The Portfolio Committee on Co-operative Governance and Traditional Affairs was held today (January 28).

Financial irregularities

The entire municipal management, including uThukela Mayor Inkosi NB Shabalala, were questioned about financial irregularities by the committee. The questions revolve around the employment of bodyguards, monies owed to RASP (a whopping R137 million) and the solvency of the municipality.

According to uThukela Municipal Manager Mr LS Jili, the municipality owes a massive R800 million to creditors. Listed among their largest creditors is Umgeni Water, RASP and Alfred Duma Municipality.

Original story: Watch: uThukela face tough questions at Cogta committee meeting today

Bank accounts frozen

In a startling revelation, uThukela admitted that their bank accounts have been effectively frozen. According to uThukela management, this is because they failed to meet a payment arrangement they had with RASP. From Wednesday last week (January 21), a court order was obtained, freezing all uThukela bank accounts.

On December 15, uThukela was supposed to honour a court ordered repayment arrangement approved by the High Court in October 2025. Despite them failing to make the payment, their creditors initially withheld the full implementation of all possible legal sanctions.

During the CoGTA Committee meeting, uThukela management confirmed that their bank accounts had been frozen but were in the process of making arrangements with RASP.

The Ladysmith Gazette will be updating this story in the newspaper next week.

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