Chaos in the council of a key South African municipality

A council meeting of the City of Matlosana, set to debate a report on alleged maladministration by the Mayor, has been adjourned for next week following procedural disputes and a dramatic walkout. 

The main item on the agenda for the 30 January 2026 meeting was the tabling of the annual report, but it was not tabled.

However, this did not happen and the meeting collapsed.

When a municipality tables its annual report late, the AGSA may issue a Material Irregularity (MI) against the municipality for breaching reporting deadlines.

The crux of the issue centres on the last-minute inclusion of a report in the agenda that would see the political fate of Executive Mayor Fikile Mahlophe debated.

However, some sources claim that this inclusion is linked to the recent dismissal of the municipality’s Chief Financial Officer (CFO), Mercy Phetla, which the mayor backed.

According to multiple council sources, a group of councillors allegedly aligned with Phetla reintroduced a report aimed at removing the Executive Mayor from office in retaliation to the CFO’s dismissal.

The report comes from a multiparty Ad-Hoc Investigating Committee regarding the Mayor’s conduct. 

The report, seen by Newsday, cited alleged financial misconduct and irregularities in procurement processes.

Specific issues included unauthorised or improper spending, such as the alleged procurement of furniture like a boardroom table costing over R280,000, contributing to a broader pattern of tender irregularities.

The report was first tabled in June 2025, but council deferred it “in order to include substantial evidence to the report.”

In a September letter by the Council Speaker seen by Newsday, she said that it had been submitted “without supporting documents as directed by the council or at the very least explaining its limitation.”

Now, the report has been re-tabled a week after the CFO’s dismissal, allegedly without any additional documentation or evidence, as agreed by the council.

Critics of this manoeuvre allege that the report “lacks lawful standing” and fails to follow legislative procedures, arguing that the move is motivated by internal power struggles rather than legitimate governance concerns. 

Allegations have surfaced implicating the Council Speaker in facilitating this process, citing pushback over the recent removal of the CFO.

“These are individuals trying to get back at the mayor for supporting the push for the CFO to go,” claimed one well-placed insider. “These are people loyal to her and want repercussions for her dismissal.”

It must be emphasised that these claims remain allegations and have not yet been tested through formal legal or disciplinary processes. 

Council Speaker Stella Mondlane-Ngwenya, who serves as an ANC PEC and deputy chair of SALGA in the province, did not respond to queries from Newsday by the time of publication. Comment will be added if received.

Motion delayed due to legal issues

The meeting on 30 January 2026 has now been delayed because the meeting collapsed, particularly because the item was sent to councillors short of the legislated timeline. 

The Democratic Alliance (DA) caucus walked out, with caucus leader Gerhard Strydom declaring the gathering “illegal” because it was not constituted in terms of Section 11 of the rules of order.

Strydom highlighted severe procedural flaws. The agenda failed to meet the required 48-hour timeframe, while new resolutions and recommendations were distributed as late as 9:15 AM on the morning of the meeting.

Strydom said that “it’s simply not possible to apply your mind on issues with this type of shortcuts,” and warned that any decision taken by the council under these conditions would be invalid.

MMC for local development in the city, Wesley Kgang, told Maklera News that tabling the report late is a problem for the city, but said they are dealing with the technical issues. 

The Auditor-General said that they will explain the reasons for the delay. Kgang said that the report will be tabled and communicated accordingly.

The mayor was set to take the matter to the High Court if it proceeded today, saying that not only was he not given sufficient time, but it was also contrary to the resolution previously taken by the council.

Another disciplinary report

This comes just a week after Phetla was issued a termination letter.

An inquiry found that her actions were “calculated act[s] designed to defraud the municipality” rather than mere negligence.

Although Phetla pleaded not-guilty on all counts, the report found that the grounds for her dismissal include:

• Alleged corruption: The “irregular acceptance of gratification” in the form of a VW Amarok worth R1.4 million from a service provider.
• Unauthorised expenditure: Authorising a payment of R2.9 million for electrical material, exceeding her delegated authority,.
• Wasteful expenditure: A payment of R528,000 for goods that were never delivered,.
• Gross dishonesty: Bringing the municipality into disrepute following her arrest by the Hawks and the public fallout.

The report noted that Phetla “dismally failed to challenge the evidence” and concluded that she “cannot be left anywhere near to the Municipality’s purse.”

Phetla did not answer any queries from Newsday. However, she has maintained her pleas of innocence, alleging that the charges against her were “politically motivated.”

She had previously shared that she planned to appeal any adverse ruling against her.

The financial standing of the municipality

The municipality has shown a trend of wasteful spending, which was placed under interventions in terms of section 139 of the Constitution in 2024.

On 24 October, the North West Legislature Standing Committee on Provincial Public Accounts (SCOPA) said it was “shocked” by the rising wasteful expenditure at Matlosana.

Daily Investor reported how, in the 2021/22 financial year, the municipality’s unauthorised, irregular, fruitless and wasteful expenditure (UIF&W) stood at R6 billion. By 2024/25, it had increased to over R11 billion.

Over the same period, unauthorised expenditure at the municipality went from R3.1 billion to R6.3 billion, while fruitless and wasteful expenditure went from R85.6 million to R821.4 million.

Irregular expenditure remained largely flat at R3.6 billion, although R1.2 billion was written off in 2023.

Mahlope, attributed these increases, in part, to deficiencies and weak internal controls that are manipulated within the supply chain management.