Treasury: Nelson Mandela Bay's R23bn write-off unlawful

The National Treasury has declared Nelson Mandela Bay's proposed R23-billion write-off of unauthorized, irregular, fruitless, and wasteful expenditure unlawful, citing a defective process and legally flawed affidavit from acting city manager Lonwabo Ngoqo. Treasury stated the Municipal Public Accounts Committee failed to conduct the item-by-item investigation required by the Municipal Finance Management Act, meaning any council resolution supporting the write-off would be illegal. Officials must demonstrate compliant processes by 31 October, with each transaction examined individually. The R23-billion accumulated from 2009 to 2021. Opposition councillors from the ACDP and DA voted against the write-off, while the ANC-EFF coalition majority approved it, prompting the Treasury's intervention.