Former Elias Motsoaledi Mayor And Municipal Manager Appear in Court for R190m VBS Corruption Scandal

Former Elias Motsoaledi Mayor And Municipal Manager Appear in Court for R190m VBS Corruption Scandal

  • Two public officials have been arrested in connection to VBS Mutual Bank corruption and money laundering
  • The pair, the former mayor and municipal manager of Elias Motsoledi, unlawfully invested R190m into the controversial bank
  • The pair will appear in court on charges of corruption, money laundering and violating the Municipal Finance Management Act and the Banks Act

PRETORIA - The ex-mayor and ex-municipal manager of Elias Motsoaledi Municipality in Limpopo is expected to appear in the Specialised Commercial Crimes Court on Wednesday afternoon, 23 November, in connection to Charged related to the VBS corruption scandal.

VBS Mutual Bank
Former public officials from Elias Motsoaledi Municipality unlawfully invested 190 million in municipal funds into VBS Mutual Bank. Image: GULSHAN KHAN &stock photo
Source: Getty Images

The pair were arrested on Wednesday morning as part of the Hawks' ongoing investigation into VBS Mutual Bank investments made by municipalities in violation of the Municipal Finance Management Act.

According to the Hawks spokesperson Katlego Mogale, the municipal manager allegedly invested R190m in municipal funds into the infamous bank. The former mayor then received R300 000 of kickbacks in the form of cash, accommodation and flight tickets, SowetanLIVE reported.

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According to News24, the two suspects will appear in the courts on charges of corruption, money laundering and violating the Municipal Finance Management Act and the Banks Act.

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South Africans weigh in on the arrests

South Africans congratulated the Hawks for arresting more corrupt public officials.

Here are some comments:

@SeroleOriginal asked:

"Is he an EFF leader?"

Lesego Maake claimed:

"They made a mistake. They were supposed to arrest Floyd and Julius. They are the ones who collapsed VBS, according to South African media."

B Tumelo Kanyane Matlala added:

"I fail to understand how municipalities are not monitored because they make quarterly reports on their budget."

Cebo Bhele Makupula commented:

"We are grateful for arrests, but they are pointless if there are no convictions!"

Shedo Mantsoe congratulated:

"Great job indeed. They must arrest all corrupt politicians."

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Government official busted by Hawks for spending R100k on fuel using state petrol card

In another story, Briefly News reported that the Hawks' serious corruption investigation team arrested a 48-year-old state official on Friday, 4 November, for allegedly misusing a government petrol card.

A preliminary audit by the Director of Public Prosecutions offices in Bloemfontein revealed irregular transactions processed at a filling station in the Free State city.

Free State Hawks spokesperson Captain Christopher Singo said there are suspicions that the suspect utilised the petrol card to fill his private vehicle with diesel, SowetanLIVE reported.

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Source: Briefly News

Authors:
Lerato Mutsila avatar

Lerato Mutsila (Current affairs editor) Lerato Mutsila is a journalist with 3 years of experience. She obtained a Bachelor of Arts in Journalism from Pearson Institute of Higher Education in 2020, majoring in broadcast journalism, political science and communication. Lerato joined the Briefly News current affairs desk in August 2022. Mutsila is also a fellow of the 2021/2022 Young African Journalists Acceleration programme, which trained African journalists in climate journalism. You can contact Lerato at lerato.mutsila@breifly.co.za