ACTis has raised two flags for GMM and placed two under monitoring.
Publicly available evidence points to irregularities in contract awards and financial mismanagement at the Municipality. These issues not only undermine the Municipality’s functioning and sustainability, but also often contribute to state capture scenarios.
Findings suggest that multiple senior officials may have benefited from remuneration arrangements that fell outside prescribed guidelines. Such dynamics may be isolated incidents, but they may also reinforce behaviours that support financial and procurement irregularities.
The Municipality’s working environment is being monitored to determine whether a climate of fear or favour exists. Such dynamics can pressure staff to engage in irregular actions, typically to direct corrupt awards or financial payments.
The impact of poor financial management is evident in the Municipality’s substantial debt to Eskom and Rand Water, and in questions about its status as a going concern and capacity to deliver services.
Prolonged water outages and sewer leaks linked to failed infrastructure projects have disrupted services and affected communities across the municipality.