Morero says the fraud charges against Gwamanda justify ANC's step-aside rule to kick in
This is in connection with Gwamanda's arrest on Friday following allegations he was involved in a fraudulent funeral scheme in 2012.
The newly-elected Executive Mayor of the City of Johannesburg is Dada Morero. City of Joburg
JOHANNESBURG - Joburg Mayor Dada Morero says the fraud charges against his predecessor Kabelo Gwamanda justify the African National Congress (ANC)'s step-aside rule to kick in.
This is in connection with Gwamanda's arrest on Friday following allegations he was involved in a fraudulent funeral scheme in 2012.
READ: Al Jama-ah surprised by timing of former Joburg Mayor Kabelo Gwamanda’s arrest
While Morero has the power to fire Gwamanda who is now an MMC in his executive, he says the ANC's policy should apply despite the MMC belonging to a different political party.
The step-aside rule is an ANC policy that requires individuals charged by a court of law to step down from government posts.
It is alleged that Community Development MMC in Joburg and former mayor Gwamanda is alleged to have operated an illegal funeral scheme over a decade ago.
It is understood some Soweto residents made monthly payments to the business for funeral cover.
But when some individuals discovered the scheme was not legitimate, Gwamanda reportedly disappeared along with their funds.
Morero has expressed deep concern over the allegations against Gwamanda and believes urgent action is needed.
He said Gwamanda, a member of the Al Jama-ah party must adhere to the ANC's step-aside rule.
Last year, investigations by the financial sector authority revealed Gwamanda's funeral scheme wasn't registered.
DA SEEKS PROBE INTO AGREEMENTS THAT GWAMANDA SIGNED
The Democratic Alliance (DA) in Joburg demands an investigation to look into all agreements signed by Gwamanda during his time as the city’s mayor.
According to the blue party, the recent fraud charges against Gwamanda warrant a thorough examination of all contracts he signed during his 15-month tenure.
Gwamanda was arrested on Friday – for his alleged involvement in a fraudulent funeral scheme in 2012.
The DA leader’s regional leader Belinda Kaiser Echoezonjoku explains: “This obviously casts a big shadow on the office of the mayor. Also, we are very concerned that him and [his] associates said in an interview that there was no vetting done, which is a big concern for us that they listed someone in such an important office without any vetting done.”