DA rejects R727 million write off in unauthorized expenditure in eThekwini

Issued by Councillor Shontel De Boer – DA eThekwini Councillor
11 Oct 2023 in Press Statements

The DA in eThekwini has voted against the writing off of R727,251,789.00 in unauthorized expenditure on the City’s Revenue Management System (RMS).

For years the DA has raised numerous red flags to this council about the funding of this system. Residents don’t get relief nor do their debts get written off, instead, they are cut OFF because of a system we warned the city about. For years, staff union representatives complained about the non-working RMS yet the municipality continued to pump funds into it. Even the Auditor General raised red flags in respect of the RMS.

Residents across the city including the most vulnerable, the poor and elderly are bearing the brunt of this failing system.

Councillors are, on a daily basis, trying to assist residents with enquiries about huge bills they are expected to pay if they don’t want to be disconnected. Households are bearing the brunt of a system that is not even compliant.

From its inception, RMS did not have the required authorization and followed an irregular process. Funds were paid towards it without approvals from the executive committee or council. However, this council continued to pour millions into it. The DA has consistently raised its objection and can confidently say that we were not party to these budgetary approvals as we continually voted and spoke out against these approvals in council.

This system has financially crippled residents and businesses. The DA therefore cannot in good conscience support this write-off.

It is for these reasons that the DA cannot in good conscience support this write-off.