Limpopo to stay under state control

2012-10-17 08:44

Johannesburg - Finance Minister Pravin Gordhan has insisted it was too early for government to stop its intervention in Limpopo's finances, despite complaints from the province, according to a report on Wednesday.

Gordhan told Parliament's standing committee on finance on Tuesday that "there is some propaganda" to undermine the intervention, reported Business Day newspaper.

"Clearly people who would have been benefiting from inappropriate access to public funds are going to squeal because those funds are no longer circulating," he was quoted as saying.

Limpopo health MEC Norman Mabasa this week expressed frustration with the national intervention, announced in December.

The national government placed five provincial departments under administration after Limpopo asked for an extension of its R1bn overdraft with the Reserve Bank to R1.7bn.

Public Protector Thuli Madonsela released a report last week which found that a tender had been awarded unlawfully in the province.

Madonsela's probe focused on the R50m contract awarded to On-Point Engineering by the Limpopo roads and transport department.

In her report, released on Wednesday, she found the tender was unlawful and that On-Point and expelled African National Congress Youth League leader Julius Malema improperly benefited from this through his Ratanang Family Trust.

  • patson.nedzamba - 2012-10-17 09:12

    Maybe all departments should be under state control

  • mahlorislash - 2012-10-17 09:12

    Good news but the state does not really show its influence in the appointment of staff, I still see unqualified people in skilled posts

  • Eric Mdudus Shaku - 2012-10-17 09:17

    I give my support.

  • MrDinwiddie - 2012-10-17 10:10

    If its under state control, who is running the province?

  • ross.urquhart1 - 2012-10-17 13:18

    Wolf in Sheeps clothes ?

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