Note to Editors: Please find an English soundbite by Cllr Jacqui Uys here
Last week, the Democratic Alliance (DA) exposed that the Deputy Mayor of Tshwane, Eugene Modise owes the North West Housing Corporation (NHWC) more than R12 million in unpaid rent, for renting the former Morula Sun.
Today, we can reveal that Mzansi Resorts, the erstwhile Morula Sun, owes the City of Tshwane R21.7 million in unpaid rates and taxes, water and sanitation. Mzansi Resorts is managed via a lease agreement with the NWHC by Mzansi Exhibitions and Events, a company owned by Tshwane Deputy Executive Mayor Eugene Modise, on the Morula Sun property in Mabopane.
While the municipal account is in the name of the NHWC, the lease agreement with Mzansi Exhibitions and Events states that Mzansi and Gold Rush Pty(Ltd), who leases a subsection of the property, is responsible for this City of Tshwane bill.
In a recent City of Tshwane Finance oversight meeting, the DA raised concerns on the high outstanding municipal debt of the NHWC. This prompted city officials in the meeting to cite the NWHC’s claims that they cannot settle their bills as their lessees do not pay their rent.
The Deputy Mayor’s unpaid debt to the NWHC stops them from paying the City of Tshwane – this directly affects the residents of Tshwane, the city’s financial recovery and the city’s ability to deliver services.
The DA will ask for a report on what debt collection processes has been followed with Mzansi Resorts. We need to know how it can be that Provincial owned schools and hospitals, like Weskoppies, can see a visit by the Tshwane Ya Tima teams and have their electricity cut off, yet Modise’s Mzansi Resorts continues business as usual, with no questions asked.