Top officials arrested in VBS saga

GROBLERSDAL – A 59 year-old former Municipal Manager of Elias Motsoaledi Local Municipality (EMLM) and former Mayor of the local municipality who is the now current Executive Mayor of Sekhukhune District Municipality have on Wednesday morning been arrested and were expected appear before the Pretoria Specialised Commercial Crimes Court.

In a statement released by the Directorate For Priority Crime Investigation on Wednesday, 23 November 2022, Colonel Katlego Mogale, Hawks Spokesperson, said the arrest was as a result of an ongoing investigation into the VBS Mutual Bank investments that were conducted by municipalities in contravention of the Municipal Finance Management Act.

Mogale said the municipal manager was said to have been instrumental in investing R190 million municipal funds into the VBS Mutual Bank wherein the mayor received R300 000 in gratification, which included cash, accommodation and flight tickets.

Mogale further said that those were channeled through a company belonging to her children. The two suspects were expected to appear in the Pretoria Specialised Commercial Crimes Court on charges of corruption, money laundering and contravention of the Municipal Finance Management Act as well as the Banks Act.

The Bolsheviks Party of South Africa (BPSA) said it welcomed the arrest by the Hawks and said that it believed the former MM was paid for her silence when she received a golden handshake running into R2 million as part of her settlement.

“We hope that she will spill the beans and tell the whole truth to the Hawks. We feel vindicated that despite their vehement denials of any wrong doings, the law enforcement agencies never lost focus. This arrest may be the turning point in rooting out corruption in our municipalities. We applaud this arrest and hope that justice will finally be served,” said Seun Mogotji, BPSA leader.