PLETTENBERG BAY NEWS - The Plettenberg Bay Ratepayers Association (PBRA) is calling for a forensic audit of the Bitou Municipality's Grant-in-Aid fund, questioning why the allocation increased from R1.4m to R2.8m.
This is according to chairperson Tony Blignaut, who said the PBRA launched an investigation after receiving information through a Paia application.
He said the findings and documents will be forwarded to the Hawks and Public Protector for investigation.
Fund increase questioned
Bitou Mayor Jessica Kamkam told Knysna Plett Herald that no funds were disbursed to any organisation in the 2025/26 application process.
She said Council exercised its oversight authority and advised against Grant-in-Aid payments.
Kamkam said amounts reflected in previous financial years relate to different financial years and grant categories and should be considered in context.
She said the increase between 2023/24 and 2024/25 was 9.5% for the entire Grant-in-Aid allocation and should not be conflated with the 2025/26 process.
Blignaut said deviations and non-compliance on the scale revealed so far "require in-depth forensic investigation". He said red flags emerged during scrutiny of nine of the 27 recipients after the Paia response revealed repeated recipient names.
Red flags identified
Blignaut said recipients must have registration certificates, specified financial documents and reporting. The investigation found indications that a council office bearer and her family were beneficiaries, while some recipients appear unregistered or deregistered.
It also identified 'ghost' entities lacking required financial documentation; unsigned or undated contracts; missing performance obligations; and identical contract wording across recipients incorrectly referring to an unknown entity.
The PBRA alleges policy deviations, including recipients who had already received substantial donations. No documents were produced showing how beneficiaries spent the money or whether it was spent correctly, which Blignaut said indicates a failure by the administration to manage the fund.
Approved policy
Kamkam said the Grant-in-Aid process was administered through Bitou's approved policy and legislative framework.
"Where compliance deficiencies arose, the municipality considered them through the appropriate process and policy prescripts."
She said Bitou would co-operate fully and provide information if the matter is referred to any competent oversight, investigative or law enforcement authority.
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