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Audit proves Maggiesdal residents were defrauded

It has taken years, but an internal audit has finally revealed that Maggiesdal residents were the victims of fraud.

It has taken years, but an internal audit has finally revealed that Maggiesdal residents were the victims of fraud. This was revealed during a recent council sitting.

Maggiesdal had been a low-cost housing project of the City of Mbombela Local Municipality (CMLM). About 52 residents of the project accused of not paying rent and later evicted from their homes.

Their rental contracts with the municipality were cancelled, and they were given notice to vacate their properties by the end of March 2017.

ALSO READ:IN PHOTOS: Where will Maggiesdal residents go?

According to the outcome of the internal audit, most of the residents had been paying rent.

“The evicted residents’ names can now finally be cleared from the humiliation,” said DA councillor for Ward 15, Tersia Marshall.

Most of the residents could not afford to move elsewhere, but also could not prove that they were paying for their rent.

“The tenants complained that they had in fact paid and presented receipts but the municipality refused to allocate the money because the receipts were not official Mbombela receipts and the receipt books could not be traced,” Marshall explained.

Before the residents were removed, Marshall had put a motion to council that it assist the residents to acquire alternative accommodation and to help the frail, elderly and disabled. It was denied.

In 2016 the finance MEC Sikhumbuzo Kholwane, announced during his budget speech for 2016/17 that a parliamentary village was to be constructed for members of the legislature, including accommodation in Maggiesdal. The tenants had to make way for the construction of a parliamentary village. The location thereof has since moved to Mataffin.

ALSO READ:Maggiesdal residents allowed to stay on – for now

The investigation of the matter proved lengthy yet fruitful. “There are two accounts that were created for rent; they were sent to me to prove the non-payments of rent. In the process of trying to find out the truth I discovered that there is an account in the name of J van Wyk, who was one of the caretakers.

In the accounts there is R489 944 credit and the other account a R480 000 credit. This is nearly a million rand that was never allocated,” Marshall explained.

She is thankful for the work done by the Internal Audit Unit.

“Finally the residents of Maggiesdal have been heard. They had been complaining for years about the fraud that happened.”

Marshall urged former tenants of Maggiesdal to come forward with their proofs of payment.

ALSO READ:Integrated human settlement scrapped – houses to make way for houses for MPLs

“They should bring their receipts and proof of payment in order to assist SAPS in the investigation so that the wrongdoers can be brought to book. I know some were victimised for talking to me in the past and they might be concerned about their safety.”
The matter will be reported to police.

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Bridget Mpande

Bridget Mpande is the editor assistant for Mpumalanga News and Lowvelder Express. She joined Lowveld Media in 2014 and covers several beats in the newsroom. She is a mentor and believes there is no community newspaper without the community.
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