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By Samkelo Mtshali 
5h ago
Johannesburg: The Mayor of the City of Johannesburg, Geoff Makhubo, has made the shocking revelation that he sees no conflict of interest in continuing to “monitor” the financial affairs of a company to which he is the sole signatory, even though he has a contract with the municipality. .
Makhubo’s company, Molelwane Consulting, had been in business with the board from 2005 to 2011. He said he had resigned as a director of the company in November 2011 after taking office in May 2011.
However, the contract between the city and Makhubo’s Molelwane Consulting was extended from 2011 to 2015 despite his holding the position of City Finance MMC, a position where his responsibilities included playing a supervisory role on numerous contracts. , including Regiments Capital, which had a partnership. with Molelwane Consulting.
Although this exposed him to a conflict of interest, Makhubo told the commission that he did not see a conflict of interest in this arrangement.
It was also revealed that Molelwane Consulting’s partnership with Regiments Capital, which served the City of Johannesburg, was a relationship for which Molelwane was the beneficiary of 10% of the profits of the partnership managing the city’s Sinking Fund. from Johannesburg.
Reading Makhubo’s affidavit regarding the conflict of interest, the test leader, advocate Matthew Chaskalson, said: “There was never a conflict of interest as the term of the Molelwane agreement on the first Sinking Fund would have expired in January 2011, the year I took office. Molelwane Consulting did not continue to provide services in the second because it did not participate in the RFP (Request for Proposal). “
“In addition to this, I declared all my private interests by taking public office as required by law, in addition to this, I subsequently resigned as a member of Molelwane Consulting and director of all other companies in November 2011. This was in line with my decision to use my skills as a public representative, ”Chaskalson read from Makhubo’s statement.
Makhubo, who became MMC for Finance in the city of Johannesburg in May 2011, revealed to the chairman of the commission, Vice President of the Supreme Court, Raymond Zondo, and the commission’s evidence leader, Chaskalson, that despite After resigning from Molelwane, he had kept his 67% stake in the company. although its commercial relations with the city had been expanded.
The remaining stake in the company was in his mother’s name, the commission was informed.
Chaskalson, Makhubo’s main evidence, said that in the eight-year period between 2008 and 2016, the total amount Molelwane received from the regiments was R35.7 million.
Despite resigning from Molelwane, the commission said that Makhubo had continued to sign checks ranging from R200,000 to R300,000 from the company, though he told the commission that even though his signature was on the checks, he did not recall for what the transactions had been. .
Makhubo also admitted that Molelwane’s bank account was still low on his profile and that, to date, he remained the sole signatory on Molelwane’s financial affairs as he “still watches what happens with the company.
Makhubo said that although he was still managing the accounts for Molelwane Consulting, he did not believe there was a conflict of interest in this arrangement.
Political Bureau
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