Red flags have been raised about money that has been allocated by the City of Cape Town to “needy” community groups.
|||Cape Town - Red flags have been raised about money that has been allocated by the City of Cape Town to supposedly needy community organisations that don’t exist or are based outside the country.
The council is to consider grant-in-aid allocations of R918 500 in total, but Suzette Little, the mayoral committee member for social development and early childhood development, says the council needs proof that these organisations are legitimate before the money is allocated, since it has been revealed that some don’t exist.
One of the suppliers is based in London.
“We will approve grant-in-aid funding on condition that the ward councillors and sub-council managers can confirm in writing that these organisations exist,” said Little.
About 50 organisations involved in projects - ranging from poverty alleviation, youth development and child care to sport - have applied for funding.
Belinda Walker, the mayoral committee member for community services, urged the council to be “extremely cautious” about giving financial support to suppliers, in case the auditor-general viewed the allocation as the city bypassing supply-chain management processes.
“There may well be other suppliers on the list,” she said.
Four requests from questionable organisations have been removed from the grant allocation list, after an investigation by Little’s office.
According to this list, recommended by a sub-council to the grants committee, an organisation that was to supply sports equipment to needy communities in Kuils River, initially applied for funding of R242 000. This is one of the applicants that Little’s office could not trace.
Cape Argus