Rustenburg municipality in North West could be facing at least a R150 million lawsuit from an aggrieved contractor after a junior official signed land allocation documents and a service level agreement with a company without authorisation from his boss, the municipal manager.
In a municipality, every contract must be approved and signed by the municipality, after approval by the council.
A unit manager allegedly decided to impersonate the municipal manager and appended all documents relating to the project, including land allocation and service level agreement for the provision of water and sanitation and electricity on behalf of the municipality.
The unnamed company is well advanced with the project, which is now at 70%.
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