Investigation Underway in Dr. Ruth Segomotsi Mompati District Municipality’s R38m Call Centre Scandal

A scandal involving the construction of a redundant call centre with public funds, initially intended for service delivery, has resulted in an ongoing investigation by the North West Provincial Legislature Portfolio Committee. The lack of comprehensive reports and documentation, along with unsigned responses from the Dr. Ruth Segomotsi Mompati District Municipality, has raised concerns. The municipality has pledged cooperation with law enforcement and committed to investigating the issue, highlighting the importance of responsible governance and the pivotal role of oversight committees in ensuring transparency and accountability in public institutions.

What is the Dr. Ruth Segomotsi Mompati District Municipality’s R38m Call Centre Scandal about?

The scandal involves the construction of a redundant call centre with public funds initially intended for service delivery. The North West Provincial Legislature Portfolio Committee on Premier, Finance, Cooperative Governance, Human Settlements and Traditional Affairs has given the district municipality until November 21, 2023, to sufficiently address the accusations. The lack of comprehensive report and documentation, along with the absence of detailed reports, raises concerns. The municipality pledged cooperation with law enforcement and confirmed that the municipal council had tasked the Municipal Manager with investigating the issue.

The North West Provincial Legislature Portfolio Committee on Premier, Finance, Cooperative Governance, Human Settlements and Traditional Affairs, in association with the Standing Committee on Provincial Public Accounts, has refuted the unsigned responses provided by the Dr. Ruth Segomotsi Mompati District Municipality. They have given the district municipality until 21st November 2023 to sufficiently address the accusations related to the contentious R38 million call centre.

Oversight Meeting Highlights Call Centre Scandal

The committees, under the leadership of Hon. Aaron Motswana, convened an oversight meeting with the district municipality to investigate the allegations presented in media outlets regarding the construction of a redundant call centre with public funds initially intended for service delivery.

Motswana, who also functioned as the acting chairperson of SCOPA, conveyed the committees’ dissatisfaction with the unsigned responses, which didn’t adequately explain the procedures followed in allocating the contentious call centre contract. He highlighted that the district municipality failed to provide a satisfactory explanation of the disputed R38 million call centre, nor did they identify the councillors, officials, and company proprietors involved in the scandal.

Absence of Detailed Reports and Documentations Raises Concerns

The lack of a comprehensive report detailing the supply chain management processes, bid adjudication committees, and the source of the tender budget added to the growing concern. Motswana insisted that the tender should have been included in the service delivery budget implementation plan since there had been whispers of it being a long-term contract extending across multiple municipal administrations.

Motswana castigated the district municipality’s actions as conceited and reckless, chastising the council for their inability to justify the approval of a redundant and duplicate call centre. He dismissed the municipality’s excuse that the contract documents resided at the Auditor General’s Office, maintaining that copies should be accessible on the municipal document cloud system for archival purposes.

The committees, thus, reiterated their demand for a comprehensive, signed report from the Executive Mayor, Motseokae Maje, with detailed proofs of each transaction, including how the tender was advertised and the appointment process.

Municipality Pledges Cooperation with Law Enforcement

Despite the ongoing scandal, the municipality verified that the call centre tender cost amounted to R38 million. Hearteningly, Mayor Maje promised his collaboration with law enforcement agencies and the committees to thoroughly examine the matter.

Mayor Maje applauded the efforts of both committees and confirmed that the municipal council had tasked the Municipal Manager with investigating the issue. Following this, Motshabi Attorneys were commissioned to carry out the investigation. Maje reiterated their commitment to work with the law enforcement agencies and supply the necessary documentation.

The municipality further vowed to submit a thorough report outlining the events to the Legislature’s committees. Mayor Maje’s commitment was met with assurance from Hon. Motswana that the committees would resume their engagement with the district municipality once the comprehensive report was delivered.

The Crucial Role of Transparency and Public Participation

This incident underscores the significance of responsible governance and the pivotal role of oversight committees in preserving transparency and accountability in public institutions. The ongoing investigation will be keenly observed, not only by the committees but also by the public, whose funds are in jeopardy.

By persisting in holding the district municipality accountable, the committees affirm their dedication to protect public funds and ensure their usage for their original aim: service delivery. As this scandal unfolds, it underlines the need for strong checks and balances within South Africa’s democratic governance.

The outcome of the investigation is yet to be determined, but the event has illuminated the crucial role of oversight structures in protecting public funds. Regardless of the final verdict, this case underscores the significance of transparency, accountability, and adherence to the rule of law within our institutions. This incident will persist as a measure of the resilience and integrity of South Africa’s governance systems.

This scandal is a critical milestone in South Africa’s path towards comprehensive governance, underlining the need for constant vigilance, not just from our government institutions, but also from the public. It is crucial that we, as citizens, stay informed and actively engage in our country’s democratic processes to ensure that public funds are utilized wisely, responsibly, and for the intended purpose of improving the lives of South Africans.

1. What is the Dr. Ruth Segomotsi Mompati District Municipality’s R38m Call Centre Scandal about?

The scandal involves the construction of a redundant call centre with public funds initially intended for service delivery.

2. What actions have been taken by the North West Provincial Legislature Portfolio Committee and the Standing Committee on Provincial Public Accounts?

The committees have refuted the unsigned responses provided by the Dr. Ruth Segomotsi Mompati District Municipality and have given the district municipality until 21st November 2023 to sufficiently address the accusations related to the contentious R38 million call centre.

3. What are the concerns raised by the lack of detailed reports and documentation?

The lack of a comprehensive report detailing the supply chain management processes, bid adjudication committees, and the source of the tender budget added to the growing concern.

4. How has the Dr. Ruth Segomotsi Mompati District Municipality responded to the scandal?

The municipality pledged cooperation with law enforcement and confirmed that the municipal council had tasked the Municipal Manager with investigating the issue.

5. What is the role of oversight committees in ensuring transparency and accountability in public institutions?

Oversight committees play a pivotal role in preserving transparency and accountability in public institutions by holding them accountable for their actions and ensuring the responsible usage of public funds.

6. What is the significance of this scandal in South Africa’s path towards comprehensive governance?

This scandal underlines the need for constant vigilance, not just from our government institutions, but also from the public. It is crucial that we, as citizens, stay informed and actively engage in our country’s democratic processes to ensure that public funds are utilized wisely, responsibly, and for the intended purpose of improving the lives of South Africans.