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Minister of Finance Spanks Mayor Gary

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Dear Editor

A scathing letter by the Minister of Finance to Nelson Mandela Mayor Gary van Niekerk has vindicated the DA’s stance that Anele Qaba was irregularly appointed as CEO of the Mandela Bay Development Agency (MBDA).

Finance Minister Enoch Godongwana has written to Van Niekerk, informing him of his grave concern regarding the integrity of the municipality’s decision to appoint Qaba – less than four months after Council entered into a settlement agreement with him.

National Treasury is withholding hundreds of millions of rand in grant funding from Nelson Mandela Bay due to Qaba’s appointment. Qaba is a former Executive Director for EDTA and was suspended and disciplined for alleged financial misconduct. In February 2023 the Metro entered into a settlement agreement with Qaba to end his contract after it became clear that the disciplinary procedures were botched.

It later transpired that Van Niekerk, at the time Speaker of Council, knew that Qaba was going to apply for the position of CEO of the MBDA, but failed to disclose this vital piece of information at the Council meeting during which the settlement agreement was approved.

In his letter the minister writes that the MBDA Board in appointing Qaba “… have failed to execute their fiduciary duties and therefore I advise your Council to consider taking appropriate steps against them which may include possible dissolution subject to due processes.”

The minister also expressed concern that the Metro is still led by City Manager Noxolo Nqwazi, who is currently facing serious maladministration charges.

In 2020 the DA laid criminal charges in respect of alleged fraud and corruption by municipal officials in relation to a Covid-19 contract awarded to the company, Pelatona. This culminated in a number of findings by the Special Investigation Unit which implicated officials in potential wrongdoing. Council launched a high court challenge to the findings but the application was dismissed. The minister indicated that due to the court having made a ruling on review, nothing will prohibit Council from instituting further disciplinary processes against Nqwazi.

The DA welcomes the minister’s correspondence and will support his recommendations so that the Metro can start receiving grant funding again.

The DA is in your corner, fighting for you. Together we can get NMB working again.

Regards

Cllr Retief Odendaal
DA NMB Caucus Leader

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