DA challenges Minister Gordhan to bar public servants from doing business with the state

7 June 2015

The DA challenges Cooperative Governance Minister Pravin Gordhan to ensure that all municipalities implement the DA-run Western Cape's policy of barring all public servants from doing business with the state. 

According to the latest Auditor-General’s report on municipal audit outcomes, tender irregularities were cited as a major concern for the misuse of public funds. 

A staggering R781 million worth of tenders were found to be awarded to close family members of Councillors and other public officials. A total of 99% of the R11.3 billion incurred in irregular expenditure was pinned to non-compliance with tender regulations (see City Press report). 

This widespread and unlawful practice runs against the interests of the South African people who desperately need better services delivered. The looting of the public coffers must stop. 

The Municipal Financial Management Act (MFMA) is very clear on the punishment or penalties for public servants doing business with the state.

The 290 municipal officials who were found to have awarded tenders to close family members must summarily be suspended and investigated to recover all costs lost to the taxpayer. 

Minister Gordhan would do well to implement the policy and strategy of the Western Cape countrywide. The policy has been implemented since the DA took office in the province in 2009. 

Due to this policy and other accountability checks, the DA-run Western Cape was once again on top of the list with the number of municipalities receiving clean audits, with zero adverse, disclaimer or qualified audit outcomes. 

Statement issued by Kevin Mileham MP, DA Shadow Minister of Cooperative Governance and Traditional Affairs, June 7 2015