Mpho Phalatse has until end of Friday to retract R27 million corruption claim, says JPC

The Johannesburg Property Company (JPC) said Mayor Mpho Phalatse has until the end of Friday to retract allegations that funds from the entity were siphoned off to a suspected African National Congress front company.

The JPC is an entity of the City of Joburg.

Last month, Phalatse opened a case against the entity – alleging fraud and corruption.

She later claimed to the media that funds from the JPC were used to bribe councillors who voted against her during an unlawful motion of no confidence in September.

While Phalatse believes that the payment was irregular – the entity denied this saying it was determined by a court following a dispute with a creditor.

Spokesperson Lucky Sindane said Phalatse’s statement is defamatory.

“And it really damages the image of the organization and that of the employees because we were dragged into a political space, things we do not know off.”

Phalatse’s office said it would issue a statement in due course.

In the meantime – the JPC said it will sue Phalatse in her personal capacity if she fails to retract the allegations by Friday night.