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Tue Aug 04 01:21:18 SAST 2015

Mayor and city boss to be probed

NIVASHNI NAIR | 17 March, 2011 22:110 Comments
Mayor Obed Mlaba, who intends to create 21st-century job opportunities. CIrca March 2007. © Unknown.

Durban mayor Obed Mlaba and city manager Mike Sutcliffe are to be investigated as part of a wider probe into alleged fraud and corruption in the eThekwini Municipality.

KwaZulu-Natal co-operative governance MEC Nomusa Dube said yesterday: "There is something wrong in this municipality and we believe that we need to investigate.

"We have been monitoring the latest developments in the municipality with keen interest and utmost concern."

The ANC called on Dube to order a forensic investigation after the auditor-general found that the city had irregularly spent R535-million and the Ngubane audit implicated Sutcliffe and three officials in irregular housing contracts of R3.5-billion over the past 10 years.

Mlaba allegedly had shares in a company that nearly landed a R3-billion tender to convert the city's waste to energy.

Dube said yesterday the investigation would cover:

•Irregular expenditure resulting from inadequate controls over the budget and payment processes;

•Non-disclosure of interests by councillors and officials;

•Irregularities in the awarding of contracts, payments and performance management of telecommunications;

•The alleged illegal rental and sale of RDP houses;

•Irregularities in travel and overtime allowances and appointment of staff; and

•Alleged fraudulent practices in the metro police.

The outcome of the investigation would compel the municipality to take decisive action and corrective measures and would lead to criminal and civil prosecutions if unlawful activities were unearthed, Dube said.

The forensic probe would begin immediately.

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