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Nelson Mandela Bay mayor, Gary van Niekerk’s insistence on appointing the infamous Anele Qaba as CEO of the Nelson Mandela Bay Development Agency (MBDA) has now put the City at risk of losing almost R600 million.

This follows after National Treasury wrote to the City Manager and the mayor to inform that it has decided to withhold R591 million in conditional grant funding after a letter that raised concerns about Qaba’s appointment was not answered. The City Manager also wrote to the mayor to highlight the issue.

Qaba has previously been accused of serious misconduct and he left the municipality after an out of court settlement was reached as a result of a botched disciplinary process.

On 20 June 2023 I wrote to National Treasury requesting direct intervention and on 21 June I also wrote to the MBDA Board to advise them of their fiduciary duty towards both the municipal entity as well as the municipality. National Treasury has a firm stance against the reappointment of officials to the very same institution after settlement agreements have been reached.

The damage inflicted by Van Niekerk and Qaba could have a further far-reaching financial impact if National Treasury withholds an additional R388 million in conditional grant funding set to be paid over later this month.

The non-receipt and late receipt of grant funding by National Treasury will have a severe impact on service delivery to the people of NMB.

I warned Van Niekerk of the dire consequences of Qaba’s appointment and now the City and its residents will have to suffer due to this governing coalition’s political interference.

It is very clear that an improper relationship between Van Niekerk and Qaba exists and that it is now leading to massive financial losses for the City. If the relationship between the MBDA and Qaba has to be severed now, Qaba might be entitled to another golden handshake.

The DA will ensure that such losses are recovered from the MBDA directors in their personal capacity, as they have been warned about the potential adverse risk for Council.

Under a DA coalition government, the City managed to make significant progress which is now being undone by the irresponsible actions of the ANC/EFF/NA coalition.

The DA will keep fighting for the people of Nelson Mandela Bay and will not allow any illegal or untoward activities to bring further harm to the Metro.

Issued by Cllr Retief Odendaal - DA NMB Caucus Leader