The City of Tshwane’s administration has come under serious scrutiny after a municipal council report revealed a staggering R336 million in irregular expenditure in the fourth quarter of the 2024/25 financial year. 

The report showed that the irregular expenditure stemmed from extension of tenders in several departments, including group property management, roads and transport, water and sanitation, group legal services, and the Tshwane Metro Police Department.

Councillors from different political parties have blasted the city’s administration officials for failing to adhere to proper tender-awarding procedures as stipulated in the Municipal Financial Management Act (MFMA).

They believed the report on irregular expenditure raises questions about the city’s financial management and accountability.

EFF councillor Trevor Moloisane said it was unacceptable that a whopping R336m in irregular expenditure was incurred in just three months.

According to him, the money diverted into contracts’ extensions should have gone to repairing township roads, building sewer systems, fixing clinics, expanding electricity connections and securing water infrastructure. 

“These are systematic failures and supply chain management that open the door to corruption and deliberate manipulation. The MFMA is clear that irregular expenditure is not only an administrative issue. It can be criminal,” he said.

ActionSA councillor Jackie Mathabathe echoed similar sentiments, saying: “The irregular expenditure flagged in the group financial services department for the fourth quarter of 24/25 financial year is not just a technicality; it is a red flag, a signal of systemic failure and betrayal of public trust.” 

He said the situation demands full investigations, consequence management and the recovery of every stolen and misused cent.

“The residents of Tshwane deserve nothing less than leadership that pursues accountability with urgency and integrity,” he said.

Freedom Front Plus councillor Mark Surgeon rejected a report requesting approval for writing off the R336m, citing a lack of comprehensive information and accountability.

“The report does not provide comprehensive information on the nature and extent of the irregular expenditure, nor does it identify the officials responsible for it. It also does not indicate whether any disciplinary action has been taken against them,” he said. 

DA councillor Dikeledi Selowa said the report reflected poor procurement planning and poor implementation of projects that led to extensions. 

“There are no proactive measures in supply chain management and no consequence management for officials and departments that fail to plan adequately. This continues to be an Auditor General finding on the management of contracts within the city,” she said.

The report has been referred to the municipal public accounts committee to investigate the identified irregular expenditure and make a recommendation to the council for a determination as required by Section 32(2) of the Local Government Municipal Finance Management Act.

ANC councillor Malesela Rakabe said the committee is well-placed and capacitated to investigate the report and ensure the same financial transgression does not recur.

“It is important and imperative that we focus on strengthening our internal auditing whilst driving towards an operation clean audit,” he said.

rapula.moatshe@inl.co.za

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