Parties demand accountability following ConCourt ruling
Opposition parties in the eThekwini Municipality have called for accountability from the officials who have caused the city to incur costs in a legal battle between the city and a service provider that ended up in the Constitutional Court.
The Mercury reports the matter stems from the municipality's 2013 decision to cancel contracts with Daily Double Trading 479CC.
The cancellation was challenged by the company and an out-of-court settlement agreement was reached between the parties.
However the city argued that the lawyer that was involved in the agreement had not been authorised to make such a deal.
The city challenged the agreement in court but lost. The city therefore has to pay the service provider R53m which includes interest.
Lawyers for Daily Double Trading have given the city five days to pay or risk having their assets seized by the Sheriff of the Court to satisfy the amount owed.
In the wake of the apex court’s decision, the DA yesterday called for the immediate suspension of city Manager Musa Mbhele and his referral to the Financial Misconduct Board.
The party said the damages stem from the municipality's 2013 decision to cancel contracts with Daily Double Trading 479CC.
‘The DA believes that, as the head of the city's administration, Mbhele has a duty to safeguard public funds and not act recklessly when ratepayers' money is at stake. The party believes that his conduct in this matter warrants a formal investigation by the Financial Misconduct Board and that he should be suspended from his duties pending the outcome.’
Joining the calls, ActionSA provincial leader Zwakele Mncwango also called on Mbhele to be liable as an accounting officer or else tell the council who had provided legal advice to him to continue defending the matter after several court judgments.
Article disclaimer: While we have made every effort to ensure the accuracy of this article, it is not intended to provide final legal advice as facts and situations will differ from case to case, and therefore specific legal advice should be sought with a lawyer.





