Mangaung Metro has rubbished claims that National Treasury is taking its R200 million after the municipality failed to use it appropriately.

Mayor Gregory Nthatisi slammed any suggestions and allegations that the Treasury intends to strip them of the aforementioned money. He said the matter remains a subject of discussion between the metro and the department.

Mangaung Metro Mayor, Gregory Nthatisi. Picture: Lucky Nkuyane

“Mangaung is a municipality that was subjected to a financial recovery plan and on the basis of that the department of finance actually takes money from all other provinces where work was done. 

“Our (situation) is unique in a sense that after the financial recovery, we are now working towards making sure we first enlighten the department that was working with us, and all other departments. They must realise that, as a result of the financial recovery plan – which among other things included a staff compliment and making sure Mangaung is helped with proper administration – we’re now completing those processes. 

“Once we are done, we collapse back to the national department as we have started already and let them know now that they can release back our money,” Nthatisi said.

Mangaung Metro banner. Picture: Lucky Nkuyane 

OFM News previously reported that it is set to lose over R200 million of allocated conditional grants to the National Treasury.

It’s alleged the metro failed to utilise the monies for the appointment of the Municipal Manager and Chief Executive Officer. The metro is currently under the national government’s intervention for failing to provide primary service delivery and improve the financial standing of the metro. 

The Afrikan Alliance for Social Democrats’ (AASD) Governance monitoring desk manager, Zwelakhe Msabe, said the metro tried to take shortcuts by appointing these officials during the last council sitting.

“The pain of voting job seekers as mayors to serve on the Municipal Council is proving to be hitting ordinary citizens hard, who are yearning for basic service delivery, while the Ford car dealership has pocketed millions through councillors' purchases of Ford Rangers,” Msabe said.

Last year, OFM News reported the troubled metro forfeited over R400 million of the national conditional grant for much-needed service delivery.

In 2020, the National Treasury withheld grant funding of R429 million due to underspending. The Auditor-General, Tsakani Maluleke, in her report, said the Treasury’s action was a result of the delays by the metro in completing grant-funded projects.

OFM News/Lucky Nkuyane Corné/Morné