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Irregular expenditure of bursaries to councillors

· PBRRA

Irregular expenditure of bursaries to councillors

Dear Members,

In a letter to Mayor Kamkam dated 8 April 2026, the Plett Ratepayers' Association raised serious concerns regarding Item C/3/365/03/26, “Progress Report on Skills Development and Training for Internal Bursaries 2025/26,” which appeared on the Special Council agenda of 31 March 2026.

The report included a list of bursaries awarded to municipal employees. Of concern was the inclusion of two councillors: Councillor/ Speaker Mavis Busakwe and Councillor Samkele Mangxaba. The report was noted and approved by Council on 31 March 2026. The bursaries awarded amounted to R56,810 and R80,650 respectively.

Section 167 of the Municipal Finance Management Act (MFMA) is explicit on this matter. It provides that councillors may only be remunerated within the framework established by law and that any remuneration, benefit, bonus, bursary, loan, advance, or other benefit provided outside that framework constitutes irregular expenditure. The Act further requires that such expenditure be recovered from the recipient and expressly prohibits the municipality from writing it off.

While the annual Upper Limits of Councillor Remuneration Notices make provision for certain capacity-building programmes, these are intended to equip councillors to perform their statutory duties and responsibilities, such as attending SALGA and other government-related training programmes. They are not intended to fund qualifications or alternative career paths at the expense of the ratepayers.

Our letter was submitted in the interests of lawful, transparent, and accountable management of public funds. More than two months later, no response has been received from the Mayor nor the municipality.

The law is clear. Public funds may not be used to provide councillors with benefits beyond those specifically authorised by legislation and the annually published Upper Limits notices. It is difficult to understand how Council and senior management could have approved expenditure that appears to be expressly prohibited by the MFMA.  Equally concerning is the possibility that senior officials may have facilitated expenditure that they ought reasonably to have known was unlawful.

If these bursaries were awarded in contravention of the MFMA, the expenditure must be recovered from the recipients. The municipality also has a duty to determine whether other councillors may have received similar benefits.

The Plett Ratepayers' Association therefore calls for an independent forensic investigation into the awarding of bursaries and any other unauthorized benefits to councillors. Such an investigation should establish the full extent of any unlawful expenditure, identify those responsible for authorising it, and ensure that all monies improperly paid, together with any applicable interest, are recovered.

This matter raises serious concerns about governance, accountability, and the stewardship of public funds. Public representatives swear an oath to uphold the law and act in the best interests of the communities they serve. Where public funds have been improperly spent, those responsible should accept accountability and take immediate steps to rectify the situation.

Kind regards,
Tony Blignaut
PDF documentLetter to Mayor KamkamDownload
PDF documentLegislation prohibiting bursariesDownload
PDF documentCouncil item approving bursariesDownload

Plett Ratepayers' & Residents' Association

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