The Madibeng municipality could not account for R600 million of conditional grants from the government in its financial statements to the Auditor-General in 2019/2020, the AG told parliament on Tuesday.
AG Tsakani Maluleke said Madibeng received R861million in conditional grants and equitable share during this time and had R26 million left at the end of the financial year. The municipality could not account for R600 million.
Malukeke said Madibeng has been under administration for two years and has serious problems with water supply and service delivery.
The AG’s office approached National Treasury to check up on equitable share and grants to municipalities and found that R6.5 billion has been allocated to 22 of the worst-performing municipalities (of which Madibeng is one), but only one billion rand was in bank accounts at the end of the financial year.
Her full report will be released later this month. Conditional grants are allocated to municipalities for the purpose of achieving particular national government policy objectives such as access to basic public services, including health, education, water and welfare.