Zwelinzima Vavi calls for Gwamanda to resign amid funeral policy scam allegations

South African Federation of Trade Unions (Saftu) general secretary Zwelinzima Vavi has called for the resignation of former Johannesburg mayor Kabelo Gwamanda.

After stepping down as the mayor earlier this year, Gwamanda assumed the position of Member of the Mayoral Committee (MMC) of Community Development position current mayor Dada Morero.

Vavi’s reaction follows Gwamanda’s arrest on Friday on alleged fraud charges.

Resign or step aside

Gwamanda is part of the Al Jama-ah political party.

Although the party does not have a step-aside policy like the African National Congress (ANC), Vavi believes Gwamanda should recuse his responsibilities as he battles the charges.

He should be in the Mayor's office first thing in the morning to submit his resignation or at least to step aside while battling fraud charges

‘Dead’ former mayor Kabelo Gwamanda arrested over funeral policy scam – report https://t.co/VUNIkkoPF8 via @TheCitizen_News

— Zwelinzima Vavi (@Zwelinzima1) October 20, 2024

Vavi’s stance on the topic prompted people to question his “high morality”.

ALSO READ: ‘Dead’ former mayor Kabelo Gwamanda arrested over funeral policy scam – report

The ‘dead’ mayor

Al Jama-ah on Sunday confirmed Gwamanda handed himself over to the police on Friday and appeared in court on the same day, but questioned the timing of the arrest.

Gwamanda’s fraud allegations were exposed by former Joburg mayor Mpho Phalatse in May 2023.

Phalatse claimed Gwamanda violated financial laws and scammed members of the public.

“It is alleged that Cllr Kabelo Gwamanda, through his entity iThemba Lama Afrika, swindled innocent residents into investing in a funeral/investment scheme. However, when it was time for investors to claim their benefits, they were left stranded,” said Phalatse at the time.

One frustrated client, according to the police report cited by the Sunday Times, was told the company’s two directors committed suicide.

“Investors were under the impression that both directors had died, only to see one suspect appearing on TV as the mayor of Johannesburg.”

‘Questionable’ arrest

In its response, Al Jama-ah said Phalatse’s approach to the situation was malicious and aimed at ruining Gwamanda’s reputation.

“We are surprised by the timing of law enforcement action, coinciding with Cllr Gwamanda’s appointment to the GNU [government of national unity] Clearing House Committee and the eve of the contested renaming of Sandton Drive to Leila Khaled Drive,” the party’s statement read.

ALSO READ: Al Jama-ah commends Gwamanda’s ‘courage and cooperation’, questions timing of his arrest