City of Joburg's R10 million fine against Waterfall Estate declared unlawful
Significant financial penalties exceeding R10 million levied against Waterfall Estate have been declared unlawful.
In a pivotal judgement delivered recently by the South Gauteng High Court in Johannesburg, significant financial penalties exceeding R10 million levied against Waterfall Estate have been declared unlawful.
The case arose from what the court deemed questionable practices employed by the City's Johannesburg Water, which had aggressively enforced hefty fines for alleged improper water meter installations and illegal connections.
The court ruled in favour of Waterfall Country Estate, Waterfall Schools, and Waterfall Fields, who filed legal action challenging the legitimacy of the fine impositions.
The extensive penalties consisted of more than R1 million for Waterfall Country Estate, over R2 million for Waterfall Schools, and fines amounting to R3 million and R4 million against Waterfall Fields respectively. These imposing figures sparked outrage and concern, as they were labelled by the plaintiffs as a misuse of authority lacking proper procedural backing.
Judge Stuart Wilson, who presided over the case, categorically stated that the fines did not comply with the municipality's stipulated water services by-laws. In his comprehensive judgement, Judge Wilson emphasised that municipal penalties cannot be enforced arbitrarily and must adhere to established legal protocols.
The ruling marked a significant stand against the excessive use of municipal fines without due process, declaring the penalties as ultra vires—meaning they had exceeded the City's legal authority.
Further scrutiny revealed that the municipal officials charged with issuing these fines did so without the requisite authorisation, further undermining the enforcement actions taken by Johannesburg Water.
The judge also issued a stern admonition to Johannesburg Water regarding its inadequate preparation leading to the court hearing. He dismissed Johannesburg Water's last-minute application for postponement, criticising its failure to establish urgency concerning the case.
A critical element of the ruling mandates Johannesburg Water to correct the municipal accounts for the implicated estates within a strict deadline of 30 days. The order also explicitly prohibits the City from disconnecting essential services to the Waterfall Estate properties, providing much-needed relief to the affected residents and businesses.
Additionally, the court has placed an interdict on the metro, barring it from pursuing any debt recovery or remedial actions against Waterfall Country Estate, Waterfall Schools, and Waterfall Fields.
Nestled alongside the bustling Mall of Africa in Midrand, these developments now find themselves vindicated against what has been described as predatory fine practices by Johannesburg Water.
sinenhlanhla.masilela@iol.co.za
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