CFO won't be removed: Top job in City of Ekurhuleni stirs clash
In what is set to test the workings of the three-tier cooperative governance in the government of national unity (GNU), Cooperative Governance and Traditional Affairs (Cogta) Minister Velenkosini Hlabisa has raised legal compliance concerns on the appointment of City of Ekurhuleni's group chief financial officer (CFO).
In a letter, seen by The Citizen, to Gauteng MEC for cooperative governance, traditional affairs and infrastructure development, Jacob Mamabolo, Hlabisa said the appointment of Kagiso Lerutla, constituted a 'contravention of the Municipal Systems Act and its regulations – rendering it consequently invalid'.
ALSO READ: Ekurhuleni mayor slams EMPD officers for alleged intimidation, overtime abuse after illegal strike
Hlabisa requested Mamabolo to 'take appropriate steps contemplated in Section 56(6) of the Act to enforce compliance and to submit a report to the minister on the steps that will be taken to enforce such compliance within 14 days from date of this letter'.
In a letter to mayor, Nkosindiphile Xhakaza, Mamabolo said before making a final determination on Lerutla, he deemed it 'prudent, in the spirit of cooperative governance, to afford your good self the opportunity to express the municipality's views on the minister's correspondence'.
City of Ekurhuleni mayor responds
Challenging Hlabisa's assertion on Lerutla's appointment, Xhakaza on Sunday called for an intergovernmental relations (IGR) meeting to thrash out the impasse – indicating that the CFO would not be removed.
The IGR facilitates interactions between national, provincial and local governments – as well as their institutions – ensuring that various levels of government work together to implement policies, share resources and address issues affecting communities.
READ MORE: Gauteng government setting 'terrible example' by owing City of Ekurhuleni R382.3m
The IGR ensures cooperation, coordination the effective delivery of services – especially in infrastructure, public health and local development.
'While we acknowledge concerns raised, we believe that the conclusions drawn within the minister's correspondence, lack the totality of the facts surrounding Mr Lerutla's reappointment in August 2024 and the context within which the municipality found itself in at the time,' said Xhakaza.
He added: 'His service record reflects a commitment to financial discipline, ethical governance and sustainable fiscal management.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Citizen
2 hours ago
- The Citizen
Lesufi reshuffles several heads of Gauteng departments after reports reveal misconduct
The Gauteng premier announced the release of dozens of more forensic reports following investigations into dozens of departments Gauteng Premier Panyaza Lesufi on Sunday announced that he has removed or reshuffled several heads of departments within the provincial government. He said this comes after forensic investigation reports were released, detailing corruption and maladministration. 'Corruption continues to be one of the country's most pressing challenges, undermining effective governance and sustainable development,' said Lesufi. Forensic investigation reports into Gauteng departments He said the reports come after 'a series of under expenditure and underperformance by departments, lifestyle audits, and failures to meet performance targets in some instances'. ALSO READ: Gauteng government splashes R2.9 million on near-empty office used mainly for photocopies, says DA As a result of the findings of the reports, Lesufi announced the following changes that have been made to head up Gauteng's departments: Department of egovernment: Masabata Mutlaneng Department of infrastructure development: Rufus Mmutlana Treasury: Ncumisa Mnyani (retained) Cogta: Darion Barclay (retained) Transport: Thulani Mdadane (retained, post to be advertised) Human settlements: Puleng Gadebe-Mabaso (retained) Agriculture and rural development: Khululekile Mase (retained) He also announced acting heads for the following departments: Environment: Matthew Sathekge Sports, Arts, Culture and Recreation: Mpho Nawa Social Development: Phumla Sekhonyane Education: Albert Chaane Community Safety: Pending Health: Pending The premier added that the Gauteng government is in the recruitment process for permanent appointments for these departments. ALSO READ: Lesufi confirms more senior Gauteng officials failed lifestyle audits He also announced that Motlatjo Moholwa has been appointed as the new head of department for the Gauteng Department of Economic Development. 'Mr Moholwa brings with him a wealth of experience in the public service. He has served as the head of economic research and chief economist in the City of Johannesburg, a lead economist for the Land Bank and the deputy director general (DDG) in the Mpumalanga and Gauteng departments of economic development.' Reports detail 'wide range of misconduct' The 39 forensic reports mentioned by Lesufi on Sunday follow the 47 reports announced by the premier on 24 June. 'The released reports detail investigations into serious offences and improper behaviour across multiple departments. They cover a wide range of misconduct, from criminal acts to minor breaches of conduct,' he said on Sunday. The Gauteng premier said the reports will not be released at this stage, to avoid 'harming the enforcement or implementation of the recommendations'. 'We are aware that releasing certain details early might disrupt ongoing legal cases or make it harder to follow the recommendations, including putting whistleblowers' identities and safety at risk.' READ NEXT: Concerns mount as Godongwana gives Morero deadline to fix Joburg's finances
IOL News
3 hours ago
- IOL News
uMkhanyakude Municipality disputes Cogta's court ruling interpretation
KwaZulu-Natal MEC for Cogta Thulasizwe Buthelezi Image: Supplied The uMkhanyakude District Municipality has accused KwaZulu-Natal Cooperative Governance and Traditional Affairs (Cogta) MEC Reverend Thulasizwe Buthelezi of misleading the public about a recent Pietermaritzburg High Court ruling. The municipality asserts that the judgement did not confirm the provincial intervention into the municipality. This follows a media statement issued by MEC Buthelezi on Saturday, stating that the court had upheld the decision to place the municipality under administration in terms of Section 139(1)(b) of the Constitution. In a statement issued the following day, the municipality said, 'The court has reserved its judgment on the matter regarding MEC Thulasizwe Buthelezi's decision to place uMkhanyakude District Municipality under administration, meaning that no final decision has been made.' MEC Buthelezi welcomed the ruling, describing it as a victory for the rule of law. 'This judgment reaffirms the authority of Mr Bamba Ndwandwe as the Administrator,' he said. He further urged the Mayor to ensure the gates of the municipality were opened so that the Administrator could assume his duties and restore normal operations. However, uMkhanyakude officials dismissed this interpretation, stating that the court's order dealt specifically with an application by the South African Municipal Workers Union (SAMWU) to compel the payment of salaries. 'That matter talks to employees' salaries only, not the intervention,' said Municipal Speaker Solomon Mkhombo. According to the municipality, the court instructed the Municipal Manager, together with Cogta to process the July salaries but made no final ruling on the legality of the provincial government's intervention. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Mkhombo stated that the municipality's legal team argued the intervention was politically motivated and constitutionally flawed. 'Cogta is using Section 139(1)(b)... for political reasons, known by MEC Buthelezi,' he said, adding that the department's legal representative admitted in court that not all due processes were followed before initiating the intervention. The municipality also criticised the freezing of its bank account by Cogta and its financial institution, calling it 'illegal' and praising the court for siding with employees in ensuring payment of salaries. 'The High Court reserved its judgment and Mr. Bamba Ndwandwe, the imposed administrator, is not the Administrator; hence the matter is still in court,' said Mkhombo. THE MERCURY
The Citizen
a day ago
- The Citizen
Government announces when Aarto demerit system will start
The national implementation of the Aarto Act has been confirmed with government rolling out regulations in phases Clauses relating to the Administrative Adjudication of Road Traffic Offences (Aarto) demerit system will come into effect next year. In a bulk gazette that contained 16 notices and proclamations, national government on Friday declared the commencement dates for certain sections of the Aarto Act and its subsequent amendment. Implementation of the act will be done in phases, beginning in December for some municipalities. The Aarto Act was passed in 1998, with the amendment containing the demerit system signed by President Cyril Ramaphosa in 2019. Friday's gazette stated that the whole of the 1998 Act, with the exception of Section 29(g), will come into effect for 69 municipalities in 1 December. Sections 17 to 20, section 23 and sections 29 to 35 of the 2019 amendment will also come into effect for those 69 municipalities on 1 December. These municipalities include Johannesburg, Tshwane, Ekurhuleni, Mangaung, eThekwini and Cape Town. Five months later, 144 municipalities receive the same stipulations on 1 April 2026. These include the Knysna, Drakenstein, Bela-Bela, Umvoti and 140 other local municipalities. Section 24, which covers the demerit system, as well as sections 25 to 28 will come in effect for all municipalities from 1 September 2026. Constitutional court case The Organisation Undoing Tax Abuse (Outa) challenged the amendments and took the matter all the way to Constitutional Court. The civil society group asserted that the amendments did not adequately deal with road traffic safety and that it hampered municipalities' ability to regulate their own affairs. 'Outa is of the opinion that the Aarto practical challenges are largely due to poor enforcement, a lack of administrative discipline when it comes to traffic infringement management, and a variety of problems in the management of vehicle and driver licencing,' the organisation stated at the time. In July 2023, the court ruled against Outa, with then Chief Justice Raymond Zondo's judgment declaring that the amendments were constitutional. Employee implications Section 17 of the Act deals with the responsibilities of those who employ drivers. 'Aarto will make employers potentially face administrative and financial burdens for their employees' non-compliance where their driving falls within the employees' key duties and responsibilities,' Weber Wentzel advised previously. The Act requires a company to appoint a proxy to represent company vehicles but the firm state that the proxy will not accumulate demerit points on the drivers' behalf. 'However, the proxy must ensure that the demerit points are allocated to the correct driver.' 'Should the proxy not do so, the employer will be liable to pay the fine at three times the value applicable to ordinary license holders,' WeberWentzel stated. NOW READ: Aarto implementation could result in municipal traffic services 'shutting down'
