KNYSNA NEWS - The dust hasn't settled yet over the alleged "R60 million" Knysna rates dispute with Grey Elephant Investments (GEI), even after council decided last week that GEI pay R10m to settle the dispute.
The DA and Knysna Independent Movement (KIM) are upset, saying a motion to write off debt was allegedly based on a decision by mayor Aubrey Tsengwa.
GEI correspondence from lawyers, on a few occasions since February and revealed in the council agenda, had allegedly pushed Tsengwa and then municipal manager Ombali Phineas Sebola to apparently clarify and bring "harmful and defamatory" allegations about the write-off into the public domain.
Tsengwa said in response to questions from the Knysna-Plett Herald that the municipality "acknowledges" the enquiries "regarding the status of a municipal account holder".
"Council resolved the matter in terms of write-off council credit policy. We wish to clarify that the municipality does not comment on the specifics of individual accounts in the media.
"All municipal accounts are managed in strict accordance with our approved municipal policies, and we will continue to uphold our rights under these policies, including our credit control measures," said Tsengwa.
Figures revealed in council documents on 22 August show GEI is to pay R10m of the total "R60m" listed on municipal books in the rates dispute. A resolution to this effect was accepted at the meeting.
The DA voted against a council proposal to write off a "significant portion of Grey Elephant Investments' (GEI) rate debt which allegedly amounts to between R40 and R60 million".
Read more on www.knysnaplettherald.com
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