Central SA
FS municipality says it is ‘burdened with Eskom debt’─── LUCKY NKUYANE 10:00 Thu, 14 Mar 2019
The cash-strapped Maluti-A-Phofung Local Municipality in the Free State has explained the main reasons why it constantly fails to honour its debt with the power utility Eskom.
It is blaming what it calls the tampering of electricity meter boxes, and the vandalism of bulk and electricity distribution infrastructure as the main reasons it fails to honour its Eskom debt.
The municipal spokesperson, Kedibone Sentle, tells OFM News that the municipality is burdened with servicing the power utility’s debt. This follows Eskom’s attachment of the municipalty’s assets over power supply debt of about R2.8 billion. The municipality further appeals to residents to report perpetrators of these malicious acts to the municipality. Sentle says the municipality is strengthening its credit control measures to ensure that communities pay for services received.
This comes in the wake of the arrest of two senior officials, Chief Financial Officer Nrateng Khumalo, and the Expenditure Manager Diakanyo Khampepe, who were arrested on Thursday 7 March 2019 for alleged fraud and corruption and subsequently appeared on Friday 15 March where they were both granted R10 000 and R1 000 bail respectively. OFM News previously reported that according to the Hawks’ Hangwani Mulaudzi, the two ladies’ arrest came as a result of the directorate’s investigation into a security services tender that was allegedly awarded irregularly by the municipality to a company called Zero Tolerance back in 2016. The municipality reportedly lost approximately R4.6 million as a result of the alleged irregular, wasteful and fruitless expenditure.
OFM News
