Scopa’s decision comes as an ANC councillor in North West, Michael Mkhandawira, of the Dr Ruth Mompati District Municipality in Vryburg, called for his mayor, Boitumelo Mahlangu, to be charged along with municipal manager Jerry Mononela and former chief financial officer Segomotso Phatudi.
Mkhandawira - who is a member of the municipal public accounts committee - said Mahlangu should be charged for her submission to Scopa that she, Mononela and Phatudi took a decision to invest with VBS in March last year.
The municipality on February 19 this year invested R100million following the approval by Phatudi and Mononela. The investment was for six months at an interest rate of 9.25%.
On March 2, Mononela and Phatudi made a second investment of R50m and the interest rate was at 9%. According to insiders, Phatudi, exactly 10 days after making the second investment, sent a request for immediate withdrawal of the invested R150m.