TSHWANE DEPUTY MAYOR OWES NORTH WEST HOUSING CORPORATION R12,5 MILLION IN UNPAID RENTAL OF MORULA SUN

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By Dimakatso Modipa

By CJ Steyl MPL
DA North West Spokesperson on Cooperative Governance, Human Settlements and Traditional Affairs

The DA in North West can today reveal that the Deputy Mayor of Tshwane and MMC for Finance, Cllr Eugene Modise, owes the struggling North West Housing Corporation (NWHC) more than R12,5 million for the rental of the Morula Sun property through his company, Mzanzi Resorts.

This was revealed in reply to a written question submitted by the DA’s Johni Steenkamp.

Tshwane Deputy Mayor Modise, entered into a lease agreement with the NWHC in December 2019, for the lease of the Morula Sun property, at a monthly rental of R150,000.00.

The contract was for a period of three years, but was extended April 2026, despite the millions owed in arrears.

The last payments to the Morula Sun account was received in September 2024.

It is notable that Tshwane Deputy Mayor Modise indicated on the addendum for the extension of the contract, dismissed the arrears amounts in lieu of repairs he brought, despite the contract stating in the Lesee’s obligations that Mzanzi resorts would be responsible for the maintenance.

We have referred this matter to the DA’s Tshwane Spokesperson on Finance, Cllr Jacqui Uys, to initiate an investigation into Tshwane Deputy Mayor Modise within the Metro Council.

In addition, we have written to the Chairperson of the North West’s Portfolio Committee on Cooperative Governance, Human Settlements and Traditional Affairs, to summon the NWHC and Tshwane Deputy Mayor Eugene Modise to appear before the committee, to come an account for this convenient arrangement between an ANC politician and a failing provincial entity, currently governed by a board staffed by a cohort of ANC politicians.

The DA will not rest until every cent owed by Tshwane Deputy Mayor Modise is paid in paid in full and that the NWHC accounts for the actions that led to this agreement between the compromised entity and an ANC politician.

Meanwhile MMC/ Deputy Mayor Eugene Modise responded to the above-mentioned allegations against him as follows:

“Please don’t expect me to contaminate the relationship that we have with NWHC due to political gimmicks because we have shocked the NWHC with how we have turned the entity and have quelled criminal activities and have ultimately arrested vandalism.”

The following points are verbatim as stated by Modise himself:

1.We are not owing NWHC.
2. Extension have merits.
3.We have made expensive crucial renovations and makeover of the property.
4. We entered into agreement long before I became a Councillor let alone the Deputy Mayor.

Modise pointed out that his company still has an engagement with NWHC.

“It would be disingenuous and inconsiderate to disclose the discussions which which is seized with the Board of lawyers,” said Modise.

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