Allegations of widespread corruption, tender manipulation, and financial mismanagement have cast a shadow over the Makhado Local Municipality, with senior officials accused of turning the institution into a personal business empire.
In a dramatic media briefing on Wednesday, 30 July, the ANC Chief Whip at Makhado Municipality, Cllr Sampson Baloyi, made damning allegations, claiming the existence of a network of fraud and patronage stretching from the mayor's office to the chief financial officer, protected by political allies at provincial level.
Journalists were asked to leave the venue shortly after the press briefing began, raising further questions about transparency and potential suppression of dissent.
Baloyi revealed that, shortly before the briefing, he had been informed that he would be recalled by the ANC. "They came to my office to inform me that I was being recalled. But honestly, I was already on the verge of resigning. I don't find peace here. There's no functioning council, and the rules are not being followed in this municipality. They have completely corrupted everything," he said.
Baloyi claimed he had endured marginalisation over the past three and a half years. "I was marginalised for being Tsonga, my natural birthright. I was persecuted like a wild animal, hunted for daring to speak out," he said.
He alleged that the municipality is on the brink of financial collapse, unable to pay service providers and misusing funds allocated by National Treasury. "National Treasury funds are being used to settle old debts, not to implement new development projects," he said.
According to Baloyi, Makhado Municipality has operated on an unfunded budget since 2022 — a fact only confirmed publicly by the MEC for COGTA in April this year. He said repeated warnings had been ignored or silenced.
He also accused the municipality of spending R16 million in recovered VBS Mutual Bank funds without council approval. "There is no public record of how that money was spent," he said.
Baloyi distributed a four-page document expanding on his allegations. Among the issues raised was the alleged unlawful use of an emergency contractor panel for routine civil infrastructure work — in areas such as Krogh, Songozwi, Rissik and Nesengani Street — a tactic he claimed was used to bypass open tender processes and handpick contractors.
"The law only allows panel appointments for emergencies, and no such justification has been presented," he said.
He further alleged that certain contractors had effectively become "permanent service providers", receiving repeat contracts without proper procurement processes. Some of these companies, he claimed, are linked to municipal officials, relatives or political allies. "This isn't poor governance. It's organised looting disguised as service delivery," said Baloyi.
He also raised concern over the acting technical director, who has served in the post for nearly two years despite legislation limiting acting appointments to six months without MEC approval. Baloyi claimed that certain civil and electrical contractors were being used as if they were in-house staff, sidestepping supply-chain rules. "Projects from INEP, Limpopo Roads Agency, and COGTA are not clearly reported to council," he added.
Baloyi said he had been denied access to critical financial reports by both the mayor and the municipal manager, calling it a deliberate effort to shield corruption from oversight.
He called on COGTA, National Treasury, Minister Velenkosini Hlabisa and law-enforcement agencies to investigate and prosecute those involved. "The officials and the politicians involved must be charged for financial misconduct, fraud, and dereliction of duty," he said.
"I speak now not from bitterness, but from deep commitment to accountability, justice, and ethical governance. The people of Makhado deserve leaders who serve with integrity – not individuals who abuse power behind closed doors."
Internal divisions within the ANC's Vhembe structures have long been public. At Makhado Municipality, two main factions appear to have formed – one aligned with Mayor Dorcus Mboyi, and the other with Speaker Gumani Mukwevho Mitileni. Baloyi is seen as aligned with the latter.
Efforts to get comment from the ANC's provincial communications team were unsuccessful. While they promised a response, none was received at the time of our going to print.
During the press briefing, Baloyi stood alone, seemingly driven by personal conviction. "I am tired of being a spectator while my people suffer, while wrong is normalised, and while power is abused without shame or consequence. But I leave with my integrity untouched — and my truth spoken," he said.