Weskus Distrik’s Dr. Hugo Brand discusses the regulations which extend organisational accountability to personal liability.
Apart from operational leadership, the MM is legally responsible for the following:
- Preventing unauthorised, irregular, fruitless and wasteful expenditure.
- Maintaining effective financial controls, and
- Ensuring compliance with supply chain regulations
Personal liability may arise when:
- Financial misconduct is proven.
- Intentional non-compliance with legislation occurs
- Gross negligence is established
- Intentional gross negligence occurs, and
- The Auditor-General issues a certificate of debt for material irregularity.
Applicable legislation includes the MFMA 56 of 2023 (sections 60, 61, 171–176), the Municipal Systems Act, and the Public Audit Act (addressing material irregularities). Recovery proceedings may be instituted against the MM in terms of the MFMA and the Public Audit Act.
Clearly, leadership accountability is enforceable, not symbolic.
