FTLM allegedly pays R10 million to a ghost company
BURGERSFORT
The Fetakgomo Tubatse Local Municipality (FTLM) has allegedly paid R10 Million to a ghost company that did not render any service to the municipality.
According to sources within the municipality, the alleged fraudulent payment was made between June-December 2025. The payments were made to a company owned by a local resident but has never done any job at the municipality. The alleged company is known to this publication.
The fraudulent payment was allegedly shared by the company directors, administrative management at the FTLM and the political leadership.
This paper has engaged sources within the FTLM, with some confirming the payment.
“This is yet another example of the blatant mismanagement of government funds and the reckless use of tax payers’ money.
“I stand firm in fighting corruption and ensuring that government funds are channeled into sustainable, pro-growth initiatives, not to enrich individuals,” said the whistleblower.
FTLM spokesperson Mahlako Komane said they are yet to detect such payment.
“The municipality has reviewed its available financial records and has not been able to trace any payment corresponding to the alleged amount of approximately R10 million made to the alleged company between June and December 2025.
“Should any further verifiable information be provided, the municipality will assess it through the appropriate internal processes.”
She added, “All service providers are appointed and managed in line with Supply Chain Management processes, and payments are only made after verification of services rendered.
“The municipality does not process payments for services not rendered, and any concerns relating to service providers are dealt with through internal controls and oversight.”
The R10 million saga comes at a crucial time as the municipality is unable to complete some of its service delivery targets.
The Dresden Road Project, at a cost of R34m – the project expenditure is at 100% and the project is only at 72% physical progress, the contractor has vacated site.
Ga Tebeila and Mohlaletsi road project, and several electrification projects also remain incomplete and abandoned.
The Kgopaneng Sports Complex project which was scheduled to be completed by January 2026, is also incomplete, for now.
According to residents, the missing R10 million was supposed to be used for service delivery issues.
