, Lungisa and Shogolo were granted bail of R10,000 each, Guquza was granted bail of R5000, and Sali was released on a warning.
Lungisa has since asked to be relieved of his political duties as an African National Congress Eastern Cape executive committee member while he dealt with the charges.
During his last court appearance Lungisa said he disliked being branded a thief and described the case as a witch hunt.
He intended going back to the Eastern Cape to campaign for the ANC in preparation for the 2014 general elections.