Suspicious flooding damages key audit documents in Nelson Mandela Bay

A flooding incident at Nelson Mandela Bay's budget and treasury offices has damaged essential payment documents needed for the auditor-general's financial audit. Occurring on November 18, the event affected only files left out for auditors, prompting suspicions of deliberate sabotage amid the city's ongoing financial scrutiny. Local officials reported the matter to police, leading to an inquiry.

The incident unfolded on Tuesday, November 18, when water from the first floor of the metro's scientific services offices leaked into the basement records facility. Videos captured water seeping through the ceiling, soaking cardboard files stacked on the floor while those in cabinets remained intact. These damaged files contained records of all contract payments, central to the auditor-general's review of the 2024/25 fiscal year finances.

Officials from the auditor-general's office arrived in the city at the end of August to examine the metro's financial statements for the previous year. Contrary to standard procedure, the affected documents had been placed on the floor for easy access by auditors, rather than stored in cabinets with reference numbers.

Chief financial officer Jackson Ngcelwane described the event as 'very suspicious' due to its timing. 'All the affected documents are payment-related and have to do with all the contracts of the municipality... The incident is very suspicious because it happens at such a critical time,' he said. Suspicions center on a tap left running after business hours, potentially deliberately.

Mayor Babalwa Lobishe reported the matter to Humewood police station on Friday, November 21, accompanied by acting city manager Lonwabo Ngoqo and deputy Gary van Niekerk. She expressed disappointment over the reporting delay and noted the abnormality: 'It’s quite abnormal that water would flood and only the files required by the Auditor-General are affected.' Police spokesperson Captain Sandra van Rensburg confirmed an inquiry was opened but no criminal case filed.

The metro faces R30 billion in unauthorised, irregular, fruitless, and wasteful expenditure, with R2.6 billion under limitation of scope due to missing evidence. Political figures voiced concerns. Freedom Front Plus councillor Bill Harington called for an independent probe, highlighting outdated systems. Democratic Alliance's Brendon Pegram questioned the rush to police without internal checks, deeming it 'peculiar.' ACDP's Lance Grootboom urged a thorough investigation to protect accountability.

Ngcelwane assured that reference numbers would allow reconstruction, avoiding further audit limitations, as the city plans to digitize records.

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