Note to Editors: Please find the attached soundbite in English and Setswana by Cllr Lesego Maila.
The Democratic Alliance (DA) is taking steps to turn the financial mismanagement at the Great Taung Local Municipality around, including recommending the suspension of the Municipal Manager and Chief Financial Officer.
For the past two years, the Municipality has failed to submit its annual financial statement as required by Section 126(1)(a) of the Municipal Finance Management Act of 2003.
Yesterday, during a virtual Special Council meeting the municipality presented a report claiming that the delay was due to Covid-19 as the finance staff was working remotely and were unable to consolidate all relevant financial supporting documents.
However, in the 2018/2019 financial year, South Africa had not yet reported any cases of Covid-19 and yet in the same report, there was no financial statements or information submitted.
The report that was presented shows that the municipality is not taking responsibility for the financial mismanagement and their failure to comply with their statutory obligations.
Treasury even extended the deadline for the annual financial statements to be submitted and still the municipality failed to meet that deadline.
During the council meeting, the DA submitted the following recommendations to be considered by the council:
1. That a forensic investigation is immediately conducted as the annual financial statement was not submitted because there wasn’t enough financial information and supporting documents submitted. The lack of information points to irregularities by the Accounting Officers.
2. We requested that the AG report on failed submission of the annual financial statements be made available and tabled in council.
3. We are also of the view that the Mayor failed to exercise his oversight role over the financial management of the municipality, he must therefore be held responsible for his failure.
4. We have also requested an audit into the money spent on overtime by all financial staff of the municipality, should any irregularities be found, the Municipal Public Accounts Committee (MPAC) must ensure that the money is recovered since the has been a failure in performing duties.
5. The DA also recommended that the Municipal Manager and the Chief Financial Officer be suspended pending said processes.
The DA made these recommendations, however, the Speaker of Council, Cllr Ebuseng Tladi, did not allow for the secondment to take place, rendering council useless in exercising its duties.
Section 133(1) of the MFMA states that if the accounting officer of the municipality fails to submit financial statements to the Auditor General in accordance with section 126(1), the Mayor must promptly table in council a written explanation setting out the reasons for the failure. The municipal council must request the Speaker or any other Councillor to investigate the reasons for the failure and report to the council and must take appropriate steps to ensure that the financial statements are submitted to the Auditor General. The AG may order that any disciplinary steps be taken against the accounting officer or any person responsible for the failure.
The municipality must implement consequence management by ensuring that those who failed to perform their duties are brought to book. Failure to do so, the Accounting Officers must be held liable as this is a transgression of the general financial responsibilities of Accounting Officers as per section 62 of the MFMA.
The DA will write to the MEC for Cooperative Governance, Mmoloki Saviour Cwaile, and the Provincial Treasury requesting that action be taken to turn things around at the municipality.
It is clear that there is no political will by the ANC to turn the municipality’s finances around and improve service delivery. The people of Taung have an opportunity this year to vote out the failing ANC and bring in the DA’s brand of good governance that will deliver quality services to all.