The mayor and municipal manager of one of the North West municipalities which invested R150m with VBS Mutual Bank have gone to ground after national Treasury ordered them to return the money to the revenue fund.

Boitumelo Mahlangu, the Mayor of Dr Ruth Mompati district municipality in Vryburg, has failed to answer questions about her municipality’s failure to act against municipal manager Jerry Mononela for investing with VBS.

A Cape Argus report notes the North West Government commissioned a forensic report which recommended legal action against Mononela and former chief financial officer Segomotso Phatudi, who has since taken up new employment in Limpopo.

Mahlangu has again failed to answer questions sent to her following an order by the national Treasury to her office to return R158.1m to the National Revenue Fund after their failure to spend their conditional grants. The report notes Mononela and Phatudi invested R150m with VBS in February and March this year.

Of this, R100m was a conditional grant from the national government for regional bulk infrastructure grants; R25m was an equitable share for free basic services, and the other R25m was for a building fund.

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