Former Mahikeng municipal manager in court over VBS investment

Former municipal manager of Mahikeng Local Municipality in North West, Thabo Mokoena.

Former municipal manager of Mahikeng Local Municipality, Thabo Mokoena, arrested on charges related to the VBS Mutual bank investment, appeared briefly in the Molopo Regional Court in Mmabatho. Picture: Molaole Montsho/African News Agency (ANA)

Published Sep 6, 2022

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Rustenburg – Former municipal manager of Mahikeng Local Municipality in North West, Thabo Mokoena, who was arrested on charges related to the VBS Mutual bank investment, appeared briefly in the Molopo Regional Court in Mmabatho on Tuesday, the National Prosecuting Authority (NPA) said.

The case against Mokoena, 61, was postponed to November 22, for representations.

“The defence attorney committed to submit written representations to the State within a week, after the last court sitting on July 26. However, that was not fulfilled. The representations were only sent to the state on September 5, a day before his court appearance," said NPA spokesperson in the North West division, Henry Mamothame.

“The court warned Mokoena against unwarranted delays and instructed him to consult with his legal representative in advance to avoid further delays.

“Advocate Salome Veenemans, from the North Gauteng division, representing the state, will consult with the director of public prosecutions, before responding to the representations when the matter appears in November 2022,” he said.

Mokoena appears on charges related to the contravention of the Municipal Finance Management Act (MFMA), as well as the Prevention and Combating of Corrupt Activities Act.

“These charges are linked to over R92 million that the municipality invested in the VBS Mutual Bank, from August until December 2017, under his leadership as the accounting officer of the municipality.

“In terms of the MFMA, this investment was irregular and prohibited. Mokoena is also alleged to have received gratification in the form of credit facilities, to purchase two expensive vehicles and a house in Klerksdorp, cumulatively amounting to more than R1.2 million,” Mamothame said.

He said preliminary investigations by the Hawks reveal that of the R92 million that was irregularly invested with VBS Mutual Bank, only R7 million was paid back to Mahikeng Local Municipality.

“Investigations into the matter have been concluded, and the defence attorney was provided with all contents of the docket electronically in December 2021, and other additional disclosures were provided to prepare for trial. The state is ready to proceed with the trial, pending the outcome of the representations.”

Mokoena is out on R50 000 bail, which was extended until his next court appearance. He has surrendered his passport and is prohibited from interfering with State witnesses.

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