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Rustenburg Municipal Manager Faces Misconduct Charges Over R203 Million Giveaway

ActionSA has filed formal financial misconduct charges against Rustenburg Municipal Manager, Advocate Ashmar Khuduge, after he attempted to push through a settlement that would have abandoned R203 million in recoveries and instead paid up to R55.8 million to companies whose contracts the High Court had already declared unlawful.

The post Rustenburg Municipal Manager Faces Misconduct Charges Over R203 Million Giveaway appeared first on ActionSA.

ActionSA has filed formal financial misconduct charges against Rustenburg Municipal Manager, Advocate Ashmar Khuduge, after he attempted to push through a settlement that would have abandoned R203 million in recoveries and instead paid up to R55.8 million to companies whose contracts the High Court had already declared unlawful.

The deal tabled as Item 104 at the Special Council on 29 January 2026 misrepresented the Auditor-General’s position, withheld critical documents, and directed payments into irregular accounts. Council rejected the settlement outright.

An accounting officer is meant to defend the public purse, not mislead Council into approving a R200-million raid on it. Advocate Khuduge acted with impunity, misrepresented the facts and tried to sign away money owed to the people of Rustenburg.

ActionSA’s submission records that Khuduge unilaterally withdrew matters from the court roll, claimed false delegation to settle, and sidelined both Council and the courts. The Supreme Court of Appeal has confirmed that only a court may decide what is just and equitable once a contract is invalidated.

ActionSA demands:

  • An investigation in terms of section 171(4) of the MFMA
  • Disciplinary proceedings and precautionary suspension of the Accounting Officer
  • Preservation of recovery claims so public funds are pursued through the courts

Residents deserve leaders who are willing to stand up for them, call out corrupt municipal officials and safeguard public funds that are meant to provide basic services that the residents of Rustenburg so greatly need.

ActionSA Education: Advocates for specialized skills training and artisan schools.

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