A Free State businessman is refusing to release 12 vehicles belonging to the troubled Maluti-a-Phofung municipality after he claimed that he is owed more than R2million for fixing and servicing them.
Tsatsi Ramalitsi, owner of vehicle servicing company, Juny Trading, based in Qwaqwa, alleged that the municipality owes him more than R2.4million for the vehicles he had fixed. He claimed that after he had repaired vehicles this year, the municipality had been sending him from pillar to post when it came to payment.
“I have been fixing the municipal vehicles since 2020 and there was no problem for me to get paid. In fact, I was approached by the municipality officials to assist them in fixing the vehicles, so that the municipality can continue providing service delivery to the people. All was well until this year, where the municipality had flatly refused to pay what is due to me. They owe me R2.4million for the job I have done. My lawyers had sent a letter of demand to the municipality, but they are not budging,” said Ramalitsi.
He added that this whole situation had caused a serious damage to his business.
“Since they refused to pay me, I decided to impound 12 vehicles, including a refuse truck, tractor, tractor-loader-backhoe (TLB) including sedans and bakkies. They came here looking for their property, citing that they were facing a crisis of dealing with service delivery as they did not have vehicles, but I told them that I want them to pay me first. They are busy messing up there at the municipality and failing to pay what is due to me, and on the other side they are harassing me, demanding vehicles, which I have impounded. I never stole those vehicles, but they brought them here, and now they are demanding that I release them while they are owing me. That will never happen, as I did my job to fix their cars and now they do not want to pay me,” he said.
In a conference call between Ramalitsi and the spokesperson of Maluti-a-Phofung, Thabo Kessah and this reporter, he stated that he was sick and tired of being made a fool by the municipality.
“Look here Thabo, I don’t care if the municipality is broke or not, you guys are owing me and I want my money. You are all corrupt at that municipality and I am not prepared to listen to your nonsense. All I want is my money, and after receiving it, I will release the vehicles that I have impounded,” said Ramalitsi to Kessah.
Kessah retorted: “You are barking at the wrong tree, as I am not responsible for whatever issues you have with the municipality. This matter is in court based on your application and it will be dealt with legally.”
Ramalitsi lost it and said: “You are lying here. I never take this matter to court, but I sent a letter of demand, and you and others there at the municipality are hellbent to solve this matter. Don’t tell me nonsense.”
In the letter of demand, which we have seen, sent by Ramalitsi’s lawyers Corne Boshoff Attorneys to the municipality on 10 November, the lawyers demanded that Maluti-a-Phofung pay their client a total sum of R2 468 189.20 in respect of mechanical services and repairs “done by our client on instructions of the municipality and on municipality’s express demand”.
“Notwithstanding our client’s own demand for payment, you have neglected and/or failed to pay the said amount, which is due and payable. Should you fail to make payment of the amount of R2 468 189.20 with legal costs to be added, within 30 days from the date hereof, we hold instructions to proceed with immediate legal action against you in order to recover the balance due and payable to our client, together with more interest plus legal costs,” reads the letter of demand.
Maluti-a-Phofung acting municipal manager Sam Makhubu responded to Ramalitsi’s lawyers on 21 November in a letter, where he stated that the businessman should produce a service level agreement (SLA) which he had signed with the municipality, including copies of the quotations as well as outstanding invoices and order forms, which will form as a proof of confirmation that services were indeed rendered.
However, Ramalitsi poured cold water on the matter and stated that it was not his problem that the supply chain management and procurement processes were not followed.
“I don’t work for the municipality for me to do their job, as that had nothing to do with me. They must just pay me,” he said.
Department of Cooperative Governance and Traditional Affairs (Cogta) spokesperson in Free State, Sello Dithebe said: “Each municipality has its own administration, and the department only provides support to all municipalities to be able to perform their functions. As to whether Maluti-a-Phofung followed due process when appointing Mr Ramalitsi to repair their vehicles, it’s a question that can be answered by the municipality. It is safe to say that where compliance with the relevant provisions of the Municipal Finance Management (MFMA) Act may have not been followed, the matter will be flagged by the Auditor General for a possible unauthorised, irregular, fruitless and wasteful expenditure,” said Dithebe.
Dithebe also stated that the municipality had advised that the matter of the contested account was in the hands of the lawyers representing both Maluti-a-Phofung and Ramalitsi.
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