MEC for Finance in KwaZulu-Natal, Francois Rodgers. The KwaZulu-Natal Provincial Treasury has rejected allegations of inaction and misconduct linked to governance failures at Newcastle Local Municipality
Image: KZN Treasury / X
The KwaZulu-Natal Provincial Treasury has rejected allegations of inaction and misconduct linked to governance failures at Newcastle Local Municipality, as a war of words escalates between the department, the Democratic Alliance (DA), and the Newcastle and District Residents Forum (NDRF).
The issues follows a Hawks raid at the municipality, which has ignited a firestorm of accountability claims. The NDRF labeled the DA’s recent calls for accountability as "opportunism."
In a provincial treasury statement, Finance MEC Francois Rodgers said allegations circulating on social media were “unsubstantiated, misleading and devoid of factual basis”.
“They amount to political vitriol intended to undermine the integrity of the MEC and the institution, rather than contributing constructively to addressing the governance and service delivery challenges facing Newcastle Local Municipality,” the treasury said.
The Treasury said Rodgers had “on numerous occasions, formally engaged Newcastle Local Municipality on matters of financial governance, compliance with the Municipal Finance Management Act (MFMA), budget funding, expenditure control and fiscal sustainability”.
“These engagements are well documented and constitute a lawful and responsible exercise of the MEC’s constitutional and statutory oversight responsibilities,” it said.
The department added that it had deployed supply chain management specialists to assist the municipality and had engaged stakeholders, including the local ratepayers’ association.
However, the NDRF has sharply criticised both the MEC and the DA, accusing them of being directly implicated in the municipality’s governance failures.
“The DA is part of the coalition governing Newcastle Municipality,” the forum said, adding that the party “voted for and helped elect the very senior political office bearers now presiding over this disaster”.
It further pointed to key oversight roles held by the party, stating that “the MPAC chairperson is DA, the very person responsible for oversight”, and that the party was “central to coalition negotiations”.
“The DA was not on the sidelines, it was at the negotiating table, in positions of power, and fully embedded in this administration,” the forum said.
The NDRF accused the party of attempting to distance itself following recent developments, including the Hawks’ raid at the municipality.
“Now, after everything unravels, they want to act like whistleblowers? Absolutely not,” the statement read.
The forum also directed criticism at Rodgers, claiming that repeated warnings were ignored.
“The NDRF repeatedly raised alarm bells with the KZN MEC for Finance,” it said, adding that submissions detailed “financial collapse, governance failures, escalating debt, [and a] breakdown in accountability”.
“And what happened? They were ignored, dismissed and treated with contempt. This is not oversight, this is deliberate inaction.”
On the state of the municipality, the forum said: “Newcastle Municipality is technically bankrupt.”
It dismissed interventions as ineffective, describing the financial recovery efforts as “a paper exercise”, “a tick-box intervention”, and “a political smokescreen”.
“You cannot ‘recover’ a municipality that is financially insolvent, administratively broken, drowning in debt, and riddled with alleged corruption,” the NDRF said.
It further accused those in leadership of failing residents.
“Under DA watch: MPAC failed, oversight failed, leadership was protected, residents were ignored,” the forum said.
“And now, only after the Hawks step in, does the DA suddenly find its voice? This is not leadership, this is opportunism.”
In response, DA Amajuba constituency head Dr Imran Keeka welcomed Rodgers’ statement, saying it had “rebutted the spurious allegations made by a feckless organisation against the Provincial Treasury”.
“Their attempt at relevance has been exposed for what it is: a cheap shot rooted in weak and reactionary politics, rather than fact or substance,” Keeka said.
He also questioned the forum’s intentions, noting its move to register as a political party.
“This intention has long been clear to us in Amajuba… given the political history of its leadership,” he said.
Keeka maintained that the DA would continue its oversight role, stating: “The DA will remain unwavering in our work of accountability and delivering services where we find ourselves.”
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