Former Elias Motsoaledi Municipality mayor, manager in court over unlawful VBS investment | News24

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The former mayor of Limpopo-based Elias Motsoaledi Municipality will appear in the Pretoria Specialised Commercial Crimes Court on Wednesday afternoon for several charges related to a VBS Mutual Bank investment.

The woman, who is now the mayor of the Sekhukhune District Municipality, was arrested on Wednesday morning in Groblersdal, Limpopo, alongside the Elias Motsoaledi Municipality's former manager.

The arrests emanated from an investigation by the Hawks into unlawful investments made by municipalities into the defunct Venda Building Society , in contravention of the Municipal Finance Management Act. The municipal manager is said to have been instrumental in investing R190 million municipal funds into the VBS Mutual Bank. The mayor received more than R300 000 in gratification, including cash, accommodation and flight tickets.

The duo is charged with corruption, money laundering and contravention of the Municipal Finance Management Act and the Banks Act.In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month.

 

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