Durban - Parliament’s Standing Committee on Public Accounts (Scopa) wants a report on the implementation of consequence management as per the recommendations made in the damning Manase report.
The 2012, 7000-page forensic investigation into eThekwini Municipality - only made available after substantial public pressure in 2013 - implicated politicians, officials, police, politically connected businesses and councillors in fraud, corruption and racketeering.
The report is currently sitting with the Hawks, but to date it remains unclear if any of those implicated will be facing civil or criminal action, with some of the alleged perpetrators being promoted or keeping their posts.
The city has previously stated that “consultation” had taken place with “affected individuals”.
“There is an old report in that municipality called the Manase report. No action has been taken on that report and it has not been released to the public. Now you come with new investigations when you have not dealt with the rot of the past,” said Mervyn Dirks, who was chairing Scopa on Friday in the absence of Mkhuleko Hlengwa.
“We would like to hear about this Manase report. Where is this report and what action has been taken in regards to this report, before we even start talking about what is happening currently.”
Dirks was addressing KZN co-operative governance (Cogta) MEC Sipho Hlomuka, who was appearing before the committee along with his HOD, Thando Tubane, and head of municipal investigations at the department, Sheetal Govender.
The trio had been called to update Scopa on consequence management within 34 errant municipalities, including eThekwini, for allegations of financial misconduct and non-compliance with supply chain regulations by officials, for the period 2018 to 2019.
Tubane corrected Dirks, saying the Manase Report had been tabled and made public.
“The municipality began implementing the resolutions of the Manase report. The Manase report has been dealt with,” he said.
Expanding on that, MEC Hlomuka added: “The report was tabled; maybe what is outstanding is a report on consequence management in terms of the recommendations that were made. I think that until we are able to deal with that issue, we will not be able to say we have done our work.”
Dirks told The Mercury that he was “seriously worried” by the apparent lack of consequence management following the recommendations of the Manase report.
Regarding the pending investigation into the city’s report on allegations of supply chain management irregularities in 2018 and 2019, Govender said it was not known which officials, councillors or service providers were implicated “because the city has not provided this information”.
She said there were “a number of internal investigations that are ongoing by the City Integrity and Investigations Unit - (CIIU). But it is not clear which have been concluded and which are being conducted, and who is implicated.
“I must indicate that there are reports that have been received by Cogta in relation to investigations concluded, and those matters were referred back to eThekwini to request progress on what has been the state of implementation on those forensic reports being concluded by its CIIU. However, we have not had a response to that.
“This is concerning, and we must monitor this quite closely.”
On Saturday, Parliament’s Cogta portfolio committee said it had instructed eThekwini leadership “to ensure effective consequence management against the perpetrators of financial misconduct within the municipality”.
This came after the Chairperson, Faith Muthambi, visited the metro on Friday.
The committee said it was “unacceptable” that eThekwini had incurred “a staggering R2.9billion in unauthorised, irregular, fruitless and wasteful (UIFW) expenditure for the 2018/19 financial year” and called for speedy consequence management.
Muthambi also revealed that there were 436 disciplinary cases under way at the municipality, and called for their conclusion.
“Furthermore, the fact that there is a backlog of reports that deal with UIWF reinforces the perception that there is a lack of appetite to deal with corruption.”
The committee had also requested a “detailed report within reasonable time, on the status of criminal charges” against city manager Sipho Nzuza, she said.
Nzuza this month returned to his post after he was placed on provisional suspension and special leave for his alleged role in a R430million Durban Solid Waste (DSW) tender scandal, in which former mayor Zandile Gumede, other councillors, officials and service providers have also been charged.
Muthambi said the committee noted that the metro had condoned R351m in irregular expenditure and was “disappointed that the city has not laid out a clear plan to investigate the irregular expenditure that has not been condoned”.
“The committee has asked the municipality for urgent conclusion of all investigations to ensure that consequence management is implemented,” said Muthambi, and “demanded a detailed implementation plan to deal with the backlog of 330 reports from the City Integrity and Investigations Unit”, which should include timelines.
The Mercury