Millions syphoned off bankrupt Inxuba Yethemba Municipality

07 Sep 2021 in Press Statements

Millions of Rands have been syphoned off the bankrupt Inxuba Yethemba Municipality (IYM) by means of an unfinished contract to conduct a feasibility study of a landfill site. The contract, which was originally awarded at R6,5 million, eventually nearly doubled in cost and the consultant was paid a whopping R12,3 million – without the project being completed.

IYM has long experienced problems with its landfill site in Cradock. The site has been unsecured for many years and the unlawful burning of waste at the facility has exposed neighbouring residents to poisonous fumes.

Local businesses through the Cradock Business Forum subsequently instituted legal action against the municipality with the court directing that the municipality should comply with the conditions of its waste management licence.

The tender to conduct a feasibility study of the existing landfill site was awarded to 2MC Consultants on the 7th of August 2020.  Although a total amount of R12,3 million has already been paid to the consultants, the scope of work remains incomplete as the consultant has never been able to provide the municipality with the required approval from the Department of Water Affairs.

The Democratic Alliance has now referred this matter to the Hawks for investigation and has provided the investigating officer with all the relevant documentation needed to fully investigate the matter. (document attached here and here)

Under a DA government we will ensure that all the money wasted on this fiasco is recuperated.

IYM is broken and bankrupt. The municipality is often unable to deliver the most basic of services. Raw sewage flows in the streets and into our rivers, lack of road maintenance has all but destroyed our road infrastructure and residents are plagued with constant water and electricity outages.

This lack of service delivery has destroyed the local economy, as businesses and residents leave Cradock and Middelburg in search of better prospects elsewhere.

The residents of Inxuba Yethemba Municipality deserve better. That is why the DA is committed to save the residents of this municipality from the inept and corrupt ANC administration that is currently in charge.

In the 2021 Local Government Elections the DA will do everything in its ability to take over governance of this municipality so that we can take Inxuba Yethemba forward again.