Municipality instructed to comply with audit report

MEC Collen Maine has instructed the Lekwa Teemane municipality to comply with the audit report or face serious consequences from the provincial government. Image: My Society

The MEC said the department ordered the council of the municipality in Bloemhof to obey the audit recommendations, following the presentation of the damning report on the affairs of the municipality.

"The report recommends that a moratorium on disposal of land is imposed and that a disciplinary action be taken against officials who transgressed these disposal processes in accordance with the Municipal Finance Management Act (MFMA)," the department said.

Earlier this year, the community of Boitumelong Township near Bloemhof in Lekwa Teemane local municipality accused officials of fraud, corruption, nepotism, and maladministration and staged violent protests demanding these allegations be investigated.

The department said the forensic audit outlined the issues raised by the community in a memorandum.

According to the department, the forensic audit revealed that the appointment of one councillor went ahead despite the fact that the councillor was discharged from his previous job because of fraud.

The report also revealed that:

• An employee of the municipality, who is also the brother of the then Mayor, was involved in a car accident while on duty and never faced any disciplinary hearing for drunken driving. The same official was appointed to a management position despite the fact that he did not meet the requirements;
• Charges of fraud and corruption against the then Mayor, Municipal Manager and two other councillors were withdrawn due to lack of evidence;
• Standards were lowered during the appointment of certain officials who did not meet the requirements;
• Goods and services with a transaction value of below R200 000 were procured without obtaining the any quotations as required by the supply chain management and treasury regulations;
• Goods and services with a transaction value above R200 000 were procured without any competitive bids as required by supply chain management regulations;
• Bids were not always evaluated by the bid committees, which were supposed to comprise officials from affected units and supply chain management practitioners as required;
• Competencies of middle managers were not assessed promptly in order to identify and address gaps and competency levels, as required by the Municipal regulations on minimum competency levels;

• All land that was sold in the last three years was sold at prices lower than valuation roll.