Endumeni: ‘pay back R2,7 mln’

2013-07-24 00:00

FORMER Endumeni acting municipal manager Bart Maltman is likely to be served with a letter of demand to pay back about R2,7 million to the municipality.

The Natal Joint Municipal Pension Fund took the municipality to court in 2010 to recover R2,7 million it had paid to Maltman, who was a manager in technical services until 2007. His contract as acting municipal manager expired on May 18 this year.

Maltman allegedly changed his membership from the superannuation fund to the provident fund, and reduced his pensionable benefit to R5 000 per month. He then rejoined the superannuation fund and, according to court papers, with immediate effect increased his pensionable emoluments to R34 000 per month.

In this way, he was credited in the superannuation fund with 45 years’ service, although he was only 43 years old. A year later, he resigned from his employment and received R2,7 million.

In a letter from the Treasury Department dated June 24, signed by the head of department Simiso Magagula and addressed to Mayor Thulani Mahaye, the department alleges that a payment made by the municipality to the fund to address the shortfall that resulted from the Maltman payout amounted to an irregular and wasteful expenditure.

The four-page letter, which The Witness has seen, recommended that the accounting officer of the municipality immediately take steps to recover the loss incurred by the municipality from Maltman in accordance with the provisions of the Municipal Financial Management Act.

The municipality must also investigate the possibility of an internal disciplinary hearing against Maltman, emanating from his conduct of manipulating information that he was privileged to access because of being a senior manager within the municipality to the detriment of his employer.

Attempts to get comment from Maltman since last week were unsuccessful as his cellphone rang unanswered. Voice messages were left, but were not returned.

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