VBS scandal: Makhado municipal officials face DA motion of no confidence

2018-10-30 13:26
VBS Mutual Bank moes byna 80% van sy personeel afdank weens kontantvloeiprobleme.

VBS Mutual Bank moes byna 80% van sy personeel afdank weens kontantvloeiprobleme.

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

Two top Limpopo municipal officials could be shown the door on Tuesday for allegedly investing R63m with VBS Mutual Bank without following proper procedures.

Makhado Municipality mayor Mildred Sinyosi and municipal manager Johannes Kandwendo may be left without jobs on Tuesday afternoon when a motion of no confidence is debated in a special council meeting at 14:00.

Read: Heads roll in Limpopo over VBS scandal

The DA brought the motion of no confidence because the party believes the two played a role in the misappropriation of funds by allegedly investing in VBS without approval.

"Ratepayers' money was 'invested' without following proper procedure as laid out in [the] Municipal Finance Management Act and National Treasury regulations," the DA's Geoffrey Tshibvumo said.

A week ago, the chief financial officer of the Giyani Municipality, Hitler Maluleke, was dismissed over an investment of almost R160m in VBS Mutual Bank.

Maluleke is the former CFO of the Makhado Municipality.

Read more: VBS scandal: Giyani municipal CFO fired over suspected involvement

"Part of the reason for his dismissal is that he was directly involved in the infamous VBS investment scandal and he is also accused of having authorised [payment] for some projects that were not done," municipal spokesperson Steven Mabunda said.

A forensic investigation was instituted into the payments, which were discovered by a newly appointed municipal manager.

Maluleke was dismissed after a disciplinary hearing.

Mabunda said the R160m invested in VBS might have been lost forever: "It might not come back."


Read more on:    vbs  |  vbs bank  |  polokwane  |  crime  |  corruption

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

Inside News24

 
/News
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.