JOBURG mayor Geoff Makhubo has accused the board of the Johannesburg Property Company (JPC) of undermining his efforts to fight corruption in the city.
Makhubo was reacting to the news of the return to work of the Chief Executive Officer (CEO) and Chief Financial Officer (CFO) of the JPC, who were previously on suspension, despite the City being in possession of a damning report from the Special Investigating Unit (SIU) which investigated allegations of fraud and corruption in the procurement of services relating to the metro’s COVID-19 response at the JPC.
On 24 April 2021, Makhubo wrote a letter to the Chairperson of the JPC Board where he sought clarity and rationale for the board’s decisions in relation to the lifting of suspensions of the two officials.
In his letter Makhubo asked the Board of Directors to advise him if they had considered the following issue before lifting the suspensions of the two officials:
– The SIU report, its contents, findings and conclusions?
– What the implications of the SIU report on the Boards advices and actions are?
– What the impact of the SIU report on the Boards actions is and advices against the requirements of the MFMA: Municipal Regulations on Financial Misconduct Procedures and Criminal Proceedings?
– What the legal standing of SIU reports and findings are for organs of state?
– The recent judgement in the matter Bandile Masuku v Special Investigating Unit and Others (case no: P55372/2020).
“As the Government of Local Unity, we are on record on our stated commitment to act against those against whom there is evidence of wrongdoing and maladministration,” said Makhubo.
“The Board’s stance and actions in this regard go against our commitment as the Shareholder of the JPC and as such, we have directed that the Member of the Mayoral Committee for Economic Development, under whom the JPC falls, engages the Board and expresses our concerns and dissatisfaction as the Mayoral Committee.”
He added: “As the City we cannot have entities and their Boards of Directors acting in ways which undermine our commitment to clean governance and accountability. Such actions are a direct challenge to the authority of the shareholder and may trigger action from the shareholder in defense of the assets and institutions of the people of Johannesburg.”
The MMC for Economic Development Jolidee Matongo is expected to report back to the Mayoral Committee once he has concluded these urgent engagements, said Makhubo’s spokesperson Mlimandlela Ndamase.
- Inside Metros