Alliance says BNG houses sold to ‘illegal foreigners’

THE Patriotic Alliance (PA) is demanding the City act on what it claims are the sales of Breaking New Ground (BNG) houses, formerly known as RDP houses, to “illegal foreigners”, and has promised to stop such sales if it comes to power in local government elections.

The party’s Western Cape deputy leader Sammy Claassen said the PA was aware of illegal foreigners who were buying or renting residential BNG homes and converting them into spaza shops or putting them to other commercial use.

“We are losing millions as these monies that could have been contributed to the fiscus through taxes and services are lost due to the situation of illegal foreigners finding loopholes in the system. All our mayoral candidates will use the courts, by-laws and an effective administration of law enforcement units to deport and stop this. This is a local government function and duty which is ignored under the DA and ANC rule,” Claassen said.

Responding to the issue of the illegal sale or rental of BNG houses, Mayco member for human settlements Malusi Booi said the law was clear that recipients of BNG houses had to keep the house for at least eight years before they could sell.

“If it is sold after eight years, it is an acceptable free market transaction. In addition, according to the City’s allocation policy, a beneficiary shall not rent their property until the transfer of the property has been registered. During the first eight years, it is the property of the State and may not be used for any form of illegal activity.

“The point of receiving a subsidised house is to move beneficiaries out of informality, to assist with access to affordable housing, and to give beneficiaries an asset they can decide what to do with when the eight-year restrictive clause comes to an end,” Booi said.

He said if the PA had any proof of its allegations, it should contact the police which was the lead authority responsible for crime prevention.