Threat to name bank’s looters

WARNING: CFO FACED SUSPENSION UNTIL ULTIMATUM

Vhembe municipality special council meeting postponed.

A special council meeting to suspend the chief finance officer (CFO) for the Vhembe district municipality in Limpopo for contravening the Municipal Finance Management Act was abruptly cancelled yesterday after he allegedly threatened to spill the beans about the actual looters of the VBS Bank’s millions.

Nyiko Machavi was accused of sanctioning the investment of up to R300 million of the municipality’s money in the bank.

Sources told The Citizen Machavi gave the municipality an ultimatum to either suspend him or publicly name and shame those who worked in cahoots with the bank management to defraud it.

Although Machavi could not be reached for comment, municipal spokesperson Ralushai Matodzi said: “I can confirm that such a meeting was scheduled to take place...

“But I am afraid it was postponed until further notice.

“I was not furnished with reasons [for] the cancellation,” said Matodzi.

Vhembe is one of the 15 municipalities from three provinces that invested more than R1.5 billion in VBS. The municipalities are from Limpopo, North West and Gauteng.

The Vhembe district municipality is under the political tutelage of Florence Radzilani, who is also ANC deputy provincial chairperson and was among those named by a report into the fraud.

Several CFOs in Limpopo municipalities have already been suspended or resigned.

Among them are Giyani municipality’s CFO Hitler Maluleke, director for technical services Patience Mathebula and Greater Tubatse’s CFO Frank Ratau.

Ratau resigned in June, weeks after his suspension. –