The Amatola Water Board in the Eastern Cape, described as “dysfunctional”, has been placed under legal administration amid allegations of irregular expenditure.
The decision comes as CEO Vuyo Zitumane was placed on precautionary suspension last week after a probe into the R230m funding given to the water board for a sand abstraction project, which is a method of drawing water from sandy rivers.
In a statement released at the weekend, minister of human settlements, water and sanitation Lindiwe Sisulu said she had met with her advisers and received the updated reports regarding intensified processes applied to resolve the case of irregular expenditure within the department.
While Zitumane confirmed her suspension to HeraldLIVE at the time, she maintained that she was not given any reasons for the decision, but had guessed it was related to her failure to allocate 60% of the R230m to a specific project, and that she had also failed to execute this new technology.
Zitumane maintained that she was being victimised.
Furthermore, she felt that the correct steps before placing the board under administration had not been followed and that investigations were still ongoing.
Ministry spokesperson McIntosh Polela, however, said Sisulu had received comprehensive updates about enduring problematic developments at the Amatola Water Board.
Since taking office nine months ago, Sisulu had tried a variety of interventions to resolve management and governance issues which had plagued the affairs of Amatola Water for several years, Polela said.
“The board has long been characterised by instability and infighting, which has rendered Amatola Water dysfunctional.
“Minister Sisulu has now concluded that ending the term of office of the current interim board and appointing legal administrators to manage the affairs of Amatola Water is the only practical solution left to address the enduring instability.”
Sisulu said the decision was not taken lightly but needed to be made to have a solvent and stable institution that strives for reliable delivery of water to the citizens of the Eastern Cape.
All decisions taken by the board to date would remain valid and in force.
This included the ongoing investigation into Zitumane, who had been placed on special precautionary leave with full pay, Polela said.
Zitumane was sent to Nelson Mandela Bay in 2015 as part of an intervention from the national government.
The municipality later retained her as a permanent corporate services executive director.
However, she resigned in 2018 to take up the position at the Amatola Water Board.
By Kathryn Kimberley
