South Africa

Mkhwebane implores Limpopo municipalities to implement Motau VBS Bank report

Several municipalities in the province and others in Gauteng and the North West have lost billions of rands in taxpayers’ money by improperly investing more than 3.1 billion rands in the bank in violation of several financial prescriptions.

Mutual Bank VBS in Thohoyandou. Image: Sethembiso Zulu/EWN

JOHANNESBURG – Public Protector Busisiwe Mkhwebane on Thursday implored Limpopo municipalities to implement recommendations from reports on the defunct VBS Mutual Bank.

Several municipalities in the province and others in Gauteng and the North West have lost billions of rands in taxpayers’ money by improperly investing more than 3.1 billion rands in the bank, in violation of several financial prescriptions.

However, years after the Ombudsman’s initial report and later Terry Motau’s forensic report, Limpopo municipalities have yet to sanction councilors who acted illegally.

The Public Protector said the office has directed the council presidents of Makhado, Grand Giyani and Tubatse Fetakgomo, among others, to follow up on the outstanding recommendations of the Motau report and also take appropriate steps to ensure that the audit committees were properly constituted, but nothing came of it.

Other instructions required provincial MECs of Cooperative Governance, Human Settlements and Traditional Affairs to submit regular reports to the National Treasury on the implementation of corrective action, but this is also pending.

Although there are ongoing trials involving some of the figures involved in the scandal, the statement from the Ombudsman shows that little or no attention has been paid to holding the councils accountable.

Mkhwebane met Limpopo Prime Minister Stan Mathabatha and other officials as part of a national tour where she reminded them of their obligations.

Municipalities involved in the VBS saga illegally invested large amounts of public funds, which were to be used for the provision of services in the bank, with Vhembe District Municipality losing R300 million out of over R1 billion invested .



Mkhwebane implores Limpopo municipalities to implement Motau VBS Bank report

Source link Mkhwebane implores Limpopo municipalities to implement Motau VBS Bank report

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