Bankrupt municipality foots fraud-accused MECs' legal bills

2015-05-04 14:14
(File)

(File) (Shutterstock)

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Bloemfontein - The cash-strapped Matjhabeng local municipality near Welkom is paying the legal costs of two former Free State MECs, who are on trial for alleged abuse of public funds.

This was revealed in a response to a written answer to a question by the DA to Olly Mlamleli, MEC of the Department of Cooperative Governance and Traditional Affairs.

Health MEC Benny Malakoane, and Sports, Arts and Culture MEC Mathabo Leeto, are on trial for their alleged involvement in a multi-million rand fraud and racketeering ring, irregular tender processes, and abuse of public funds.

Malakoane served as Matjhabeng’s municipal manager and Leeto, was the mayor at the time of the alleged infringements.

Mlamleli could not disclose the amounts involved in the legal assistance since this matter is still before the court.

Malakoane claimed in a written reply that his legal matters were private and therefore he was footing his own bills.

According to Leeto, her department was not responsible for the payment of any legal fees in this matter.

According to David van Vuuren, DA Chief Whip in the Free State legislature, Matjhabeng is technically bankrupt.

The municipality has never received a clean audit since its inception and has received a disclaimer of opinion and adverse findings consecutively for at least the last five financial years.

In addition, the municipality owes Eskom almost R600m and Sedibeng Water almost R1.1bn in debt.

Read more on:    bloemfontein  |  fraud  |  crime

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.
NEXT ON NEWS24X

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
108 comments
Comments have been closed for this article.

Inside News24

 
ADVERTORIAL
Competition regulation for a growing and inclusive economy

ADVERTORIAL: The Competition Commission of South Africa is conducting advocacy work in the South African automotive aftermarket industry and has gazetted a Draft Code of Conduct for public comment.

/Sport
 

WATCH: Man films himself going down water slide upside down as things go very wrong…

What is at first an exciting tummy-turning adventure stunt, quickly turns into a scarily bad idea caught on camera. Take a look:

 
 

You won't want to miss...

WATCH: Conor McGregor: Notorious the trailer
Best date night restaurants in South Africa
WATCH: Ryan Reynolds offers fans a free tattoo in new Deadpool 2 teaser
Should you date your co-worker?
Traffic Alerts
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.