Minister of Local Government, Environmental Affairs and Development Planning
With regard to the Western Cape High Court matter between a contractor and the Bitou Municipality (8526/21):
(1) Whether the allegations of extortion and corruption detailed in the founding affidavit of the High Court case have been bought to his attention; if so, (a) what steps has he taken in terms of section 106 of the Local Government: Municipal Systems Act, 2000 (Act 32 of 2000), and (b) what was the outcome of his action;
(2) whether the persons allegedly acting in collusion to defraud the state and extort bribes from housing contractors are still in office; if so, why;
(3) whether he contemplates placing the Bitou Municipality under administration; if not, why not; if so, when;
(4) whether he has conducted an investigation into the extent of the corruption in rand value; if not, why not; if so, what are the relevant details;
(5) whether he has taken no steps; if so, why not?
(1) The allegations referred to have been brought to my attention.
(a) My Departmental officials have commenced with assessing the allegations and have been in contact with the HAWKS in relation thereto.
(b) The matter is ongoing.
(2) The Speaker and current Municipal Manager who are implicated in the allegations are still in office. It should be noted that it is the Municipal Council, which the Constitution has mandated to take disciplinary action against the Municipal Manager and initiate an investigation in terms of whether or not the Code of Conduct for Councillors has been breached. It is only in circumstances where the Municipal Council has failed to investigate that I may appoint a person or a committee to investigate any alleged breach of a provision of the Code.
(3) Mr Herron would do well to familiarise himself with the regulatory framework that applies to provincial interventions in municipalities. Section 139 of the Constitution does not contemplate any functionary other than the Provincial Executive being empowered to take a decision to intervene in a municipality. As such, neither the Premier of the Western Cape, nor I as the Provincial Minister responsible for Local Government, is empowered to take such a decision. This is a decision that may only be taken by the Provincial Executive.
Given the constitutional obligations on the Western Cape Government to (i) monitor and support municipalities in the Western Cape; (ii) respect the autonomy of these municipalities to manage their own affairs; and (iii) work cooperatively with municipalities, any provincial intervention that is to be undertaken by the Provincial Executive in a municipality will only be undertaken after consulting that municipality, conducting a proper due diligence exercise and ensuring that there is a legal basis on which to justify such intervention.
(4) A section 106 investigation has not been initiated to date as due process needs to be followed before any such investigation can be initiated in terms of my statutory powers. I have therefore not conducted an investigation into the extent of the alleged corruption in rand value.
5. Steps have been taken but due process needs to be followed.
Further to the above, I have previously designated independent investigators to investigate allegations at the Bitou Municipality in respect of an unrelated matter. The forensic investigation report implicated inter alia the former Executive Mayor, now Speaker, and the former Municipal Manager. The forensic investigation report was tabled before the Municipal Council. The Municipality has appointed an attorney’s firm which developed a process plan for responding to the provincial investigation report issued and is attending to the findings and recommendations recorded in the report. Unfortunately, COVID has resulted in this process being delayed.
It should be noted that it is the Municipal Council, which the Constitution has mandated to deal with the findings of the forensic investigation report. A copy of the s106 investigation report was handed over to the HAWKS to inform their criminal investigation.
I also brought an application, seeking, inter alia, to review and set aside the appointment of the current Municipal Manager implicated in the recent allegations. The Labour Court set aside the appointment, and an appeal to the Labour Appeal Court was dismissed. The Municipality and the Municipal Manager have subsequently applied to the Constitutional Court for leave to appeal, which I am opposing.
I note that Mr Herron has made statements to the media relating to this matter in terms of which he cast aspersions and injures the reputation of Ministers Simmers and myself. Mr Herron is advised to factually check his information before issuing such statements.
