Hawks Must Investigate Contentious Walter Sisulu Municipality Lease-Deal

Statement by Cllr Magda Botha – DA Walter Sisulu Caucus Leader:

The Democratic Alliance (DA) in the Walter Sisulu Local Municipality has written to the Hawks to request an urgent investigation into a long-term lease consortium agreement of key Walter Sisulu municipal assets. The deal involves assets including the Aliwal Spa Holiday Resort, Buffelspruit Nature Reserve, and Oppie Bron Flats.

Despite the DA’s attempts to resolve the matter through internal oversight processes, the Aliwal Spa long-term lease agreement has now been approved by ANC councillors.

This approval comes despite the DA having, over several months and through multiple Executive Committee and Council meetings, repeatedly objected to the process, highlighting serious procedural irregularities and political interference in the awarding of the lease.

These concerns were consistently raised by the DA in Council and were escalated by me to Provincial Treasury for investigation in my letter dated 31 October 2025.

However, at the Ordinary Council Meeting on 30 June, ANC councillors dismissed the DA’s concerns and the referral to Provincial Treasury.

In a subsequent division vote called by the DA, opposition parties voted in unison, but a narrow ANC majority approved the item enabling the consortium agreement to proceed toward implementation and potential signing.

The DA’s National Spokesperson on Cooperative Governance and Traditional Affairs (CoGTA), Marina van Zyl MP, has therefore written to the Hawks requesting an investigation into the validity of the consortium agreement in light of internal processes that failed to resolve the concerns.

This follows the DA tabling declarations from individuals who publicly distanced themselves, and their respective entities, from the purported consortium agreement. In response, a revised consortium agreement was tabled before Council reflecting a different composition of members forming the consortium, without resolving the previous concerns.

We remain firm in our support of Public-Private Partnerships (PPP) as a legitimate means to stimulate local economic growth, create jobs and generating revenue from valuable municipal assets. However, public procurement processes must be conducted in strict compliance with the law and decisions should not be taken in the face of unresolved irregularities that undermine public trust.

The DA is steadfast in its commitment to lawful, transparent governance in the Walter Sisulu Local Municipality and to protecting municipal assets from risk and potential financial harm.