Mogale City: ANC falsely claims DA success as its own

26 October 2017

Mogale City Executive Mayor, Cllr Patrick Lipudi, has failed to disclose that the successful revenue collection experienced by the municipality in the first quarter of this financial year is due to the good governance exercised by the Democratic Alliance (DA) during its tenure in leading the municipality.

As a result, and through the diligent response of residents, 27% of the total revenue budget was collected in the first quarter.

Another misguided stance that Mayor Lupidi has taken is to congratulate the ANC for the 2017/2018 budget which was in fact crafted by the DA.

What the ANC doesn’t tell residents is that it has allowed the Council overdraft facility to balloon to over R94 million.

Actual municipal expenditure for September exceeded income received by R149 million, resulting in a deficit.

In addition the ANC has in just two months spent over R1.3 million in interest for the Council’s overdraft facility, not to mention the interest charged on the Eskom account which it has repeatedly claimed is up to date.

In the ten months that the DA held office, important financial ratios were drawn back into Treasury norms despite the fact that when we took office we inherited almost R500 million in undisclosed creditors, as well as R1 billion in outstanding debtors.

Despite the rapid work undertaken to correct the municipality’s finances by the DA, it is likely that now that the ANC’s fingers are back in the till, that this good governance approach will cease.

Issued by John Moodey, DA Gauteng Provincial Leader, 26 October 2017