City of Joburg sets the record straight: ‘No R2.6m spent on Year-End Party’

MMC for Group Corporate and Shared Services (GCSS) Loyiso Masuku says no City of Joburg funds have been spent on the “rumoured” R2.6 million year-end event and long-service awards ceremony for qualifying employees.

This follows calls for her resignation by the Democratic Alliance (DA) for her alleged role in the irregular diversion of funds to pay for the “rumoured” R2.6 million party for 500 employees.

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“It is disgusting that in the face of increased power and water outages, Masuku had her cronies in the department push through an irregular request to burn through over R2.6 million,” alleged DA shadow MMC for Group Corporate and Shared Services Nicole Rahn on Thursday.

Rahn alleged more than R1.4 million of the R2.6 million was spent on watches and branded puffer jackets, more than R76,000 venue hire, while R170,000 went to “management fees”.

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“Residents of Joburg have a right to be angry, as there is no excuse for this abuse of critical funds,” said Rahn.

DA ‘must very facts’

In a statement on Friday, Masuku slated the DA and said no City of Joburg funds had been spent on the “rumoured” R2.6 million year-end event.

“As MMC, I became aware of the plans for such an event last week and I immediately requested that the plans be suspended given the current financial and economic challenges that face our City and its residents,” said Masuku.

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She said the city’s “current circumstances” limited how they can recognise the long-serving employees.

“Had DA Councillors sought to verify the facts of the matter by approaching the office of the MMC, they would have been provided with factual information and made aware that no expenditure has been incurred and that the matter has been referred back to the administration for reconsideration.

“This would eliminate the misinformation and peddling of falsehoods by faceless employees feeding into political squabbles. The City frowns upon the political overreach and interference in administrative processes.

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“Based on engagements held with the City Manager and the relevant officials on Monday the said event and proposal must be significantly reconsidered and must align fully to the lawful processes as outlined by the City Manager in an internal submission signed by the City Manager.”

Masuku also said MMCs were not involved in the procurement processes of the city as these were an administrative one taken without her knowledge.