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IFP Set to Uncover NAFCOC Funding Fraud
December 13, 2006
The forensic investigation into R1.3-million funding to the
National African Federated Chamber of Commerce and Industry (NAFCOC)
KZN has vindicated the IFP's suspicions that uMgungundlovu
District Municipality has compromised service delivery to allow
fraud, theft and conflict of interest to occur.
"The IFP will be simply asking in uMgungundlovu District council
this week where the money is now," said Councillor Mtokozo
Bhengu who represents the IFP on the council.
The funding, approved on the basis of NAFCOC's uMgungundlovu
strategy, was paid on the instruction of Lucky Moloi, who
purported to represent NAFCOC KZN, to this structure. None of
the money has been received by NAFCOC's local branch or refunded
to the municipality.
The IFP also alleges that a deliberate confusion of competences
between NAFCOC KZN and its local branches was created by Lucky
Moloi who purported to represent the beneficiary of the funding
which he himself motivated to be increased from R300,000 to
R1.3-million.
"The truth is that Moloi is not a member of NAFCOC and the
structure he is purporting to represent has been dissolved by
the NAFCOC National Executive. NAFCOC KZN and Moloi have further
refused to refund the money," said Councillor Bhengu.
The IFP also questions the procedures which saw the EXCO meeting
of 9 June 2006 pass the resolution to authorise the transaction.
The meeting, which denied the Municipal Manager an opportunity
to speak, was chaired by the Mayor who still owes the council an
explanation regarding her relationship with Moloi and whether it
may have constituted a conflict of interest in connection with
the transaction she helped authorise on his behalf.
"Unless these issues are clarified, the name of uMgungundlovu
District Municipality will remain tainted by allegations of
fraud, theft, and conflict of interest, and ultimately of
mismanagement and neglect of duties in delivering services to
its constituents," said Councillor Bhengu.
FOR FURTHER INFORMATION CONTACT:
Councillor Mtokozo Bhengu
082 664 6027 |
