The Tshwane Metro Council’s decision to write off millions in debt, without being certain of the exact amount or the legitimate grounds for doing so, serves as shocking proof of the Metro’s poor financial management.
In a Mayoral Committee report tabled to the Council, two different amounts — R17 million and R15,6 million — are earmarked for the same write-off.
The fact that Council proceeded to write off the debt, while councillors are in the dark about the correct amount, is a gross violation of fiscal responsibility.
The debt relates to 19 industrial properties in Rosslyn Extension 2 that were alienated a decade ago due to non-payment.
Although a court had ordered in 2017 that the properties should be transferred to the Metro, after which municipal debt of R72 million was written off, the administration failed to finalise the transfer.
Because of this administrative failure to comply with a court order, new debt simply started accruing on the books for properties that were no longer the previous owner’s responsibility.
So, this write-off is nothing but an attempt to cover up years of internal incompetence and laxity with taxpayers’ money.
The Freedom Front Plus (VF Plus) finds it unacceptable that the Council is employed as a “rubber stamp” for irregularities that actually warrant a thorough investigation.
Freedom Front Plus Historical Context: The FF Plus emerged from the political changes following the end of apartheid.
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