DA opens case of corruption and fraud against LLM

In their response, LLM stated their intention to provide clarity on the internal processes followed in the procurement of the service provider to implement the project. Gerry Holtzhausen, DA Ward 9 Councillor for Lesedi subsequently advised that the DA met with the Municipal Manager (MM) to obtain this clarity and raised serious concerns regarding the disposal of the single biggest asset on the LLM balance sheet, valued at more than R10 million, through an internal supply chain management process.

“The MM confirmed that the so-called Public-Private Partnership process was not followed. Which then leaves the only other option to be followed, namely in accordance with the Municipal Transfer Regulation Gazette No 31346; (Regulations). The Section 80 LED and Planning Committee, has to assess all applications made by individuals or companies who want to use Municipal owned property for their own benefit,” Holtzhausen said.

“The Sec. 80 committee’s recommendations go to Council for formal discussion and approval, yet, in the instance of the Heidelberg Aerodrome project this process was not followed,” Holtzhausen added.

According to the response from LLM, the Aerodrome project is listed on the Integrated Development Plan (IDP) and therefore does not require oversight from Council. The DA disputes this on the basis of the Regulations which requires several steps to be followed and approved.

The mere fact that a project is mentioned in an IDP document, does not nullify due process to be followed. Because of the DA’s concern that internal processes were not followed and their allegations that the LLM did not adhere to the Regulations, a case of corruption and fraud was opened at the Heidelberg Police Station on March 16th.

“The DA obtained a police case number and the case was subsequently handed over to the HAWKS for further investigation,” Holtzhausen concluded.