UPDATE: Council’s stalling can’t protect corruption-accused South African CFO facing dismissal
Attempts by factions of the African National Congress (ANC) within the City of Matlosana Local Municipality to delay or debate the dismissal of corruption-accused Chief Financial Officer (CFO) Mercy Phetla have been halted in their tracks by the very legal process they sought to navigate.
In a dramatic turn of events following a chaotic and eventually postponed council sitting, the Presiding Officer of the disciplinary inquiry, Advocate S. Sethene, effectively stripped the council of its ability to interfere with the damning findings against Phetla.
Newsday recently reported how the council convened for a special meeting to process the disciplinary report which recommended Phetla’s immediate dismissal.
However, Speaker Stella Mondlane-Ngwenya has since indefinitely postponed the meeting following a directive from Advocate Sethene.
In a formal communication to councilors, the Speaker revealed that the Presiding Officer refused to table the report for debate.
“The presiding officer has indicated that he is not in a position to table the report before council at any point as council and the Speaker have no role to play on the matter at this stage,” Mondlane-Ngwenya stated.
Consequently, the Speaker was “formally advised to not sanction a council meeting pertaining this matter,” pouring cold water on any political maneuvering intended to protect the CFO.
Stalingrad tactics and factional friction
The intervention by the Presiding Officer comes after a concerted effort by an ANC faction to derail the process.
The initial council session descended into chaos, marked by disruptive “caucus breaks,” with reports indicating that “factions in the ANC did not want the damning report to go through”.
While the Speaker initially blamed the postponement on the absence of the Municipal Manager, the legal reality articulated by the Presiding Officer aligns with warnings issued by the Democratic Alliance (DA).
Gerhard Strydom, DA caucus leader, had predicted that some within the ANC majority would utilise delaying tactics—often referred to as Stalingrad tactics, to shield Phetla.
“I can’t see that it will be different and predict that they will illegally try to act as an appeal committee on behalf of the CFO,” Strydom warned prior to the meeting.
Strydom emphasised that under the law, the “only role for the municipality is to take note of the outcome and report the outcome” to provincial authorities, rather than to debate or ratify the verdict.
This is exactly what was told to the Speaker following the postponement late on 22 January.
A “damning” verdict
Finalised in late December 2025, the inquiry found Phetla guilty on all five charges, including gross misconduct, dishonesty, and dereliction of duty.
Advocate Sethene’s ruling described Phetla’s behavior as “calculated act[s] designed to defraud the municipality”.
The charges included, but not limited to:
- Corruption: The “irregular acceptance of gratification” in the form of a VW Amarok worth R1.4 million from a service provider.
- Unauthorised expenditure: Approving a R2.9 million payment for electrical material in contravention of the Municipal Finance Management Act.
- Wasteful expenditure: Paying R528,000 for goods that were never delivered.
The report concluded that Phetla “dismally failed to challenge the evidence” and asserted that “she cannot be left anywhere near to the Municipality’s purse”.
She pled not guilty on all charges, alledging that they were politically motivated. Phetla did not respond to queries from Newsday as to whether she intends to appeal.
Provincial ANC stance tested
The attempt by local councilors to interfere with the report defies the instructions of ANC Provincial Chairperson Nono Maloyi.
Maloyi had explicitly warned that the ANC should not be involved in “matters that fall squarely within the competence of a municipality”.
He stated that “adherence to the constitution and legislative framework remains the only legitimate basis for resolving municipal matters” and promised that conduct undermining the law would be “addressed decisively”.
With the Presiding Officer now blocking the council from turning the disciplinary outcome into a political debate, the municipality is left with little choice but to process the dismissal administratively, effectively ending the road for the embattled CFO.
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