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Ramotlou: Samwu members unaware of loan from VBS

Eyewitness News recently reported that the Labour Registrar Advocate Lehlohonolo Molefe applied to the Labour Court to have the union placed under administration after uncovering a web of financial irregularities and mismanagement.

FILE: VBS Mutual Bank in Thohoyandou. Picture: Sethembiso Zulu/EWN

JOHANNESBURG - South African Municipal Workers' Union (Samwu)'s newly appointed general-secretary Koena Ramotlou says the organisation’s members were not aware that its former leaders acquired a loan from the now-defunct VBS Mutual Bank, which was never paid back.

Eyewitness News recently reported that the Labour Registrar Advocate Lehlohonolo Molefe applied to the Labour Court to have the union placed under administration after uncovering a web of financial irregularities and mismanagement.

Ramotlou says they plan to get to the bottom of the matter.

“We’re now going to be using members as subscriptions to pay for the loan. While members are paying for the running of the organisation, that question needs to be answered to say how did you come to a point where we won’t get a loan while members are paying monthly. What is their money doing?”

WATCH: Samwu confirms getting loan from VBS Bank

(Edited by Zamangwane Shange)