UPDATE: ANC calls for probe into metro finances following AG report
“The ANC is convinced and strongly believes that maladministration, fraud, corruption and other serious malpractices took place in the City of Tshwane during the 2017/18 and including the 2018/19 financial years.”
The Tshwane ANC has called for a probe into the metro’s finances following the AG report noting that they are in a dire state.
ANC Tshwane leader Kgosi Maepa said the “financial mismanagement, corruption, malfeasance and maladministration by the DA/EFF nefarious coalition government has damaged the City of Tshwane‘s reputation and standing as the administrative Capital of the Republic of South Africa.
“The AGSA is saying that the City of Tshwane is the worst performing Metropolitan Municipality in terms of irregular (R5-billion), fruitless and unauthorized (R1.1-billion) expenditure in the 2017/18 financial year across the length and breadth of our country.”
“We would like to request the AGSA to immediately use and apply the amendments of the Act and recoup money wasted and irregularly spent by the DA/EFF coalition corrupt government.”
ALSO READ: AG says Tshwane finances need intervention
He also called upon the AGSA and other law enforcement agencies to “immediately come into the City of Tshwane to conduct investigations and reveal to residents why the City of Tshwane has been plunged into financial crisis by the DA/EFF nefarious coalition government of corruption.”
“The ANC is convinced and strongly believes that maladministration, fraud, corruption and other serious malpractices took place in the City of Tshwane during the 2017/18 and including the 2018/19 financial years.”
“We therefore call upon the MEC of CoGTA Mr Lebogang Maile to act without fear or favour.”
He said there was a failure by the city to direct and control its fiscal plan and undertake fiduciary responsibilities.
“We have concluded that the City of Tshwane has dismally failed in its fiduciary duty of due diligence, skill and care as outlined in the King IV on corporate governance.”
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In response, Tshwane mayor Stevens Mokgalapa said the “ANC seems to be hoping that if they repeat these lies long enough, they will eventually become truth.”
“Fortunately, facts do not need to be defended. The balance of irregular expenditure as at 30 June 2018 was just over R5-billion.”
He said this amount included the irregular expenditure that has been disclosed as a result of contracts which were entered into over three years ago, which affected three or four financial years (including 2017/18).
“It is crucial to note that these were contracts which were awarded in contravention of the SCM and the MFMA from the 2014/15 financial year under the ANC administration.”
“The DA led administration has never shied away from consequence management which is not what can be said about the ANC.”
ALSO READ: City misspent R1.9 bn – report
He said on 25 April he took a report to council with recommendations to activate section 32 of the MFMA- an action that was at least 5 years overdue.
“As a result, Council now has a resolution to recover irregular expenditure amounting to R3,2-billion, which is part of the R5-billion. We join the call to MEC Maile to act without fear or favour.”
“Unfortunately, the MEC seems to be under pressure to support his comrades that he was forced to send me a meeting request without dates and time to corroborate the misleading statement.”
He said the city has commenced investigations into the fruitless and wasteful expenditure “while the unauthorised expenditure investigations for 2017/18 and 2016/17 to the amount of R2.7-billion have been completed”.
ALSO READ: Tshwane metro in financial distress
He also refuted the claim that the city has only spent 50% of its capex budget.
“The city has spent more than 70% of its capex budget, the ANC can close their eyes and hope they are not seen, but lies have short legs,” said Mokgalapa.
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