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War over R900M ‘financial misconduct’ erupts

Explosive corruption claims have triggered a bitter war of words at MLM, with officials denying a so-called R900 million scandal while former councillor April Motaung accuses the ANC-EFF-led administration of a massive cover-up.

SASOLBURG – A back-and-forth war of words between a municipal official and former councillor April Motaung has erupted at Metsimaholo Local Municipality (MLM) over allegations of financial misconduct.

This comes after Motaung, now aligned with the Fezile Dabi Civic Movement (FDCM), publicly raised concerns over what he described as a “R900m financial scandal” allegedly linked to the municipality.

But Metsimaholo has rubbished the allegations, terming them as misleading and dangerous.

In a statement issued by municipal spokesperson, Dr. Gino Alberts, he accused Motaung of distorting facts and creating unnecessary panic among residents and investors.

According to Alberts, the controversial R900m figure was not a hidden scandal but a cumulative amount already reflected in previous Auditor-General reports and currently under review by the Municipal Public Accounts Committee (MPAC).

“The statements presented, particularly those relating to the R900m, the purported R188m unauthorised withdrawals, and the R50m payment to the Lizell Trust, are framed in a manner that is misleading, lacks context, and risks creating unnecessary panic among residents and stakeholders,” he said.

Alberts further defended the municipality regarding claims of an alleged unauthorised R188m withdrawal, saying the movement of funds fell within the municipality’s approved Investment Policy and complied with the Municipal Finance Management Act (MFMA).

Alberts insisted that the Municipal Manager, as accounting officer, has legal authority to manage municipal investments and withdrawals within approved parameters.

“Portraying a regulated financial adjustment as unlawful is not only inaccurate but creates a false impression of misconduct where none has been established through due process,” he said.

The municipality also addressed allegations surrounding a controversial R50m payment to the Lizell Trust, stating the matter remains subject to legal processes.

“Such claims disregard the complexity of the matter and attempt to prematurely adjudicate it in the court of public opinion, rather than allowing due legal processes to unfold,” he said.

Albert also reminded the public that Motaung himself once served within the same council structures he is now criticising.

In response to Albert’s statement, Motaung fired back almost immediately, accusing the municipality of attempting to cover up corruption.

Speaking on behalf of the FDCM, Motaung said the municipality’s response showed that officials were “rattled by the truth”.

“We note with great interest the statement issued by the Municipal Spokesperson, Dr Gino Albert, which attempts to label our detailed blueprint of corruption evidence as misleading,” said Motaung.

“The FDCM views this response as a Divine Revelation — a clear admission that the administration is rattled by the truth.”

Motaung went further, accusing the ANC-EFF-led administration of trying to downplay what he described as systemic financial failures.

“By attempting to reduce a systematic R900m financial scandal to mere technical reporting, Dr Gino is actively participating in the coverup of the ANC-EFF’s administrative failure,” he charged.

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Sifiso Jimta

Sifiso Jimta is an experienced journalist of Ster North and Sedibeng Ster. He enjoys writing crime and feature articles. Email: sifiso@mooivaal.co.za

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