LOUIS TRICHARDT – Council will continue paying for cellphones of councillors, despite the fact that they were this week warned by their own financial department that these payments are in fact illegal.

During Tuesday's monthly Council meeting, an official letter was circulated which clearly states that the payment of councillors' cellphones is illegal. The letter was issued by Council's Director for Finance and LED, Mr Dan Masengana.

The matter was discussed under Official Announcements and was brought to the fore after councillors requested that, in addition to the R500 allowance they already receive, Council also pay their service fee.

"Regarding the payment of services separately or as additional to the R500 cellphone allowance, it will have serious financial implications as there is no provision in the current budget for this expenditure item. Currently the Auditor General's team is busy auditing our books and have already queried me during my informal discussion with them on these allowances indicating that it is illegal for me to pay councillor's cellphones," the letter stated.

According to Mr Masengana's letter, Council resolved and approved Council's cellphone allowances during the 2001/2002 financial year as guided by the Government Gazette that determines the upper limit on benefits of public office bearers of the municipal councils. As a result provision was made for this in that year's budget. However, the Government Gazette was later amended and excluded the payment of cellphone allowances to municipal councils.

Following Tuesday's discussion on the matter, the Makhado Municipality's Municipal Manager, Mr Reuben Rambado on Wednesday said that Council would continue paying for councillor's allowances, although it is contrary to the Remuneration of Public Office Bearers Act. He, however, stated that he has already indicated to Council that they must refer this item back to Council to either revoke or amend its decision.