WELKOM – The orders to dissolve Matjhabeng council have been given, amidst civil society organisations and the opposition in Matjhabeng seeking accountability.
An investigation into this Free State municipality’s reckless spending patterns, which have continued unabated despite being placed under administration, are being demanded.
This court order has been subverted by dubious procurement practices, and only last week the municipality launched two sewage trucks with a purported cost of R20 million. Quotations from the service provider allegedly indicated a cost of R10 million.
Backlash severe
This has ignited intense backlash from residents and stakeholders alike. A community group, Voice for Change, undertook a midnight fact-finding mission, touring several recently inaugurated sewage treatment plants to examine their operations.
The video clip they posted on social media platforms show that only one treatment plant is working. This raises concerns that the sewage crisis in Matjhabeng may be a deliberate act designed to justify the continued outsourcing of service providers and the irregular acquisition of sewage jet blasters and pumps.
In September, the Ferdi Meyer Hall underwent renovations in preparation for the Investment Summit, which ultimately yielded no tangible outcomes, amidst allegations that substantial funds were expended outside established procurement protocols, resulting in fruitless and wasteful expenditure.
Harassment and victimisation
Allegations levelled against the municipal leadership suggest that officials refusing to sign deviations are being subjected to harassment and victimisation. The executive director for infrastructure resigned last Monday amid allegations of being pressured to sign deviations relating to the Ferdi Meyer Hall renovations and others.
Vista is in possession of a mandatory Financial Recovery Plan (FRP) comprehensive report containing multiple letters addressed to the executive mayor, Thanduxolo Khalipha, Speaker Bheki Stofile, and acting municipal manager, Thabo Panyani.
The attempts of Makalo Mohale, provincial executive representative (PER), to implement the court-ordered FRP have proved unsuccessful. In his December 2025 report to the Free State Provincial Executive Committee, Mohale detailed the municipality’s continued defiance of PER instructions, including failure to submit cash flow management plans and expenditure reports for ratification.
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Executive instruction defied
“The municipality continues to defy PER instructions by failing to submit a cash flow management plan and expenditure for ratification,” Mohale stated.
Procurement activities continue outside FRP processes, violating court orders and constitutional requirements.
Matjhabeng faces severe financial distress with R14 billion in debt, including R6 billion owed to Eskom and R7 billion to Vaal Central Water. The municipality operates with a 51% collection rate and an unfunded budget.
For the 2023-’24 financial year, unauthorised expenditure reached R1,05 billion, whilst fruitless and wasteful expenditure totalled R239,02 million. Irregular expenditure amounted to R123,76 million due to non-compliance with supply chain management regulations.
The municipality has recorded over 70 default judgements, with legal liabilities totalling R9,34 billion. The PER has recommended that the Provincial Executive Committee consider legal recourse, including compelling compliance through court orders or dissolving the municipality under Section 139(5)(b) of the Constitution.
Reliable sources confirm that the Free State Executive Committee has unanimously decided to dissolve the Matjhabeng council, tasking Cogta MEC Saki Mokoena to notifying the court. Municipality leadership reportedly failed to attend the crucial meeting where this decision was taken.
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