By More Matshediso
Pretoria - The North West executive committee (Exco) has approved the extension of the financial intervention in the Matlosana Local Municipality by a further six months.
The MEC for Local Government and Human Settlements, Collen Maine, announced the Exco decision at a council meeting at the municipality premises, on Wednesday.
The municipality has accepted the Exco decision.
Matlosana was placed under a section 139(1) (b) intervention in March 2013 as a result of financial problems, which resulted in notices from Eskom and Midvaal Water board to discontinue bulk services provision due to non-payment.
The initial intervention was for a minimum of six months and a maximum of 12 months, which ended last month.
The extension of the intervention means that the powers or obligations of the council of Matlosana on financial management will remain with the Provincial Exco for the duration of the intervention period, which ends in December 2014.
The municipality’s financial status was deteriorating and this warranted an intervention from the provincial government to continue delivering services to communities.
MEC Maine said the Exco has also approved the allocation of additional funding to the provincial Department of Local Government and Human Settlements to institute a forensic investigation against Matlosana’s supply chain processes.
The investigation will be conducted to confirm or nullify allegations of maladministration, corruption and contravention of due processes.
The mayor of the city, Kagiso Khauoe, said the municipality accepts both the extension and the investigation.
“We appreciate and accept the extension by Exco and the need to institute a forensic investigation, which will hopefully close down concerns regarding the alleged irregularities in our municipality,” said Khauoe.
He said his municipality has a common understanding and a better relationship with both Eskom and Midvaal Water Board on the arranged debt recovery plan. –SAnews.gov.za
