Gauteng's Maile calls for more arrests in VBS looting scandal
This follows the appearance of the former Merafong Municipality‘s acting CFO Matthys Wienekus in court this week.
JOHANNESBURG - Gauteng Cooperative Governance MEC Lebogang Maile has called for more arrests in the VBS Mutual Bank saga, particularly when it comes to municipalities.
Wienekus was arrested in connection with R50 million being paid over to VBS Mutual Bank in violation of the regulations.
A number of municipalities lost substantial amounts of their investments when the bank folded.
Wienekus has now been charged with contravening the Municipal Finance Management Act for his alleged role in the VBS Mutual Bank scandal.
He is believed to have transferred R50 million of municipal funds to the bank.
Maile applauded the police for what he called work well done.
"We firmly believe that the action now being taken by our law enforcement agencies will go a long way to act as a deterrent to anyone who thinks that he or she can misuse public funds."
It's alleged that he made the transfer three days after he was appointed as acting CFO.
He has appeared in court and is expected back on 29 July for a plea.
Nine suspects are now facing charges for their alleged role in the collapse of the bank.