Central SA
Matjhabeng Municipality has bank account frozen─── LUCKY NKUYANE 14:12 Wed, 25 Oct 2023
The High Court ruled in favour of the service providers but the municipality made an urgent appeal against the judgement.
Matjhabeng Municipality’s bank account has been attached following a legal battle with service providers. They dragged the Welkom-based municipality to the High Court in Johannesburg demanding over R750 million.
But Mayor Thanduxolo Khaliphaif said it emerged later that the service providers wanted to settle for some R200 million. They refused the settlement and opted for a court action which they lost when the High Court ruled in favour of the service providers.
Service providers and the municipality were at the court for more than R120 million in debt. On Tuesday (24/10), the High Court ruled in favour of the service providers but the municipality made an urgent appeal against the judgement.
‘Disgruntled workers picketed inside the premises’
It’s led to the nonpayment of workers. On Wednesday (25/10), disgruntled workers picketed inside the premises of the municipality to express their dissatisfaction.
OFM News previously reported that the same municipality failed to pay workers.
Khalipa added the municipality was upbeat to repay huge debts to Eskom and Vaal Central Water Board. Matjhabeng owes Eskom R5 billion and Vaal Central Water Board even more.