Involve organised business in selecting key ELM personnel

Municipal capture is expected to enter its most intensive phase yet after ELM council delivered a stunning “own goal” last week by extending the contract of its top official, who is still deeply implicated in multiple gross dereliction of duty issues costing almost R100 million.
The selection and appointment not only of a permanent Municipal Manager (MM), but also the contractual appointment of especially impartial auditing and Risk Management committee chairpersons is at stake. “These appointments and contracts will directly influence the success of
turnaround strategies at ELM as well as high levels of corruption and maladministration,” said both ELM and political sources.
Now Organised Business says it needs a representative on the selection panels for ELM’s new permanent MM and other top executive appointments
at the failing local authority.
ELM is embroiled in a R900 million unauthorised contract scandal and a meter replacement debacle already costing almost R50 million in lost revenue and damages – both of which implicate acting MM Dithaba Oupa Nkoane. Although appointed by Province to clean up ELM, Nkoane and his newly appointed Chief Financial Officer, Andile Dyakala, have continued massive unauthorised expenditure; the most recent paying R3 million in an “agreement” to cover up lack of planning to bring an end to the smart meter programme.
Klippies Kritzinger, CEO of the Golden Triangle Chamber of Commerce (GTCoC), said it was imperative that the interests of business be represented on selection panels for top municipal officials. “It is imperative that greater confidence in the Vaal be generated as an investment, tourism and job creation destination and the role of ELM and its Financial Recovery Plan are central to this.
“Service delivery is the centre of creating confidence in the Vaal and economic prosperity and job creation cannot take place without greater cooperation between local government and organised business,” said Kritzinger.
However, the three-month contract extension for Nkoane approved by a joint ANC/EFF vote in council last week has cast doubt on the integrity of the permanent MM selection process and other key appointments at the corruption-riddled ELM. Business, civil society organisations and political parties have said this will allow Nkoane to play a key role in appointments and exert influence at ELM for years to come – exactly the existing problem
highlighted by the Comperio report of patronage networks inside ELM extending over years even with changes in top appointments. The Comperio report has not yet been tabled before council or released publicly, but has been seen by a variety of stakeholders after selected excerpts were “officially leaked” by top municipal officials seeking to control the national media narrative on Emfuleni corruption.
Nkoane is implicated in the R900 million Comperio forensics report regarding illegal extension of a R300 million security contract as well as the incompetent handling of the smart meter replacement saga this year resulting in revenue losses and damages approaching R50 million, a Mooivaal Media investigation has revealed. The Gauteng Province Finance MEC, Nomantu Nkomo-Ralehoko, has received a report from Nkoane on the costs of his failed meter replacement strategy but it has not yet been released for public scrutiny on its veracity and comprehensiveness. Kritzinger has also called for this report to be released so that it can be compared with business estimates and assessment of the disastrous impact of Nkoane’s mismanaged metering process.