The Mpumalanga Land Reform and Rural Development Department wants the Mbombela High Court to place the Mbuyane Communal Property Association (MCPA) under administration, arguing that it has failed to meet its statutory obligations.
The association is a communal property association acting on behalf of the inhabitants of the Dwaleni community and the Mbuyane people, on whose land the Kruger Mpumalanga International Airport (KMIA) near Mbombela is built. The association is the custodian of a 10% stake in the multimillion-rand aviation hub.
The dispute between the two parties was sparked after the death of the late chief Zankosi Mbuyane in 2006, who was the head of the Mbuyane Traditional Council and an ex-official member of the MCPA. According to the MCPA, this matter is now before the courts because a parallel structure emerged after Mabuye’s death and has operated alongside the recognised executive committee of the MCPA, with the knowledge and support of the department.
In her founding affidavit, however, the department’s provincial chief director, Zanele Sandrina Sihlangu, who is deposing on behalf of the director general, points to the dysfunction, conflicts, and disputes within the MCPA.
“The applicant… brought this application to place the first respondent under administration due to persistent conflicts and disputes… which renders the first respondent dysfunctional,” Sihlangu states in court papers.
At the heart of the dispute is control over a steady revenue stream tied to KMIA.
Court papers indicate that between 2007 and 2022, the association received about R10.3-million from this arrangement. Despite this income, the department argues that the MCPA failed to meet its statutory obligations.
“It is common cause that there has not been any form of proper accounting by the executive committee… to both beneficiaries and the department,” Sihlangu states.
The MCPA is cited as the first respondent, with its acting chairperson Tito Masuku as the second respondent, alongside the Dwaleni Development Forum and KMIA management.
According to the respondents’ version before court, putting the MCPA under administration would give control of the association to the same system they blame for allowing the parallel structure to exist.
They allege that the parallel structure has been involved in running farm operations related to the MCPA and has received state funding, including about R19-million in rural development funds, without reporting to the executive committee.
Furthermore, the respondents claim they reported alleged fraud and mismanagement to the Hawks, citing difficulties in accessing financial records required to account to beneficiaries at an AGM.
“Rather than granting the department’s application, the court has the opportunity to order a judicial enquiry into the fraud… leveraging the Hawks’ existing evidence and potentially involving the Special Investigating Unit,” the respondents submit.
They contend that such an inquiry “would uncover the full extent of the corruption, hold accountable those… and allow the CPA to rebuild without external control”.
- The Mpumalanga Land Reform Department has applied to the Mbombela High Court to place the Mbuyane Communal Property Association (MCPA), custodian of a 10% stake in Kruger Mpumalanga International Airport (KMIA), under administration due to dysfunction and failure to meet statutory obligations.
- The dispute stems from leadership conflicts following the 2006 death of chief Zankosi Mbuyane, with a parallel structure emerging alongside the recognized MCPA executive committee, allegedly with departmental knowledge.
- From 2007 to 2022, MCPA received about R10.3 million from KMIA revenues but failed to provide proper accounting to beneficiaries or the department.
- The MCPA and other respondents claim that placing the association under administration would empower the system responsible for allowing the parallel structure and poor governance, and allege mismanagement and fraud, including misuse of approximately R19 million in rural development funds.
- Respondents request a judicial inquiry, leveraging Hawks and Special Investigating Unit investigations, to expose corruption and enable the CPA to recover without external control.
