By BAKANG MOKOTO
The Democratic Alliance (DA) in the Greater Taung Local Municipality calls for the suspension of the municipal manager, Katlego Gabanakgosi, and the Chief Financial Officer, Victor Tshwene.
The DA caucus leader, Lesego Maila said for the past two years, the municipality has failed to submit its Annual Financial Statement (AFS) as required by Section 126(1)(a) of the Municipal Finance Management Act of 2003.
“During a virtual Special Council meeting, the municipality presented a report claiming that the delay was due to Covid-19 as the finance staff was working remotely and were unable to consolidate all relevant financial supporting documents.
“However, in the 2018/2019 financial year, South Africa had not yet reported any cases of Covid-19 and yet in the same report, there was no financial statements or information submitted,” Maila said.
She further said the report that was presented, shows that the municipality is not taking responsibility for the financial mismanagement and their failure to comply with their statutory obligations.
Maila added that the National Treasury even extended the deadline for the AFS to be submitted and still the municipality failed to meet that deadline.
“During the council meeting, the DA recommended that a forensic investigation be conducted as the AFS was not submitted because there wasn’t enough financial information and supporting documents submitted.
“The lack of information points to irregularities by the Accounting Officers. We requested that the AG report on failed submission of the annual financial statements be made available and tabled in council,” she said.
Maila also alleged that the municipal mayor, Kgosi Nnyoko Motlhabane failed to exercise his oversight role over the financial management of the municipality, therefore he must be held responsible for his failure.
“We have also requested an audit into the money spent on overtime by all financial staff of the municipality, should any irregularities be found, the Municipal Public Accounts Committee (MPAC) must ensure that the money is recovered since then has been a failure in performing duties.
“The DA also recommended that the Municipal Manager and the Chief Financial Officer be suspended pending said processes. We made these recommendations, however, the Speaker Ebuseng Tladi did not allow for the secondment to take place, rendering council useless in exercising its duties,” she said.
However, the Greater Taung Local Municipal Manager, Katlego Gabanakgosi refuted Maila’s claims and rendered them absurd. Gananakgosi said the delays were caused by various reasons including the collapsed of the Financial Management System that affected four other municipalities in the province.
“As the municipality, we thrive on transparency and accountability, in particular, I as the accounting officer. I will just give a background that 2018/19 financial year annual statements have been submitted to the Office of the Auditor-General (AG) around 8 January 2020. Yes, they were late because, under normal circumstances, AFS is supposed to be submitted within 60 days at the end of the financial year.
“This means we were supposed to submit our 2018/19 AFS in August 2019. However, we could not do that because of the problems we had with the Financial Management System (FMS). Other four municipalities also failed to submit their AFS due to the same challenges,” he said.
Gabanakgosi ‘hold no punches’ and said the same council including the DA had walked the path with them as they have explained to them the reasons for late submissions. He said mostly, their challenges were caused by the disintegration of the system.
“Even though our system crashed, we managed to submit in January 2020. The only unfortunate part was that a month towards the AG auditing those AFS, we were hit by COVID-19 disease and the audit too long.
“It was only on 10December 2020 when we were given the audit outcomes, which was a qualified opinion. It is common that we needed to wait for the audit outcomes that came out on 10 December 2020 to compile the report for 2019/2020 financial year,” said Gabanakgosi.
He said their plan was to submit the AFS in January 2021, but due to some COVID-19 related challenges, they could not submit. Gabanakgosi said three of their officials from the finance department were affected by COVID-19.
“We are planning to submit our AFS for the 2019/2020 financial year at the end of February 2021 and the council have approved our request. Actually, it was not the DA’s recommendation that the matter is sent to the MPAC for investigations.
“The DA statement is misleading because it is the council that took the decision to refer the matter to the MPAC for investigations,” he said.
Meanwhile, the municipal speaker Ebusang Tladi said: “It is untrue that after Maila suggested the suspension of the Municipal Manager, the CFO and the issue of non-compliance on the oversight role by the mayor, I did not give an opportunity to anyone to second that. Unfortunately, no one seconded her on those agendas. So, the item was closed before moving to the next one.”


