MunicipalNewsNews

TCM alledgedly misusing funds

LYDENBURG -Sources recently indicated that Thaba Chweu Municipality (TCM) had to dig into its Municipal Infrastructure Grant (MIG) to pay councillors and employees’ salaries for this month. According to sources within TCM, council is so cash-strapped that the entity had no other choice but to utilise money from its MIG grant. This grant is supposed …

LYDENBURG -Sources recently indicated that Thaba Chweu Municipality (TCM) had to dig into its Municipal Infrastructure Grant (MIG) to pay councillors and employees’ salaries for this month.

According to sources within TCM, council is so cash-strapped that the entity had no other choice but to utilise money from its MIG grant.

This grant is supposed to provide infrastructure subsidies to ensure that all households have access to a basic infrastructure services.

If rumours are true, not only is this action illegal but the objectives of the grant will not be utilised for services such as providing basic services to poor households, distribute funding for municipal infrastructure in an equitable, transparent and efficient manner, which supports a coordinated approach to local development and maximises developmental outcomes and assist in enhancing the developmental capacity of municipalities.

The grant also provides a mechanism for the coordinated pursuit of national policy priorities with regard to basic municipal infrastructure programmes.

The newspaper contacted DA Cllr Farhad Essack for comment regarding the allegations. He immediately stated it was illegal in terms of the Municipal Finance Act. “Yet again the residents of TCM have been failed by the ANC due to the fact that monies earmarked for capital projects to improve infrastructure have yet again been spent on wages and salaries.”

Steelburger/Lydenburg News questioned TCM about the said payment of salaries out of the MIG grant. The newspaper asked whether these rumours were true and if TCM was aware that it was illegal in terms of the Municipal Finance Act. The paper also stated that these funds were supposed to be earmarked for capital projects to improve infrastructure and not for salary payments. No comment had been received by the time of going to print.

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