Knysna’s ‘misuse of funds’ to be probed

PARLIAMENT has requested the public protector to investigate allegations of maladministration and financial irregularities levelled against the DA-run Knysna Municipality.

Parliament’s committee on petitions and executive undertakings asked the protector yesterday to probe and provide findings related to a petition drawn up by concerned Knysna residents Mike Hampton and Susan Campbell.

They levelled a raft of allegations against the municipality’s administration and alleged that the tourism department had been involved in irregular funding using taxpayers’ money.

They also alleged the municipality was involved in tender irregularities related to Knysna’s Integrated Strategic Development Framework (ISDF) project.

Hampton’s petition further alleges that the municipal manager had been illegally appointed, and that other irregularities had resulted from this.

Parliament spokesperson Temba Gubula said the protector is privy to the alleged illegal funding of Knysna Tourism and the alleged illegal awarding of the ISDF tender.

In his response, Knysna Municipality manager Grant Easton said Knysna Tourism (KT) is a section 21 company and not a municipality entity.

“For this reason it is not governed by the municipal council, but it receives an annual grant from the municipality for provision of tourism services and skills in terms of a service level agreement,” Easton said.

Easton revealed that KT receives R4 million a year, but received R6m during the 2010 World Cup to host some matches.

With regard to the ISDF tender, Easton said the municipality had hired an attorney to deal with the objections made by Campbell.

He said all representations made in relation to the ISDF would be taken into consideration before a final draft of the ISDF is approved and adopted by the municipality.

Public Protector spokesperson Oupa Segalwe said their office is aware of the allegations and would be looking into the matter once it receives Parliament’s official request.