Opposition parties and a municipal official said the eThekwini Municipality had approached the Supreme Court of Appeal for leave to appeal a high court judgment that ordered it to pay R30 million to a private company File Picture: Durban City Hall.Picture: African News Agency (ANA)
Durban - The eThekwini Municipality is petitioning the Supreme Court of Appeal (SCA) for leave to appeal a high court judgment which ordered that it pay a private company R30 million.
The city had appealed the high court judgment, but when it lost the appeal and failed to make payment, the company, Daily Double Trading 479 CC, trading as Pholobas Projects, moved to attach the city’s assets to satisfy the debt.
Assets were attached at the electricity department last week, including vehicles, computers and phones.
“The Mercury” has learned that the city has now approached the SCA in a bid to stop the attachment from proceeding further.
Opposition parties described the seizure of the assets as a huge embarrassment to the city, and questioned how the matter had been allowed to go that far.
A city official, who asked not to be named as he was not authorised to speak to the media, said the municipality was petitioning the SCA.
“A lot of people have been assuming that the city is in the wrong in this case, but that is not the case. A lot of things will come out when the case is over,” said the official.
Municipal spokesperson Msawakhe Mayisela said the matter was in court and, as such, was sub judice.
“We appeal to the media and the public to allow the legal processes to unfold.”
The lawyer representing the company declined to speak yesterday as she was in a meeting.
Labour unions said they were concerned about the situation.
Queen Mbatha, of the Independent Municipal and Allied Trade Union (Imatu), said the morale among the staff whose tools of trade were seized was low. She said to date employees had not been told anything about what was going on with regard to the assets seized, except that there were engagements between the company and the municipality.
“We are concerned about the workers because they have deadlines, especially at the HR unit where these assets were seized. By a certain date, the workers have to start feeding information into the system,” she said.
EFF leader Thabane Miya said at the next council meeting they would demand an explanation of what had led to this, and for officials responsible to be sanctioned.
“That they are taking this matters to the court means nothing; they could incur more costs by going there. Going to court is no guarantee that you are going to win. The issue here is that we have a legal department in this city; why have they let this matter get to this point,” Miya asked.
IFP councillor Mdu Nkosi said he had been made aware that the municipality planned to take the matter to the SCA.
“Let’s us pray that we win. It would be traumatic to lose the case as that could cost more money. This is taxpayers’ money that would be spent here.”
DA councillor Thabani Mthethwa said the party was also aware the municipality had taken the matter to the SCA. “We need a full report explaining this huge embarrassment,” Mthethwa said.
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