FindallNews
News

NW municipalities implicated in VBS scandal to appear before Scopa

Image default
Screengrab of the VBS Mutual Bank website. File Image: IOL

RUSTENBURG – All four North West municipalities implicated in the VBS Mutual Bank scandal will be hauled before the province's Standing Committee on Public Accounts (Scopa) in Mahikeng on Tuesday.

The municipalities will appear before Scopa to present a progress report on how they have investigated the matter and possible plans to recover lost funds.

An explosive probe into VBS titled 'VBS Mutual Bank: Great Bank Heist' found that municipalities had invested in VBS even though this was forbidden by the Municipal Finance Management Act (MFMA).

In November 2018, the High Court in Pretoria issued a final order to liquidate VBS.

Madibeng local municipality invested R31 million of its conditional grant.

Mahikeng local municipality invested R83 million, of which R23 million was from the municipal infrastructure grant and R60 million from the municipal equitable share; this was an over payment from the national department of cooperative governance and traditional affairs.

Dr Ruth Segomotsi Mompati district municipality invested R150 million, of which R100 million was from the regional infrastructure grant, R25 million from the equitable share-free basic services and R25 million from the building fund.

Moretele local municipality invested R50 million from the 2017/2018 water services infrastructure grant.

African News Agency (ANA)

Related posts

Mom whose toddler was yanked by police resolves other case

Findall

Gibraltar deal clears way for Sunday Brexit summit

Findall

Jiba suspended Breytenbach without valid reason, #MokgoroInquiry hears

Findall