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Broke council loses cars to pay lawyer

Nissan Navara
Image: Supplied

The cash-strapped Modimolle-Mookgophong municipality in Limpopo could find itself with no assets after its goods, including vehicles, were attached by a creditor yesterday.

The troubled municipality, which has already seen workers down tools over unpaid May salaries, had a court sheriff arrive at its property to attach goods for failing to pay a service provider.

The municipality, which was formed after the merger of Modimolle and Mookgopong municipalities after the 2016 local government elections, allegedly owed the law firm Mphoke PK Magane Incorporated more than R1.8-million.

A court order Sowetan has seen, dated May 25, directed the sheriff of the high court, to attach and take into execution the municipality's movable goods. The order directs for a public auction to be held in order to raise the sum of R1.8-million, with interest thereon at the rate of 10% per annum.

Sowetan has reliably learnt that a refuse removal truck, two Nissan Hardbody bakkies and a sedan belonging to the municipality were attached.

Other vehicles, including the official mayoral car, were also being located to be seized.

The sheriff, Ben Rakgotho, refused to comment, saying he was executing the mandate of the court.

Municipality spokesman Patrick Shika confirmed receipt of the attachment order from the sheriff.

"So far we have lost eight cars to the sheriff and we do not know how we are going to recover them. We need a bailout from the provincial treasury to pay our creditors," said Shika, who confirmed that the municipality was bankrupt.

"We need about R3.7-million for the salaries of our officials in Mookgophong."

He said they were working hard to ensure the officials got paid before the end of this month.

"We have since collected revenue and are going to ensure payment to our officials. As for the other properties we will see how to recover them."

Sowetan has also seen a letter of demand for payment from another service provider, MunSoft, amounting to R1.4-million for services rendered without pay.

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