Barbara Creecy does not understand her mandate as MEC for Finance

9 May 2018

After months of denying that she has any responsibility for the finances of local government, Gauteng MEC for Finance Barbara Creecy has finally instructed the Provincial Treasury to investigate the dubious investments made by Merafong Municipality and the West Rand District Municipality with VBS Bank.

For months the Democratic Alliance has been requesting that MEC Creecy instruct the Provincial Treasury to investigate these investments as they violate the Municipal Finance Management Act.

The MEC, in both oral and written responses to the DA, has denied that she is responsible for oversight of the investments made by municipalities.

The DA has long maintained that these already bankrupt municipalities have transgressed legislation and are flaunting the law.

It is likely that any money invested with VBS bank will be irrecoverable as the institution has gone into liquidation.

Residents of these municipalities will now suffer due to ANC financial mismanagement.

The MEC must, as a matter of urgency ensure that this investigation wraps up speedily and salvages poorly invested public funds.

The DA will make sure that this ANC administration is held accountable for its short-comings as well as ensuring that residents of these municipalities are safe-guarded from the detrimental effects of poor governance.

The DA has long maintained that ANC local municipalities should be placed under Section 139 administration until they are in a position of financial stability.

MEC Creecy should heed our call and do what is best for the interests of the residents of these municipalities.

Issued by Adriana Randall, DA Gauteng Shadow MEC for Finance, 9 May 2018