The municipal spokesperson, Solly Phama, confirms to OFM News that the free State High Court recently gave an order allowing the account to be attached following a court battle over a R25 million third-party payment dispute. 

In February 2021, Samwu's provincial secretary, Tiisetso Mahlatsi, told OFM News that workers who were employed from 2012 were not registered with the provident fund - but that money was being deducted with no contribution made by the municipality. Phama says the attachment has resulted in the Municipality not being able to perform its operations as expected. 

Phama adds that the municipality is, however, in talks with the Provincial Government to resolve the matter and they have also made at least two proposals to Samwu to resolve the matter.

"The attachment has resulted in the Municipality not being able to render its mandate as expected and this has impacted negatively on service delivery," he adds.

The municipality previously said it had sought the assistance of the Cooperative Governance and Traditional Affairs (Cogta) Department regarding its pension fund debacle. This, as Samwu sought to freeze its account due to non-payment of municipal workers' third party contributions or pension funds.

OFM News