Only two officials have been dismissed and 10 suspended for opening accounts with the Venda Building Society (VBS) Mutual Bank against the National Treasury’s instructions.

Furthermore, 10 others implicated in making illegal investments with the bank have since resigned from their employment in the affected municipalities.

A Cape Argus report says this was revealed by Co-operative Governance & Traditional Affairs Minister Nkosazana Dlamini-Zuma in a written parliamentary response to the DA.

Dlamini-Zuma said the acting municipal manager at Merafong Municipality was recently seconded to Merafong Municipality from the West Rand District Municipality by the Gauteng MEC for Cogta.

Based on the legal advice obtained by the municipality, there were no grounds for the suspension of two other officials also still employed at the municipality,’ she said.

Dlamini-Zuma also said three officials suspended last year by the Madibeng Municipality were reinstated to their positions in April this year, while the manager for assets resigned and was subsequently taken on as the chief financial officer at the Dr Kenneth Kaunda District Municipality.

Dlamini-Zuma pointed out that no official in the West Rand District Municipality had been charged or suspended for involvement in VBS Mutual Bank illegal investments.

Meanwhile, Dlamini-Zuma said 11 municipalities had failed to submit the appointment reports for the hiring of senior managers.

Full Cape Argus report (subscription needed)