Concerned group calls on minister to investigate Lüderitz Town Council dealings

A petition requesting a forensic and land audit into the financial and property management of the Lüderitz Town Council (LTC) has gathered more than 1 500 signatures since it started circulating last week.


Dirkie Stevens, a member of a group of concerned residents that started the petition, confirmed this. Addressed to the Minister of Urban and Rural Development James Sankwasa and members of the management committee of the Lüderitz Town Council, the concerned group requested the immediate institution of a forensic audit into the financial management of the LTC covering the period 2014 to 2024. "We urge you honourable minister, to exercise your statutory authority under the Local Authorities Act and take immediate action. The people of Lüderitz deserve transparent governance, fair land practices and accountability in the use of public funds. The people of Lüderitz have endured sever economic setbacks due to financial mismanagement, corruption and lack of transparency within their local government. Urgent and decisive intervention is necessary to restore good governance and public trust,” the group wrote in the petition. The mayor of Lüderitz, Phillipus Balhao, said that the council was aware of the circulating petition. "We are currently reviewing the details. We applaud the participatory approach and commend those involved for holding the town council and leadership accountable. We will provide an official statement once we have completed our assessment.”


Worried - In the petition, members of the concerned group said that they are deeply concerned by what they termed increasing reports of systemic financial mismanagement, unauthorised land transactions, the diversion and misappropriation of fishing quota proceeds intended for public development. "Despite multiple motions raised by sitting councilors to address growing concerns about alleged maladministration and corruption, no meaningful action has been taken to implement motions seeking to have these issues addressed. Council resolutions, especially those calling for an audit into the illegal sale of erven and questionable financial conduct have not been returned nor disclosed to the public raising further alarm,” the group said in the petition. According to the group, continuous adverse and qualified audit opinions indicate severe financial irregularities and possible mismanagement of public funds. "Reports suggest unauthorised financial transactions and the diversion of funds for private benefit. There is a lack of transparency in financial reporting and failure to take corrective measures despite repeated red flags from auditing authorities."


Land sales - The group also highlighted that numerous erven within Lüderitz have reportedly been sold in contravention of Sections 30 and 63 of the Local Authorities Act, which requires transparency, public participation and council resolutions for land transactions. Certain transactions allegedly bypassed legal procurement and approval processes. "Some properties were reportedly resold before full payments were made, raising potential breaches of fraud. Reports also indicate that key financial and alnd transaction documents were deliberately shredded to erase evidence of mismanagement," the petition reads


Fishing quota funds - According to the group, proceeds from a fishing quota granted by the Ministry of Fisheries and Marine Resources to the LTC were allegedly diverted to private trusts by former councilors through maladministration. “Only two accounts of the Lüderitz Crayfish Festival Trust, which is now in existence for 18 years, have been audited. The beneficiaries remain unknown and no reporting has been made to the town council. Evidence suggests that these funds were misused by a select group of former and current council officials. This warrants an investigation under the Prevention of Organised Crime Act 2004," the petition states.