Conflict of interest claimed in Midvaal merger

24 October 2013 - 02:37 By Penwell Dlamini
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Landiwe Mahlangu
Landiwe Mahlangu
Image: Times LIVE

The battle for Midvaal has taken another twist, with the DA accusing the chairman of the Municipal Demarcation Board, Landiwe Mahlangu, of having a business interest in the merger of the municipality with Emfuleni.

Mahlangu is a non-executive member of a company called Sea Kay Holdings, which provides construction services , including low-cost government housing, the DA said yesterday.

The ANC defended Mahlangu and the board, and said the DA was being opportunistic.

According to the DA, in 2008, the Gauteng department of housing contracted Sea Kay Holdings to build 1500 housing units in Emfuleni. The value of the contract was R58.2-million.

Mahlangu is also a non-executive member on the board of waste management company Interwaste, the DA said.

The company allegedly operates the landfill site in Emfuleni.

"The DA believes that this is a serious conflict of interest on behalf of the [board] chair and that his decision-making process is questionable by virtue of these two positions," DA spokesman Mmusi Maimane said.

"It is highly unethical, therefore, for Mr Mahlangu to make decisions over the merging of municipalities in which he has business interests."

Both Mahlangu and the board failed to respond to phone calls.

The board announced earlier this month that the DA-controlled Midvaal district municipality would be merged with the Emfuleni and Sedibeng municipalities.

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