Saturday, 20 April 2019

Statement on the Section 106 Investigation in Sol Plaatje Municipality

28 AUGUST 2018


On 23 July 2018, the MEC responsible for Local Government, Mr. B.G. Vass (appointing authority) established a Section 106 investigation team (the team) in terms of section 106 (1) of the Municipal Systems Act (No.32 of 2000) to investigate various allegations of impropriety levelled against certain officials of the Sol Plaatje Municipality.


The Team was mandated on the following terms of reference:


a. Investigate the appointment of Consultants/Service providers with specific reference to the appointment of the service provider who are sending SMS to households and whether procedure was followed in terms of Supply Chain Management Processes. 

b. Investigate whether other consultants/service providers has been appointed without following the proper procedures as per the MFMA. 

c. Investigate any possible conflict of interest of any official, councillor or any of their family members and associates past and present in terms of the aforementioned companies, their directors, shareholders, employees or associates.


d. Investigate compliance with regards to the Supply Chain Management Policy and Regulations in terms of procurement since 2016 as it relates to purchases for the Executive Mayors Private Residence. 

e. Investigate whether irregular, fruitless and wasteful expenditure were incurred on the repairs and maintenance of the mayoral vehicles given the subsequent purchase of a new mayoral vehicle and reported to the relevant authorities as espoused in section 32 of the Municipal Finance Management Act. 

f. Investigate the car rentals for the Mayor since August 2016 and whether these rentals are linked to official engagements of the municipality.

g. Investigate whether the land disposal processes in the municipality adhered to the land disposal policy of council and the relevant legislation.

h. Investigate compliance to internal processes and systems with regards to Risk Management, Performance Management, General Management and Service Delivery.

i. Investigate the Income and Expenditure patterns at the Municipality and whether the municipality meets its obligations in terms of statutory payments and creditors. Investigate the allegation of mismanagement of Municipal Funds. 

j. Investigate the electricity tariffs approved by SPM and whether it complies with the approved tariff structure of NERSA. 

k. Investigate the matters leading to the Council meeting of the 30 May 2018 and the subsequent appointment of an acting Speaker. 

l. Investigate the matters raised by the Lerato Park residents as it relates to housing complaints. 

m. The team is mandated to interview any other person(s) that may shed light on the allegations.

n. The team is further mandated to investigate any other matter not part of the terms of reference but may be found during this section 106 (1) (b) investigations.


The team was given 21 days to thoroughly investigate these allegations and to provide the appointment authority with a report consisting of findings and recommendations.


However, due to the complexity of the investigation and the volume of paperwork, the team requested an extension up to the end of September 2018. The extension was granted.


This extension was also necessitated by the fact that two additional members – one from the National Department of Cooperative Governance (DCog) and one from the Special Investigation Unit (SIU) – only joined the team on 22 August 2018.


The public is requested to provide the team the necessary time and space to complete this investigation.


Issued by:


Xhanti Teki 

Media Liaison Officer 

Cell: 060 544 5323 

Email:This email address is being protected from spambots. You need JavaScript enabled to view it.

Fax: 0866192921



Amaqhawe Building
42 Du Toitspan Road
City Centre
Tel:  053 831 2230
Fax: 053 832 4151


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