CoGTA committee to assess Limpopo municipalities
Limpopo municipalities have been given a week to
respond to parliament before action is taken.
The Portfolio Committee on Cooperative Governance and Traditional Affairs is currently in the province to asses several municipalities implicated in the VBS Mutual Bank saga.
The committee is also set to probe some municipalities that have received repeated disclaimer audit opinions.
Committee chairperson, Faith Muthambi, says the focus of the visit is to work out the impact of the investments in the bank affected service delivery the province.
Close to 12 local municipalities in the province invested in the now-defunct bank, as revealed in a report by Advocate Terry Motau compiled, entitled "The Great Bank Heist."
The report also revealed how 52 bigwig politicians and politically individuals looted almost R2 billion from the bank.
The 12 municipalities lost close to R1.2 billion during the scandal.
Muthambi says the municipalities visited by the committee showed a lack consequence management, lack of oversight and councillors failing to do their duties.
“We have given them a week to give us feedback, upon that as a committee we are going to sit down, resolve on that and give recommendations to parliament.”
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COSA: ANC Councillor was killed because of VBS
Maupa was a critic of the mayor and a strong opposer of the municipality investing in the now liquidated VBS Mutual Bank. The Municipality invested over R210-million into VBS, just over 38% of its annual revenue and is now facing bankrupcy. Maupa and his wife were sitting in a car when they were ambushed by unknown suspects.