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JOHANNESBURG – The Democratic Alliance has rejected a Sunday newspaper report that the DA-led City of Johannesburg is in financial trouble.

The DA has noted a report in the City Press that the city is “cash-strapped” and “heading for a bailout”, and rejects the allegations as false and a misrepresentation of the city’s finances, DA spokeswoman Refiloe Nt’sekhe said.

READ: Mashaba suspends Joburg’s finance head

“The new DA-led administration had worked tirelessly to stabilise finances and this intervention was already yielding positive results. Thanks to the city’s revenue collection drive, Operation Buya Mthetho, May was one of the highest revenue collection months in the city’s history. This could be directly attributed to a team of highly skilled professionals in the city, who were putting the interests of residents first as part of a fruitful turnaround plan,” Nt’sekhe said.

“Our ongoing fight to reverse the damage done to the city’s finances by previous ANC administrations has been well-documented. Since taking over the [city] after our 2016 local government election victory, the DA-led administration has committed itself to ensuring efficient service delivery for all citizens of Johannesburg, especially the poor.

READ: Balancing the Budget: Joburg DA shows us the money

“The previous ANC administration’s corruption has robbed the poor of not only quality service delivery, but much-needed jobs as well. The DA’s determination to address the consequences of this corruption is evidenced by our pursuit of 3500 graft cases in the city,” Nt’sekhe said.

The City Press report appeared to be critical of the money the city spent on forensic investigations into corruption in the city administration. This was, however, exactly what was required to ensure that corruption never reared its head again in the city, as it was the reason for the country’s skyrocketing unemployment rate – currently at 9.5 million people.

“Despite the money lost to ANC corruption, the city still has a balance of R3.279 billion and this will be carefully managed as we continue to provide quality services. Furthermore, we will attract much needed investment to improve the city in order to create more jobs for residents and maintain Johannesburg’s reputation as one of Africa’s economic powerhouses. The City of Johannesburg will continue to prioritise its citizens through efficient service delivery and a pro-poor agenda that will lift its people out of poverty,” Nt’sekhe said.

African News Agency

Cooperative Governance and Traditional Affairs Minister Zweli Mkhize on Sunday denied a media report that he demanded a R4.5m kickback for allegedly facilitating a loan to an oil company from the Public Investment Corporation (PIC).

“The allegations published by the Sunday Times newspaper today, about some R4.5m ‘kickback’ or ‘facilitation fee’ that I am supposed to be seeking due to a loan that was granted to a company called Afric Oil by the Public Investment Corporation are a ridiculous and malicious fabrication,” Mkhize said in a short statement on Sunday.

“I have never facilitated the said loan negotiations nor have I sought any ‘facilitation fee’ from the said company. It is extremely unacceptable and mischievous for my name to be dragged into a matter that I have nothing to do with in this manner.”

Mkhize said he was seeking legal advice on the matter.

His response comes after the Sunday Times this weekend reported that a letter of demand from a Johannesburg law firm had allegedly exposed the requested kickback from Mkhize and other ANC supporters.

According to the Sunday Times, the letter dated October 2017, names Mkhize in a legal claim against Afric Oil.

The letter claims that, at meeting at Luthuli House in 2016, a loan application to the PIC was discussed and Mkhizwe, who was then ANC treasurer general, allegedly agreed to promote Afric Oil’s projects.

It is alleged that this included providing support for the facilitation of the PIC loan.

‘No pending action against me’

In a second and longer statement on Sunday, Mkhize fleshed out his position.

He said he had also received questions from the publication asking if he had any relationship with Zonkizizwe Investments, and whether he facilitated the PIC loan for Afric Oil.

“I made it clear that I have never facilitated such a loan and I have no relationship with Zonkizizwe. This I still maintain. I have also now learnt through the article that there are lawyers who have instituted action against certain parties wherein my name is mentioned.

“To date I have not seen such a lawyer’s letter nor is there any action pending against me or by me on such a matter.”

Mkhize said he had not been provided with “a shred of evidence” on when he had faciliated the alleged loan, or with whom he had engaged with.

“Interestingly enough, despite the Sunday Times establishing that there was a person who confirms having facilitated this PIC loan, the newspaper still elected to make the entire front page headline to revolve around me.”

“In my view it can only be meant to tarnish and defame my name without much substance,” he claimed. He accused “this kind of journalism” of being “sensational and unprofessional”, and an attempt to sell newspapers.

“I reiterate, as said in my earlier statement, that I will immediately seek legal advice on how to deal with this matter and the recourse I can get.”

During his tenure as ANC treasurer general, Mkhize said he met with various companies who would brief him on operations.

“This is no way meant that my intervention was required. At no stage did I enter into an agreement to facilitate loans for a fee,” he concluded.

The African National Congress’ national chairperson Gwede Mantashe has confirmed to News24 that the political party’s KwaZulu-Natal consultative conference will be called off.

The province – which was set to hold its much anticipated elective congress this weekend – had to change it to a consultative conference following a court order barring it from going ahead on Friday.

On Friday evening, delegates refused to be addressed by Mantashe, breaking into songs about former president Jacob Zuma.

“It was a planned disruption, that’s it. [Mike] Mabuyakhulu couldn’t speak, they disrupted him. When Sihle [Zikalala] spoke, they allowed him but when I spoke they disrupted,” said Mantashe of the evening’s developments.

News24 understands that regional leaders will be expected to inform their delegates of the decision taken by the provincial task team at a meeting following the failed conference sitting.

‘It has no structure’

Earlier members from the Moses Mabhida, Harry Gwala and Lower South Coast regions applied for an urgent interdict while delegates in the province were registering to attend the conference.

They complained of illegitimate processes leading up to the conference.

The province was hoping to hold a re-run of its 2015 conference, which was nullified by the High Court in Pietermaritzburg. This saw an interim body being appointed by the ANC’s national executive committee.

“The only way forward is to go back to the drawing board then go back to conference,” said Mantashe.

“It has no structure. You can’t run a programme in a faction,” added Mantashe.

Mantashe said the divisions in the province could not even allow for a consultative conference to take place.

“They can’t even run a consultative conference. It will be a disaster if they continue. It will be a factional meeting because others will not be allowed to speak,” Mantashe concluded.

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