All data is delayed
See More

Cosatu: Cape Town finances concerning

Jul 24 2012 17:48

Johannesburg - The financial affairs of the City of Cape Town are deteriorating, Cosatu said on Tuesday.

"The (Auditor General's [AG]) report... highlights abuse of tender regulations by council politicians and the families of officials in the city," Congress of SA Trade Unions Western Cape provincial secretary Tony Ehrenreich said in a statement.

"The spending of the capital budget again lags far behind the budgeted amounts and is in many respects the reasons for increased service delivery protest in the city."

The City of Cape Town failed to receive a clean audit from the AG.

Only 5% of the country's municipalities obtained clean audit reports in the 2011/2012 financial year, AG Terence Nombembe disclosed on Monday.

Of the Western Cape's 30 municipalities, only the West Coast district municipality and the Swartland local municipality received clean audits.

One of the biggest reasons was the awarding of tenders to bidders linked to the City of Cape Town, according to the report.

Ehrenreich claimed the city's finances had deteriorated under mayoral committee member for finance Ian Neilson.

"Cosatu calls for his removal from the finance portfolio due to incompetence," he said.

* Follow Fin24 on Facebook, Twitter and Google+.

cosatu  |  cape town  |  audit  |  finances  |  auditor general


Read Fin24’s Comments Policy publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


With infrastructure spending having been identified as one of the key focus areas of the National Development Plan, tradesmen will continue to play a critical role in growing the South African economy through their skills..

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

A 30% a month return on investment is:

Previous results · Suggest a vote