Local news

DA calls for business rescue of GNT over financial issues

The DA has called for GNT to be placed under business rescue, citing financial issues, unpaid pensions, and operational challenges.

LIMPOPO – The Democratic Alliance (DA) in Limpopo has called on the provincial government to place Great North Transport (GNT) under business rescue.

GNT, a bus service provider throughout the province, is owned by the provincial government and is a subsidiary of the Limpopo Economic Development Agency (Leda).

Recently, GNT has been in the spotlight due to various issues, including the non-payment of pensions to former employees.

During a protest outside Premier Dr Phophi Ramathuba’s office, former employees demanded their unpaid pensions.

Ramathuba addressed the protesters and requested their contact details to expedite assistance.

Leo Gama, spokesperson for GNT, assured that they are committed to ensuring everyone receives their money.

He reported that out of 1 063 claims, 991 have been processed and are being finalised. Efforts are ongoing to trace and process the remaining 172 claimants, with 45 already contacted.

Gama admitted challenges, such as dealing with deceased claimants’ families and verifying information with banks and the South African Revenue Services.

Meanwhile, the DA highlighted further issues within GNT.

The company’s offices have been closed, and staff were recently locked out due to non-payment to the security provider for over six months.

Additionally, the diesel supplier, Transversal, is owed R9m. The DA says only 30 out of a fleet of 422 buses are operational.

Provident fund and medical aid contributions have also reportedly not been paid, causing Discovery Health to threaten to withhold benefits from staff.

Jacques Smalle, a DA Member of Parliament, emphasised the need for accountability from Leda for GNT’s multiple crises, dereliction, and delinquency. He stated that the directors of GNT, appointed by Leda, must be held responsible and that immediate action is necessary.

At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!

Support local journalism

Add The Citizen as a preferred source to see more from Letaba Herald in Google News and Top Stories.

Tanaiya Lees

Tanaiya Lees is the Digital Coordinator for the Polokwane Review-Observer and the Letaba, Phalaborwa, Hoedspruit, Mopani, and Regional Herald. She holds a Diploma in Journalism, and a BA in Communications and Psychology. With an interest in storytelling and a strong commitment to accuracy, her goal is to produce high-quality content that truly connects with readers. She aims to amplify the voices of those who need it most, shine a light on important issues, and inspire meaningful conversations. Tanaiya firmly believes in the power of journalism to effect change and is dedicated to being a part of that change.

Related Articles

Back to top button