The Democratic Alliance (DA) in the Eastern Cape has laid a charge of fraud against an OR Tambo District Municipality (ORTDM) employee, after he allegedly misrepresented himself and irregularly signed-off on a payment of R28 million.
This payment of R28 million was in respect of construction of the Thornhill Clear Water Pumpstation in Mthatha and was signed off in November 2018.
Yesterday I laid the fraud charge against a director in the office of the ORTDM Municipal Manager, Bongani Matomela, at the Madeira Police Station in Mthatha. Officers of the Hawks were also present at the police station.
We have noted that Matomela signed-off on the payment on behalf of the now suspended Municipal Manager, Owen Hlazo, and the Director of Water Services, Andile Vellem.
In a forensic report delivered to the ORTDM in 2020, Matomela suggested he was given the authority to sign the documentation on behalf of both individuals, but the proof provided by him, was not deemed sufficient.
The report also highlighted that the fact that Matomela had signed for two people at the same time, poses a risk when it comes to segregation of duties, and that the payment appeared to be in contravention with the Municipal Finance Management Act (MFMA).
In spite of receiving this report, it seems no disciplinary action has been taken by the ORTDM against Matomela.
The DA will write to the Mayor to request feedback on whether action will be taken against Matomela.
The police will now investigate this case to ensure that any possible criminality is addressed with all speed.
The OR Tambo District Municipality is in a state of almost bankruptcy and on the verge of collapse. We will not stand by and keep quiet if possible criminality can further prolong the suffering of our people.