Media statement: KwaDukuza mayor rejects Independent Alliance’s urgent call for an investigation into Business Start-up Programme



KwaDukuza mayor Lindile Nhaca rejects without reservations, the frivolous media statement that was issued by the Independent Alliance yesterday, 02 July 2024, regarding unfounded allegations against faceless municipal officials who according to the statement have squandered funding linked to the Mayoral LED start-up programme.

The Mayoral LED start-up programme is an annual programme that is aimed at assisting small businesses and aspirant entrepreneurs with start-up business equipment.

 

"It must be placed on record that the statement issued by the Independent Alliance has been published in bad faith as it contradicts the portfolio committee meeting resolutions held on Friday, 28 June 2024, where a close out report of the programme was placed under consideration and supported by the author of the statement. We reject the urgent call for an investigation that has been proposed by the party.


This is clearly a cause for concern with the sudden change of mind by the Independent Alliance as its members should have called for an investigation during the portfolio meeting and rather went on to support the proposed recommendations.


I can therefore conclude that this is a smear campaign aimed at tarnishing my image and that of municipal officials. It is disingenuous for the Independent Alliance to call for an investigation whilst a close-out report with sufficient details has been considered whilst a further oversight visit is due. This visit will be made to all beneficiary business sites and this proposed to ensure that the portfolio committee fulfils its oversight responsibility and gains satisfaction beyond oral evidence.


The Independent Alliance also claimed that they have submitted a formal letter to my office which remains strange as there is no record of such. It is very important for the Independent Alliance to report any form of allegation about any staff member to the accounting officer. The Accounting Officer has a responsibility to initiate all investigations relating to staff members as per his delegation of authority", said Nhaca.


CLARITY OF THE ALLEGED STOLEN MONEY

 

Independent Alliance fails to explain how the money was stolen. The municipality procured goods and services through an open SCM process and five service providers were appointed to deliver the programme. The municipality has paid the five service providers as per their delivery notes. Any insinuation that the money has been stolen could only indicate that the alleged officials might have colluded with the five service providers which is not the case. The municipality places on record that there are no funds that have been stolen.

 

The municipality would like to correct the misinformation published by the Independent Alliance:


1.    The municipality supported only thirty (30) entrepreneurs, not fifty (50) as suggested by Independent Alliance in their media statement.


2.    That the municipality has paid for the goods delivered including the profit mark-up of the suppliers.


3.    That the portfolio committee report which is a public document, addresses all the questions and concerns raised by portfolio councillors in the previous meeting held in March 2024.


4.    The close-out report for the mayoral LED Start-up programme was adopted by the portfolio committee on Friday, 28 of June 2024, with a provision that inspection-in-loco or visits to the beneficiaries be conducted. Cllr. Shezi was also part of this meeting and one of the councillors who supported the recommendations of the report.

 

If the Independent Alliance is confident about the criminal activities that might have taken place, he must also exercise his constitutional right to open a criminal case at the nearest police station.


We will support any investigation that is proposed by council where there are any allegations of misconduct. Just as last week, I boldly recommended an investigation on the possible financial losses relating to the July unrest relief scheme where the majority of councillors were opposed to. It was on this platform where I also made it clear that all investigations must be subjected to fairness and transparency. With this, I cautioned the council that by objecting to this proposal would only create a wrong precedence on future investigations.

 

The Independent Alliance should further note that the Mayoral LED Start-Up remains a flagship programme of SMME development. The municipality will continue to implement it in a transparency and accountability across all it programmes. The municipality does not tolerate any form of corruption and misinformation to tarnish the reputation of the municipality, its officials and mayor.

 

We wish to assure the public that the money was spent accordingly and with due diligence.

 

Ends

Enquiries: Sphelelo Ngobese | 073 784 7822 | sphelelon@kwadukuza.gov.za 

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