Public Works owed over R76m in outstanding rentals | Fin24
 
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Public Works owed over R76m in outstanding rentals

Sep 26 2019 08:37
Lameez Omarjee

Over R76m in rental is outstanding for properties leased by the Department of Public Works and Infrastructure.

This is according to Minister of Public Works and Infrastructure Patricia de Lille, in a written response to a question from Democratic Alliance MP Semakaleng Kopane. The minister provided details on outstanding rental fees owed to the department, also naming the entities which owed the department.

Rental fees owed from properties leased in cities across the nine provinces amounted to R76.85m, according to De Lille.

Kopane also asked the minister to name persons or entities which regularly fail to pay rental fees on time.

According to De Lille's reply, the top the top 10 culprits include semi-privatised communications giant Telkom South Africa, which owes over R8m in outstanding rental payments.

Also on the list was private company Inter Travel Shops, which owes the department over R1.7m. Other notable companies named included canned fish brand Lucky Star, which owes over R400 000 in rental fees.

As a result, the department has incurred legal costs in trying to recover monies. In 2017/18 alone, the department spent R25 600 and as at April 2019, the department spent R22 500 in legal fees to collect debt.

government  |  department of public works  |  rental  |  debt
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