By Charles Molele
Johannesburg’s former mayor, Kabelo Gwamanda, has been placed on special leave following growing calls for his resignation after his recent arrest.
On Tuesday morning, executive mayor Dada Morero met with Gwamanda to address allegations of fraud.
“The severity of these allegations demands a proactive response to protect the integrity of the Office of the Executive Mayor,” said Morero.
“In line with the city’s commitment to integrity, good governance, and accountability, I have decided to place MMC Gwamanda on special leave, effective immediately, and relieve him of all his executive duties.”
Gwamanda, who currently serves as the Johannesburg Community Development MMC, was arrested for fraud on Friday, 18 October, for allegedly swindling Soweto residents in a funeral policy scam that he ran in 2011 and 2012.
This after the Financial Sector Conduct Authority (FSCA) investigation revealed last year that Gwamanda operated the illegal business in 2012 then disappeared when his clients came looking for their money.
The victim, who opened the case against Gwamanda in January, told the police she took out a funeral policy with Gwamanda’s company, Ithemba Lama Afrika, which was based in Soweto.
However, later when she tried to visit their offices, she found that the company had moved.
“I deemed it important to notify the public that following some of the skewed media reportings and in the interest of the public and stakeholders, I will be taking leave to allow me to focus on resolving the personal legal matters that require my full attention,” said Gwamanda shortly after he was relieved of his duties.
Earlier on Tuesday, COSATU in Gauteng, which called Gwamanda to step down from his duties amid his fraud and corruption charges, said the trade union federation was disappointed that someone with a possible history of such allegations held a position of leadership in one of the country’s largest economies.
The federation’s provincial secretary Louisah Modikwe said the accusations against Gwamanda also raised serious concerns about vetting processes and the growing number of fraudulent activities targeting the poor and overburdened working class.
“These allegations expose flaws in the vetting procedures that, if properly followed, could have prevented this unwanted attention. The public would have remained unaware of these issues,” said Modikwe.
Modikwe also praised public servants with pending legal cases who have recently adhered to principles of accountability by stepping aside to allow due process to take place.
“COSATU is encouraged by public servants with pending cases who have recently adhered to principle and chose to step aside to allow legal processes to unfold. The Federation expects Gwamanda to do the same,” she said.
“Workers are currently grasping at straws toiling to make ends meet. Whilst saving funds for the eventuality of the costs of a burial, malicious criminals remain lurking to pounce on their hard-earned money through scams. Entities who are found to be culprits of such practices must face the full might of the law and not be spared.”
INSIDE METROS