The fallout of the VBS Mutual Bank scandal continued as Limpopo premier Stanley Mathabatha on Wednesday announced that his government planned to place the Giyani and Tubatse/Fetakgomo local municipalities under provincial administration.
Speaking to media, Mathabatha said the two municipalities were unable to pay employees’ salaries and to deliver on service delivery projects.
He refuted allegations that his action against ANC cadres accused of benefitting from the VBS bank looting was happening at a snail’s pace and said the scandal was now in the hands of the ANC national leadership.
A total of 10 provincial municipalities invested millions of rands in VBS and seven have failed to get back their money. In total, 15 municipalities in Gauteng, Limpopo and North West invested a total of R1.5 billion.
Meanwhile, the Limpopo Economic Freedom Fighters (EFF) has branded Mathabatha a “toothless barking dog”.
EFF provincial leader Jossey Buthane said instead of taking action against his ANC provincial executive committee (PEC) members, the premier employed delaying tactics, hiding behind processes of the ANC’s integrity commission, the national executive committee and the national working committee.
“Mathabatha is the political head of the ANC in Limpopo. He is also a leader in government,” said Buthane. “We expected Mathabatha to prove to those doubting Thomases that the ANC is serious about rooting out corruption in government.
“We expected him to act soon after receiving advocate Terry Motau’s report. But instead he became yellow-bellied and opted to protect his own comrades.”
He questioned why ANC deputy provincial chairperson Florence Radzilani was still in office. Radzilani is also mayor of Vhembe district municipality, which invested R300 million in VBS.
She, together with ANC provincial treasurer Danny Msiza and the provincial secretary of the SA Communist Party, Gilbert Kganyago, have been accused of benefitting from VBS Mutual Bank.
Limpopo ANC Youth League deputy chairperson Matome Moremi, a critic of Mathabatha, has changed tone, pleading for time on VBS Bank investigations to wrap up.
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