Twenty-eight female guards were unfairly dismissed by a security company because the client‚ Metrora.
Mafikeng mayor Mosa Sejosengoe yesterday revealed that more than 60 employees in the municipality were related.
She told a media briefing yesterday that there was nothing wrong with nepotism as long as the Municipal Employment Act was followed.
"I do not see any problem if my husband or daughter works with me as long as proper procedures have been followed.
"There is no law that prohibits them from working with me if they are qualified. There is a councillor's wife and other councillors' relatives who are employed by the council."
She admitted that some temporary workers had been employed without proper authorisation but their services had been terminated when they were found out.
Mafikeng municipal manager Hendricks Smith said a verbal warning had been issued to the head of the human resources department.
Sejosengoe denied allegations published in a local newspaper that she had abused her municipal credit card.
"I used the official credit card strictly for matters concerning the municipality. I used the funds purely for council matters. Therefore, there is no issue regarding the misuse of the credit card," she said.
Independent Democrats provincial policy convenor in North West, Sidney Malapa, said serious steps must be taken against the head of the human resources department.
"Taxpayers' money has been used unfairly and someone has to pay. The mayor must stop crying like a baby and act against those who violate the rules and regulations of the council."