KINROSS-The Democratic Alliance (DA) has submitted questions to the MEC of Finance, Economic Development and Tourism, Mr Vusumuzi Mkhatshwa, to ascertain why another project of the Mpumalanga Economic Growth Agency (MEGA) is failing.
MEGA entered into an agreement with Dalamba Victorious Trading in 2016, where they initially approved and disbursed a loan of R6.39-million for the construction of a shopping mall in Kinross.
The completed shopping mall has been standing empty since 2019 because MEGA and Dalamba Victorious Trading struggled to reach a compromise when the owners could not secure additional funding for the supermarket franchise.
They approached MEGA for a second loan, which was approved subject to MEGA liquidating the first loan by taking ownership of the property.
Former MEC of Finance, Economic Development and Tourism, Mr Sikhumbuzo Eric Kholwane, stated that the Mpumalanga government had injected R22-million into this project to stop it from becoming a white elephant.
The DA has asked the MEC to clarify the money lent to Dalamba Victorious Trading, and the reasons as to why MEGA is not able to resolve the issues to ensure that this becomes a viable project creating the much-needed jobs and economic stability for the Kinross area.
Mr Kholwane attended the sod-turning ceremony at Ext 25, also known as Afghanistan, in November, 2016.
The event was in celebration of the new shopping centre that was to be built in Ext 25.
Community were promised that after six months the first shop will be opened.
Ms Florence Bogatsu from Small Entrepreneur and Development Agency, said they helped Mr Thandani Dalamba of Dalamba Victorious Trading with the business plan.
Mr Kholwane praised Mr Dalamba as someone who is committed to ensure the success of the project.
“He pushed all the buttons until Mega assisted him,” added then MEC, who also urged the community to look after their place.
