More public money ‘stolen’

Lolo Madonsela

AbaQulusi Local Municipality has stated another R1-million was stolen from the municipal purse.
According to acting Mayor, Mncedisi Maphisa, this amount was traced to the account of a particular business whose name he could not disclose, as the matter was still being investigated.
“This amount of R1-million is being reversed by the bank into the account of the municipality. The accused appeared in court and was granted bail amounting to R50 000, which she has failed to raise, and she is still in custody and will reappear in court on March 3. The accused is currently on suspension and the municipality will follow all processes and procedures to ensure she is duly brought to book. The lawyers will engage in the process of revoking their passports, once the suspect is not within police custody.”
The other suspect, who was arrested last week for allegedly stealing almost R4-million from the municipality, was out on R30 000 bail.
This money was meant to be used to pay Eskom its dues.

Also read: Accounting official arrested for stealing from town funds

Cllr Maphisa said the posts of both suspects would have to remain vacant, until all processes had been concluded regarding the alleged theft.
AbaQulusi Municipality owed Eskom R65 181 243,06 when the municipality was placed under administration in March last year. “We pay Eskom an amount, which equates to a payment arrangement we made with them to bill us on that monthly expenditure, in combination with R3 918 716,39. The amount fluctuates depending on the monthly expenditure to be integrated with the arrangement, and covers Eskom costs on a monthly basis. The current debt of the municipality, which is a balance on the payment arrangement, is an amount of R28 281 243,06 from an initial debt of R65 181 243,06.”
Cllr Maphisa claimed this debt was created by the Claveshy matter, in which the municipality lost all the money in its accounts ‘as per the order of the court’.
He said he did not foresee the municipality incurring such debt again.
“As in all our agreements and contracts, we ensure all due processes are followed and none of them result in any financial loss to both parties; the Municipality and those we enter into an agreement with.”
Cllr Maphisa assured residents of AbaQulusi, “We will continue to keep a watchful eye over the municipality, ensuring all the finances and matters of administration are managed well, and with honesty and transparency. We will continue to be an accountable and responsive Government to the people of AbaQulusi, giving them quality service delivery and honesty at all times.”
Regional Chairperson of the EFF in AbaQulusi, Thulani Ndlovu applauded the municipality on the swift arrests made and claimed there were more people involved in the matter.
“There are people involved in the stealing of public funds; more senior people and some in the financial department. We therefore call on the municipality to place everyone in the Finance Department on suspension until the investigations are concluded,” said Ndlovu. ANC Regional Secretary of Mzala Nxumalo, Zakes Buthelezi issued a statement reading, “The ANC wishes to thank the officials for the swift reaction, upon the realisation of such a shameful act in a municipality which fails even to provide the most basic services to its residents, such as failure to collect refuse and keeping public spaces clean. We are also optimistic the law enforcement agencies will leave no stone unturned.”

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