Home South Africa News North West Ngaka Modiri Molema District Municipality Governance Crisis Escalates Amid R10-Billion Fraud Allegations

Ngaka Modiri Molema District Municipality Governance Crisis Escalates Amid R10-Billion Fraud Allegations

Oversight bodies and residents demand accountability as political factions paralyze council meetings, leading to collapsing service delivery and severe infrastructure failures.

Ngaka Modiri Molema District Municipality Governance Crisis Escalates Amid R10-Billion Fraud Allegations
Mahikeng news: Ngaka Modiri Molema District Municipality Governance Crisis Escalates Amid R10-Billion Fraud Allegations. Image for illustration purposes only, generated with AI.

MAHIKENG, NORTH WEST — The Ngaka Modiri Molema District Municipality governance crisis has reached a critical tipping point as mounting pressure from oversight bodies, forensic investigators, and frustrated residents exposes alleged systemic procurement fraud and unauthorized expenditure.

A recent forensic report compiled by Modiboa Attorneys has uncovered widespread irregularities linked to an estimated R10-billion governance crisis. Compounding the issue, the Special Investigating Unit (SIU) has officially referred five high-ranking officials for internal disciplinary action following a probe into the procurement of over R25-million on behalf of the Ditsobotla Local Municipality.

Collapsing Service Delivery and Political Interference

The administrative paralysis has severely impacted local residents, who are now grappling with collapsing service delivery and critical infrastructure failures, including prolonged water outages and dysfunctional sewage systems. Community members are demanding immediate accountability, condemning the absolute paralysis caused by sitting councilors.

According to reports, political factions within the municipality are allegedly interfering regularly whenever the council attempts to adopt the SIU and forensic investigation reports. These deliberate interruptions have halted essential administrative functions, leaving ordinary citizens to bear the brunt of the decay in service delivery.

Union Demands Provincial Intervention

In response to the deepening crisis, the South African Municipal Workers’ Union (SAMWU) is calling for the district municipality to be placed under administration through the invocation of Section 139(1)(b) of the Constitution.

Tungwa Khumalo, SAMWU Deputy Chairperson, highlighted severe financial mismanagement regarding senior staff appointments. “Managers that were appointed between 2020 and 2023, before they could finish their probation, had their salaries illegally put on the last notch,” Khumalo explained. He noted that the council subsequently attempted to legalize these actions, only to discover that several of these senior managers do not even have valid employment or performance contracts.

Disputed Council Meetings and Partisan Divides

The municipality’s instability was further exacerbated by a council meeting held on June 4, where several key appointments were reportedly made without forming a quorum.

Crosby Maya, the ANC’s chief whip at the municipal council, declined to comment on allegations that the party’s internal factions are primarily responsible for the council’s instability. However, the Democratic Alliance (DA) has strongly condemned the proceedings.

Cornel Dreyer, a DA Councillor for Ngaka Modiri Molema, stated that individuals implicated in the Modiboa forensic report were fraudulently appointed as acting directors while the investigation was ongoing. “That is transgressing a number of legislated issues and code of conduct issues,” Dreyer said. He noted that the objections were dismissed in the absence of a quorum and that the DA has yet to receive a reply from the office of the speaker after placing the matter on record.

Financial Risks and Executive Confessions

Further complicating the municipality’s financial health, a legal probe revealed that unsigned contracts for the Chief Financial Officer and a senior manager pose severe financial risks to the institution.

Executive Mayor Khumalo Molefe broke ranks to publicly admit that efforts to enforce consequence management are being aggressively defeated from within his own administration. While he could not comment on the specific irregular contracts, he slammed the current situation and acknowledged that residents are paying the price for these systemic failures.

“There is serious, coordinated, and funded resistance towards change, towards consequence management, towards malfeasance,” Mayor Molefe admitted. “There is a serious fight back. I must admit the situation is not impressive because, ultimately, the people who are going to suffer are the ordinary people.”

A Leaderless Administration

The municipal administration currently remains effectively leaderless. The municipal Manager is still on suspension, while the Acting Municipal Manager was suddenly removed from his post.

The provincial Department of Cooperative Governance and Traditional Affairs (CoGTA) has acknowledged the turmoil but has been slow to intervene. Thebeetsile Keameditse, the North West CoGTA spokesperson, stated that the department has noted the developments and will engage the municipality in due course to find solutions and intervene where necessary.

“Our interest is good governance and accountability to ensure the uninterrupted provision of services to our communities,” Keameditse said.

However, despite these assurances, the department has not yet responded to specific questions regarding its oversight role. Critical issues remain unaddressed, including the delayed disciplinary proceedings for the suspended municipal manager, the implementation of delayed SIU and forensic recommendations, the disputed council meeting procedures, and SAMWU’s urgent call for a Section 139(1)(b) intervention.