The Star reports that widespread corruption, fraud, theft and mismanagement of hundreds of millions of rand at the Municipal Councillors’ Pension Fund (MCPF) has been referred to the Hawks by its curators.  

So dire is the situation at the fund that the SA Local Government Association (Salga) has now asked the national government that the MCPF be merged with the Public Office Bearers Pension Fund, which caters for cabinet ministers, their deputies, premiers, MECs, MPs and provincial legislators.  Last year, the Financial Sector Conduct Authority (FSCA) successfully applied in the North Gauteng High Court for the MCPF, which has nearly 6,000 members, to be placed under curatorship.  Among the dodgy and highly irregular transactions MCPF curators Juanito Damons and Thabang Kekana have reported to the Hawks are the purchase of 11 vacant stands in Klerksdorp, North West, from Isago@N12 Development for R120m, and MCPF’s strange decision to pay about R17m in VAT for the deal, despite the properties being registered in the fund’s name.  MCPF documents state that the 11 Isago properties were bought for over R137m, when they were valued at R46.6m - an overpayment of R90.4m.  The fund also bought a 12th property for R65m, when its assessed value was about R40m - overpaying by R25m.

• Read this report by Loyiso Sidimba and Lindile Sifile in full at The Star

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