eThekwini municipality racks up nearly R500m in irregular expenditure

A meeting of the eThekwini municipality executive committee on Tuesday noted R461m had been misused and mismanaged up to September 30.

The eThekwini municipality is looking into R461m that had been misused in the first quarter of the current financial year. File photo.
The eThekwini municipality is looking into R461m that had been misused in the first quarter of the current financial year. File photo. (Sandile Ndlovu)

The eThekwini municipality has racked up almost R500m in irregular expenditure in the first quarter of the current financial year.

A meeting of the executive committee on Tuesday noted R461m had been misused and mismanaged up to September 30.

Among the primary contributing factors to the irregular spending is non-compliance with supply chain management processes.

“The background provided was that the reports have been reviewed and analysed by the internal control unit and noted by the bid adjudication committee, and would be referred to the municipal public accounts committee for recommendation for write-off or recovery based on the outcomes of the investigation conducted,” said the city’s communications unit.

The city said the municipality is implementing an automated supply chain management system which is set to ensure “timeous compliance and smooth execution through the procurement processes”.

The city has not ruled out taking disciplinary action, recovery of monies and criminal charges being instituted where applicable.

The city has been battling with unauthorised, irregular, fruitless and wasteful expenditure for years, with more than R1bn recorded during the 2023/24 financial year.

TimesLIVE


Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Comment icon

Related Articles