ANC-run Emfuleni Municipality is bankrupt

Ashor Sarupen DA Spokesperson for Social Development
November 13, 2017

National Treasury revealed alarming information about the state of financial affairs in the ANC-run Emfuleni Local Municipality with data showing that the municipality is effectively bankrupt.

The report states that as at quarter four 2017, the Emfuleni municipality doesn’t have any cash on hand, with a negative cash position (or deficit) of R76 million.

The municipality is now dependent on a massive overdraft to meet its financial commitments.

It owes Eskom R262 million as well as R369 million to the water board. These massive outstanding amounts will continue to grow as the municipality does not have cash on hand to pay its accounts.

It is clear that Gauteng Finance MEC, Barbara Creecy’s management support program for Gauteng Municipalities is not working, as ANC-municipalities in Gauteng continue to be mismanaged despite the commitment from the ANC to govern well.

The people of Gauteng rightly punished the ANC at the polls last year as they have become fatigued with poor service delivery.

Emfuleni has become the poster child for financial mismanagement and a breakdown in basic governance, yet despite this is politically protected by the ANC.

The people of Emfuleni deserve a clean and functioning government that delivers services and does not jeopardize their livelihoods.

The DA calls on MEC Creecy and COGTA MEC Paul Mashatile to urgently intervene before the financial situation in Emfuleni deteriorates beyond any possible state of repair.

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