EFF lays fraud charges against municipality
THE EFF in the Northern Cape laid charges of fraud and corruption against the Ga-Segonyana Municipality on Friday.
EFF caucus leader in the Ga-Segonyana district, Lebogang Leserwane, said that the charges related to the flouting of supply chain management processes, the mismanagement of funds and the payment of salaries from the Municipal Infrastructure Grant from 2015 to 2017.
He added that the municipality was failing to generate any income. Meanwhile, the DA objected to the renewal of the contract of a senior official at Ga-Segonyana Municipality, who was charged for fraud relating to a R9.8 million tender.
DA provincial leader, Andrew Louw, said that the official was facing “very serious fraud charges”.
“The DA vehemently opposed the three-month renewal of the contract that officially came to an end on Friday (June 30),” said Louw.
He stated that the official’s co-accused is also a senior official at the municipality.
“There is no obligation on the municipality to renew a contract which comes to an end, given the fraud charges as well as his poor track record in terms of performance,” said Louw.
Hawks spokesperson, Captain Philani Nkwalase, said that the two officials from Ga-Segonyana Municipality were arrested on June 20 and are expected to appear in court on Wednesday.
Served
“The Hawks’ Serious Commercial Crime unit served the two officials with charges of fraud and contravention of section 173 of the Municipal Finance Management Act 56 of 2003 (MFMA).
“The 39-year-old former senior employee at the municipality was arrested on June 20 while another senior officer, 64, who is employed at Ga-Segonyana Municipality, was arrested last week. They were both arrested through a court summons.”
Nkwalase added that the Hawks investigation revealed some irregularities that date back to September 2012 during the process of selecting a service provider for the municipality.
“It is alleged that the company that won a tender bid, submitted invalid documents. The company was contracted for three years and received a total of R 9.8 million paid out in monthly instalments for the service rendered. Consequently, two senior company officers were also charged for various counts of fraud.”
Nkwalase confirmed that a meeting had taken place between Hawks members and a representative of a concerned group.
He did not wish to disclose the political affiliation of the group.
“The matter raised is receiving the necessary attention. We would like to discourage those that wish to raise criminal matters with us from mobilising the media without our knowledge to report about matters under investigation. Our strategy is to report successes not matters under investigation.”