Norman Kutama resigned as municipal manager of the Vhembe District Municipality on 14 August amid allegations of irregular procurement and unauthorised expenditure, opposition figures and the municipality's own irregular expenditure report show.
Opposition raises tax compliance and payments concerns
The allegations were publicly raised by EFF deputy chairperson Anthony Matumba, who drew attention to payments allegedly made to two companies — Batatise Consulting Engineers (Pty) Ltd and Vhatatisi Construction Engineers — despite concerns about their tax compliance. Matumba said the companies received sizable payments in recent months and called for full investigations.
“What we want now is for all the companies and everyone involved to be investigated and held to account,” said Anthony Matumba, according to reporting on 14 August.
Matumba alleged that the two firms were paid R10.2 million and R14.8 million respectively between May and June, claims that have been circulated in local reporting and which prompted questions at municipal level.
Municipal report records almost R30 million in irregular spending
The municipality's own irregular expenditure report, tabled at a special council meeting on 7 August, records R29.75 million in irregular expenditure for the fourth quarter of the 2025/26 financial year. The report says the municipality continues to incur expenditure arising from irregular appointments made in the prior financial year, with some service providers appointed for multi-year periods.
The report specifically lists Batatise Consulting Engineers (Pty) Ltd among entries connected to irregular expenditure, though the publicly available account in local reporting stops short of detailing the full procurement trail or naming every transaction.
| Item | Amount (R) |
|---|---|
| Alleged payment to Batatise Consulting Engineers | 10,200,000 |
| Alleged payment to Vhatatisi Construction Engineers | 14,800,000 |
| Irregular expenditure (Q4, 2025/26) | 29,750,000 |
Resignation and past concerns about appointment
Kutama was appointed municipal manager in 2023. His appointment had earlier attracted scrutiny from opposition parties who questioned his qualifications at the time, according to local reporting. Sources say Kutama repeatedly maintained his innocence in the face of the allegations prior to his resignation.
At the time of his resignation, some council members and residents expressed surprise, while others — including Matumba — said the move was overdue. Matumba welcomed the resignation and reiterated calls for a comprehensive probe into the transactions and officials involved.
- Questions centre on compliance with tax requirements for appointed service providers, according to the opposition.
- The municipality's irregular expenditure figure of R29.75 million was tabled at a special council meeting on 7 August.
- Some service providers named in the report were appointed for multi-year projects, the report states.
Implications for governance and service delivery
Irregular and unauthorised expenditure can reduce funds available for basic services in a district that includes towns such as Thohoyandou and municipalities serving largely rural communities. The irregular expenditure report indicates legacy procurement choices have continuing financial effects, with some contracts reportedly spanning several years.
Matumba has called for “all the companies and everyone involved” to be investigated. The report and the resignation add pressure on the municipal council and the provincial oversight structures to clarify whether further administrative or criminal action is warranted.
At present, the public record comprises the municipal irregular expenditure report tabled on 7 August, Matumba’s allegations about payments between May and June, and the resignation announcement on 14 August. The municipality has not issued a detailed public statement that elaborates on the resignation or sets out the next steps in the investigation, according to available reporting.
Residents and civic groups will be watching for whether the council initiates disciplinary processes, refers matters to the provincial treasury or the relevant oversight bodies, or opens cases with SAPS or other investigative agencies should evidence of criminality emerge.
Further updates are expected as councillors convene to address the irregular expenditure report and as any investigations progress.