Note to editors: Please find attached an Afrikaans soundbite by Cllr Anelia Smit, English by Cllr Eric Motloung and Sesotho by Jafta Mokoena MPL.
The auction of municipal equipment in Case No. 259/2023 involving Pro-Plan Consulting Pty Ltd and Nketoana Local Municipality is cause for concern.
Pro-Plan Consulting Pty Ltd took legal action against Nketoana for alleged ‘illegal termination of contract,’ dating back to 2019. Despite Nketoana’s contestation, the court ruled in favour of Pro-Plan Consulting, mandating the municipality to pay a substantial amount of R 11,602,105.36.
Reports indicate that Nketoana agreed to a payment plan, promising R 1.5 million in March 2023 and another R 1,500,000.00 in July 2023. While the March payment was made, the municipality failed to fulfil the July 2023 payment without providing any valid reason. Consequently, Pro-Plan Consulting pursued legal action, leading to the auction of various assets.
Of significant concern, one auctioned asset was mistakenly attributed to Nketoana when it belonged to a contractor. The DA anticipates further action from the contractor’s side.
The total proceeds from the auction amounted to approximately R 717,000.00. Notably, the Isuzu 800FTR Dumping Truck alone was sold for approximately R 120,000.00. Currently, the municipality is seeking quotations for a similar ‘compactor truck’ and aims to secure funds amounting to R 2,159,999.99 from the Municipal Infrastructure Grant (MIG). However, only R 1,680,000 has been approved, leaving a shortfall of R 479,999.99 that Nketoana must cover.
Furthermore, the DA has learned that additional subpoenas will be issued by other contractors, indicating a deeper issue within the municipality’s management. The mismanagement and lack of transparency have severe repercussions for our community. The loss of valuable municipal assets and financial strain resulting from legal battles directly impact the services and resources that can be provided to residents.
We demand immediate accountability from Nketoana Local Municipality. We will actively pursue transparency, urging for a thorough investigation into this matter. The DA commits to advocating for better management practices and enhanced service delivery within the municipality.