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Makhado Municipality under criticism for reversing purchase of erf

 

News  Date: 11 May 2007

 

The Makhado Municipality came under criticism, for allegedly reversing the purchase of Erf 4633 in Extension 8 in Makhado Park.

Mirror learnt that the municipality sold Erf 4633 on January 29 this year to Mrs Meriam Netshisaulu Simeli of 65 Troupant Street Makhado Park for an amount of R30 000. Simeli, an educator at Masedi Combined School, submitted her application for the site in September 2006, with the sole purpose of building a crèche. This was after the municipality had, on several occasions, served her with letters, ordering her to stop operating a crèche from her house. Simeli paid R5 000 to operate her crèche to the municipality´s town planner, known as Mr Van der Schyff.

In November 2006, Simeli received a letter from the director corporate services, Mr Vic Viljoen, giving her option to purchase erf 4633. Option to purchase erf 4633, Makhado Extension 8 township received on 26 September 2006 refers. Kindly note that the standard payment options for the purchase of properties as from 1 October 2004 are as follows: the full purchase price upon signing of the Deed of Sale or Provide to the seller an acceptable bank and/or building society guarantee within twenty one days from the date on which the agreement was signed. The purchase price of Erf 4633 is R30 000, reads part of the letter from Viljoen.

After receiving the letter, Simeli requested the municipality to extend the period until 31 January, 2007. "I never received a response from Mr Viljoen, but I paid the purchase price of R30 000 in respect of Erf 4633 personally to the mayor´s personal secretary, Mr ED Fungene, with a cheque. After the payment, I signed the prescribed documents for the purchase," she said.

She added that the mayor´s personal secretary also signed the documents and submitted them to Mr Vic Viljoen for the latter´s signature. "I requested Mr Fungene to give me a copy of the signed documents, which he failed to do, giving the excuse that I would get them after Mr Viljoen had signed them," she said.

On January 31 this year, Simeli claimed to have gone to Fungene´s office to get the copies of the purchase documents. She said that Fungene told her that Mr Viljoen stated that the council had amended the rules regarding the purchasing of sites.

Mirror is in possession of a letter from Viljoen, informing Simeli that, in terms of council resolution B.5.20.01.05, council resolved that tenders should be called for, for the selling of Erf 4633, Makhado Extension 8. "Instead, the said Erf has erroneously been sold to you. Therefore, this implies that an amount of R30,000, paid on January 29, 2007 will be refunded to you in due course," reads part of the letter.

As if that was not enough, Simeli also received another letter from Viljoen, dated April 12, 2007, informing her that the Deed of Sale had not been signed by council and that the transaction had been cancelled.

Kindly note that the monies paid by yourself will be refunded to you. As was explained to you, the property will be offered to the general public by means of calling for tenders in due course in order to afford all interested parties the opportunity to tender for such. You are advised to check the local press or make regular enquiries with this office in this regard, said Viljoen in his latest letter to Simeli.

Simeli said that one of her reasons for coming to the press is to show the director that she was not settling for a refund as indicated in his letter dated February 2, 2007. "I was treated unfairly and at the end of it, I will call it corruption," she said.

The director of community services, Mr Peter Magwala, referred Mirror to Viljoen. Viljoen declined to conduct a telephonic interview with Mirror and he requested that questions be directed to him via e-mail.

When asked whether Council was at fault and that Ms Simeli had a legal claim to ownership of the property, Viljoen’s response was "no comment". While it is still unclear as to why council accepted the huge payment, Viljoen said: "The sale of municipal property is done according to a fixed procedure in accordance with Council policy applicable to the relevant property category. As already stated, the Sales Agreement which the client signed on 29 January, 2007, was premature in the tendering process, since the tender advertisement had not yet been published. The client also went and paid a purchase price prematurely in the process".

When asked about Mr Fungene´s role in this case, Viljoen said that Mr ED Fungene is a municipal officer who, at that stage, held the portfolio of sale and lease of municipal properties. "As in any corporate body, he has a line function and reports to seniors in his functionary line. When questioned regarding the R5 000 fee for rezoning Mrs Simeli’s property, Viljoen said: "Council was not party to this contract and cannot comment."

 

Written by

Nthambeleni Gabara

 

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