Central SA
Matjhabeng criticised for ignoring financial recovery plan─── ZENANDE MPAME 12:50 Wed, 14 Jan 2026
Concerns are mounting over the continued defiance of the Financial Recovery Plan in the Matjhabeng municipality.
Political parties, civil society organisations, and National Treasury warn that ongoing resistance to administration efforts is deepening the municipality’s financial and service delivery crisis. Matjhabeng was placed under administration in June 2025 in terms of Section 139(b) of the Municipal Finance Management Act after years of financial instability and governance failures.
Administrator Makalo Mohale and his FRP team were appointed to implement a High Court-backed recovery plan aimed at restoring financial discipline and improving service delivery. However, multiple stakeholders allege that the municipality’s political and administrative leadership has consistently obstructed these efforts.
“The persistent defiance of the financial recovery plan by the executive may be putting residents’ safety and welfare at risk and preventing service delivery,” said Free State NCOP member Igor Scheurkogel. “The provincial financial recovery team’s letters and monthly reports required by the national treasury have been ignored by the speaker to be tabled in council.”
They’ve requested the intervention of the minister of Cogta, the director general, and the NCOP select committee on Cogta, which conducted an oversight visit to confirm the Section 139 intervention, he said.
The Matjhabeng Community Foundation disapproved of the disregard of the FRP team, led by Mohale, by the Matjhabeng political and administrative leadership. Records show that the administrator’s requests to implement the recovery plan were consistently disregarded, with the municipality failing to respond to letters or implement the recommendations.
“This behaviour is not only unacceptable but also poses serious risks to the survival of the Matjhabeng municipality and is detrimental to service delivery,” it said in a statement. “The pattern of defiance highlights a disturbing trend that must be addressed with urgency.”
During an FRP workshop, it was revealed that the municipality has spent R14 million on an illegal EPWP unit.
The report provided comprehensive findings that there was a co-funding of the EPWP grant by 63% in 2023/24, amounting to R4.7 million, and 86% in the 2024/25 financial year, amounting to R10.25 million. An inquiry was sent to the Matjhabeng municipality.
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