Media Statement by the Ugu DA Caucus
The Ugu DA Caucus welcomes the investigation initiated by the MEC for COGTA. It was the Democratic Alliance that highlighted the financial problems & mismanagement to the previous MEC of COGTA. Finally the important investigations has been initiated.
The investigation is in terms of section 106(1)(b) of the Municipal Systems Act, 2000 at the Ugu District Municipality into allegations of maladministration, fraud and corruption.
This investigation will focus on the following:
1. The alleged irregularities in the use and appointment of water truck operators.
2. The alleged irregularities in the appointment of a consultant to supply VIP toilets.
3. The alleged irregularities in a tender where a contractor is awarded contracts at an excessively inflated price beyond the grading requirements of 2GB.
4. The alleged irregularities in the appointment of senior Ugu staff members.
5. The alleged overstaffing of the Municipality by over 300 staff members.
6. The alleged irregularities at Fleet Management in respect of vehicle and tyre purchases.
7 The alleged existence of ghost employees within the Ugu Payroll.
8. The alleged irregular appointment of a contractor for the upgrading of the Bhoboyi Pumpstation and the installation of electromechanical equipment through Regulation 36 for millions of Rand.
9. The alleged irregular award to, and failure by the service providers awarded to complete work, despite payments being made and budgets being exhausted on the following projects:
– Mzimkhulu Water Augmentation
– Umzinto Waste Water
– Umhlabasane Water
– Umthavuna Water Augmentation
– KwaLembe Water Supply Scheme
– Malangeni Low Cost Housing
10. The alleged irregular appointment and payment of six service providers on the Sanitation Refurbishment Project.
11. The alleged irregularities in the expenditure on the replacement and repair of pumps meanwhile the water challenges within the District still persist.
Tsalach Consulting Services has been appointed to perform this investigation, which is funded by the Department in it’s entirety, and the Departmental Officials will also monitor the process to it’s conclusion. A final report will be handed to the MEC, with recommendations as to any corrective actions necessary.
Currently there is no timeframe as to when this investigation will be completed. The Democratic Alliance, through its KZN Provincial Legislature representatives, will ensure a thorough and speedy completion.
However we believe that it is not enough, and more action is needed to save Ugu. Our desperate calls for action has gone unheard over the last three years. We therefore call on the recently appointed MEC of COGTA Hon Sipho Hlomuka to immediately place Ugu under Administration in terms of Section 139.
Ugu DA Caucus