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Property owners challenge City's new proposed fixed charges in court
Property owners challenge City's new proposed fixed charges in court

IOL News

time2 hours ago

  • Business
  • IOL News

Property owners challenge City's new proposed fixed charges in court

Mayor Geordin Hill-Lewis at a council meeting where he tabled the draft budget for 2025/2026. Image: City of Cape Town/Supplied THE constitutionality of the City's decision to link certain fixed charges to property values in its amended Budget for 2025/26 will come under the spotlight when the South African Property Owners Association (SAPOA) hauls the DA-led administration to court. The organisation has taken issue with the City's cleaning tariff, the fixed water charge, and the fixed sanitation charge, saying these three items of the budget were in fact property rates imposed outside of the legislation which governs the imposition of such rates. However, Mayor Geordin Hill-Lewis believes that the court application is an attempt to go back to a system of regressive taxation which hits ordinary families, and the poor, the hardest. SAPOA's membership currently comprises more than 90% of the country's commercial and retail property industry, including some of the largest property-owning companies in South Africa. The properties owned by their membership include the V&A Waterfront (co-owned by Growthpoint), Canal Walk Shopping Centre (owned by Hyprop), Cape Gate Shopping Centre (owned by Hyprop), Table Bay Mall (owned by Hyprop), Tyger Valley Shopping Centre (co-owned by Pareto), Blue Route Mall (owned by Redefine), Gugulethu Square (owned by Vukile), Atlantis City Shopping Centre (owned by Vukile), Sable Square Shopping Centre (owned by Spear), and Cavendish Square (owned by Old Mutual). In his founding affidavit, SAPOA chief executive Nilesh 'Neil' Gopal said that the board resolved to take legal action to have the budget declared unconstitutional and invalid. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ 'They contravene the applicable constitutional and national legislative framework applicable to the imposition of rates and the levying of tariffs for municipal services,' he said in papers. Gopal added that while they acknowledge the city's rebates that they offer, it mostly is to aid pensioners and isn't sufficient to offset the impact the tariffs will have on them. 'These reductions and rebates do not detract from the fact that the three items are unlawful and should not have been introduced in the first place: A reduction or a rebate cannot save a charge which was unlawfully imposed,' he said. Gopal maintained that the continued rise in municipal costs had a significant detrimental effect on the costs of occupancy faced by tenants in commercial/retail properties. 'My point is that the systems of exemptions, reductions, and rebates established by the City under the Cleaning Tariff (as well as the Fixed Water Charge and the Fixed Sanitation Charge) are different from the Rates Act. It relies, however, on the General Valuation Roll ("GV Roll') established under the Rates Act. It is an impermissible parallel system of rates. 'For all these reasons, the Cleaning Tariff, while purporting to be a service, is a rate, but an unlawful one, because it does not comply, or even follow the scheme let alone the letter of the Rates Act,' he added. The relief SAPOA is seeking is to have the budget declared invalid. However, the order of invalidity should be suspended for two months to allow the city to deal with the revenue shortfall that will result from the invalidity of the three items. Hill-Lewis said the city cannot agree that wealthy property owners should be charged the same as lower-income or middle-class households. 'This would be regressive, would place a disproportionate burden on ordinary families, and would be patently unfair. 'The city's budget protects homes under R2,5m and extends rates relief to many more middle-class homes, all while preserving the city's critical infrastructure and service investments,' said Hill-Lewis. If SAPOA were to succeed in their argument, the effect would be 'to have ordinary families effectively subsidising the wealthiest property owners', said Hill-Lewis. 'Fixed charges linked to property value are a lawful, fairer, and equitable way for Capetonians to contribute within their means to our city's infrastructure programme and fixed service costs. Cross-subsidising – where the better off among us help to fund services for the less fortunate – is the only sustainable way to ensure a working city of hope for all,' said Hill-Lewis. The Cape Town Collective Ratepayers' Association (CTCRA), an association with 56 ratepayer associations and civic organisations from across Cape Town, has thrown its weight behind SAPOA's decision, saying: 'This case is not just of importance to the ratepayers of Cape Town. If left unchallenged, there is a realistic possibility that other municipalities in South Africa will adopt CoCT's methods. It is critical that the rule of law, fairness in service delivery, and constitutional accountability are upheld – not just for our city, but for the nation.' Cape Times

This isn't a Budget it's a burden: Capetonians must rise against DA's punitive tariffs
This isn't a Budget it's a burden: Capetonians must rise against DA's punitive tariffs

IOL News

time3 days ago

  • Politics
  • IOL News

This isn't a Budget it's a burden: Capetonians must rise against DA's punitive tariffs

Faiez Jacobs is slamming the DA-led City Council for turning its back on the very people who built this City. Image: Pixabay I write this not as a politician, but as a son of this city. Cape Town taught me resilience and pride. It raised me in the shadow of Table Mountain, on the proud Cape Flats and with the hope of its people. But today, I write with a heavy heart and a burning conviction because this uncaring DA City of Cape Town council, our home, is turning its back on the very people who built it. Mayor Geordin Hill-Lewis says this budget is 'pro-poor.' But the facts, and the pain playing out in homes across this city, tell a very different story. Let's Be Clear: The Poor Are Not Being Carried by the Wealthy The City tells us that wealthy households are now contributing more to uplift the poor. It sounds noble. It sounds just. But it's simply not true. The 7 billion in national allocations from the Treasury , not local council cross-subsidies is what actually funds free basic services and sanitation. in national allocations from the Treasury , is what actually funds free basic services and sanitation. Out of this, the City has only budgeted 7 billion for such services. That means national taxpayers not local generosity are lifting the most vulnerable. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Where is the other monies going? In other words, the 'redistributive' claim is a myth dressed in spin. the poorest in the city are supported by national funds, not by progressive uplifts from affluent households. The working-class, the pensioner, the young professional, and the struggling homeowner you are being made to carry the burden. Homeowners Are Not the Enemy They're the Collateral Damage Cape Town is one of the most unequal cities on Earth. But instead of tackling that with vision and innovation, this budget turns to the easiest target: your home. Your rates and service charges are now tied not to your usage but to your property's market value. It is grossly unfair. By correlating fixed service charges like the new 'cleaning tariff,' water, sewerage, and electricity to property valuations, the City assumes that property value equals income. But in Cape Town, property prices have surged far faster than household incomes. Why because it has become the playground of the rich making it unaffordable to ordinary Capetonians. Real Data shows: Draft budget proposes average property rates hikes of 7.96 %, with values over R3 million facing over 20 % increases . New fixed charges set by valuation: Cleaning tariff: ~R477/month; Sewerage: ~R157/month ;Electricity connection fixed charge: +39 % ; Water connection fixed charge: +113 %, Crazy is it not.. Combined, this adds ~R920/month extra for a R4.2 million property regardless of usage. Specifically Bergvliet and Meadowridge, residents report this bill increases. That's nearly R11,000 per year just in extra fixed charges. This is outrageous! Where is the outcry, Capetonians??? Electricity Tariffs: Above and Beyond The City applied to NERSA for a 14.5 % electricity tariff increase, vastly outstripping national average hikes of around 14 %, already high by global standards .Remember, in 2023/24 they implemented 17.6 % almost 2 % above the NERSA-approved 15.1 %. Despite public opposition and legal challenges over these above-inflation increases, the City insists it's simply covering its "cost-to-supply" but we know its daylight robbery and opaque revenue grab. Let's talk about what that really means: A retired couple in Lansdowne , living in a home they paid off 30 years ago, now face nearly R1,000 more every month not because they're using more water or electricity, but because their area's property prices have risen. , living in a home they paid off 30 years ago, now face nearly not because they're using more water or electricity, but because their area's property prices have risen. A young family in Ottery, barely making ends meet, receives a bill increase of 28%, simply because their home was revalued. No extra luxury. No extra income. Just extra pressure. Ons sukkel. Ons kry swaar. This is NOT fairness, equity or redress. It's financial cruelty with a smile. This is not creative budgeting. It's a cynical cash grab from people who cannot afford it. What If Your Parent Lives Alone? Imagine your mother, a widow in Mitchells Plain or Grassy Park, living on a state pension. Her home is modest, but its value has risen over time. Now, her monthly account has doubled yet she still boils one kettle, washes one load, and uses barely any electricity. She's being punished for staying in the home she raised you in. Does that sound like justice to you? 14,000 People Spoke. Will You Be Next? In the recent public comment process, over 14,000 Capetonians wrote in protest. Mayor Hill stop being tone deaf. Residents' associations from across the city from Khayelitsha to Kuilsriver, from Durbanville to Wynberg have all said: this is not right. We don't want handouts. We want fairness. We're not refusing to pay. We're refusing to be exploited. Don't Let Them Tell You This Is About Equity Mayor Hill-Lewis says 'wealthier areas are paying more so poorer areas can get more' and 'Homes above R7 million could see increases over 20 %,' he says, 'to invest in poorer communities.' That's not what the budget shows. In reality: Poorer areas are funded by national government grants , not through municipal ratepayers. , not through municipal ratepayers. The City's budget increases are not tied to actual service usage . New charges appear less redistributive and more like value-based wealth extraction , muffled behind pro‑poor rhetoric . New charges appear less redistributive and more like , muffled behind pro‑poor rhetoric Your ability to pay is not being considered. Only your area and your home value. So, who benefits from this budget? Who gets richer, while you get squeezed? Fair taxation means paying for what you use, not how much your home is worth. It's Time to Draw a Line in the Sand Capetonians, we are a proud people. From Bonteheuwel to Bishop Lavis, from Bo-Kaap to Bishops Court we built this city brick by brick, spirit by spirit. This is not just a fight about budgets. It's a fight for dignity. For fairness. For a city that belongs to all who live in it not just those who can afford to survive it. What Can You Do Now? Speak to your councillor. Demand they reject any budget that punishes residents based on property value alone. don't vote for them if they do not stand for you. Demand they reject any budget that punishes residents based on property value alone. don't vote for them if they do not stand for you. Join your rates and residents' association like SANCO , groups like CTCRA or Bergvliet Meadowridge are submitting collective objections. They're taking legal steps. Add your voice. They're taking legal steps. Add your voice. Spread the word. Share your bill. Talk to your neighbour. Use social media. Attend, arrange public meetings or request virtual participation Share your bill. Talk to your neighbour. Use social media. or request virtual participation Sign the petitions. SAPOA and civil coalitions are mounting challenges support them. SAPOA and civil coalitions are mounting challenges support them. Stay informed. Read the budget. Understand the terms. Don't be fooled by smooth DA spin and smoke and mirrors. demand a phased-in approach to tariff restructuring, volume-based billing, and targeted support for vulnerable households Final Word: Don't Let Them Take Our City From Us This is our city. Not theirs to manage with spreadsheets and spin. We are not ATMs. We are citizens. We are not silent. We are strong. So stand up. Push back. Speak out. Let us fight for a Cape Town that is fair, compassionate, and just not just for the wealthy, but for all who call this place home. We owe it to our parents. We owe it to our children. We owe it to ourselves. You know this , why are you not acting? Let's act now. Before the city we love becomes unlivable for the very people who gave it life. * Faiez Jacobs – Former Member of Parliament | Activist | Public Servant | Citizen of South Africa ** The views expressed do not necessarily reflect the views of IOL or Independent Media.

Akasia police station's lack of holding cells raises serious crime concerns
Akasia police station's lack of holding cells raises serious crime concerns

IOL News

time07-07-2025

  • IOL News

Akasia police station's lack of holding cells raises serious crime concerns

The DA is concerned about the Akasia police station in Pretoria, which ranks among the top 40 stations with high serious crime rates, yet operates without a holding cell. Image: Bongani Shilubane/Independent Newspapers The Akasia police station in Pretoria, ranked among the top 40 stations with high serious crime rates, operates without a holding cell. This information came to light through Gauteng Premier Panyaza Lesufi's written responses to parliamentary questions by Crezane Bosch, the DA's Gauteng shadow MEC for Community Safety. Bosch posed questions to inquire about the state of police stations in Gauteng, specifically asking about vacancies and plans to fill the posts. The 2024/2025 police crime statistics report shows that the Akasia police station is among the 40 stations with high rates of community-reported serious crimes, including sexual offences and attempted murder. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Bosch expressed concern that the high rate of serious crimes at the station should not be ignored, suggesting a potential link between the absence of holding cells and the station's effectiveness in reducing crime. She said: 'The DA has repeatedly urged the Premier Lesufi-led government to focus on the fundamentals of policing to effectively combat crime and ensure residents safety. Despite this, millions have been wasted on high-tech solutions including CCTV cameras and drones, while essential resources, such as police vehicles and holding cells are lacking.' She said a DA-led Gauteng provincial government would work within the legal framework to facilitate the upgrading and construction of holding cells through intergovernmental cooperation. 'This includes lobbying for the devolution of key policing powers to capable provinces, allowing them to manage and improve critical safety infrastructure. We would also engage SAPS and National Treasury to obtain the necessary approvals and formal agreements for co-funding and supporting infrastructure projects in key priority areas,' Bosch said. She noted that 24 of the 145 police stations in Gauteng lack holding cells, hindering their ability to effectively combat serious and violent crimes. 'The shortage leads to delays in detaining and processing suspects, which hampers investigations and allows criminal activity to persist. The deficiency also hinders police effectiveness, leaving our people vulnerable to crime,' she said. Lesufi's responses indicated that the maintenance of police stations, including the provision of holding cells, falls under the responsibility of the national Department of Public Works and Infrastructure. He disclosed that other police stations, including Mohlakeng and Cleveland, which are also among the top 40 in Gauteng for serious crimes, lack functional holding cells. Bosch said: 'It is concerning that a police station would lack a holding cell, forcing officers to travel long distances to detain suspects at other stations already experiencing overcrowding.' She expressed further concern that police stations without holding cells are disproportionately represented in the recent crime statistics for serious community-reported crimes, including murder, attempted murder, rape, and assault. Lesufi's responses to questions about vacant positions revealed that there are openings for detective service commanders following promotions of previous incumbents. Regarding plans to fill positions, he said: 'The vacancies will be addressed through the appointment/or promotion processes once the post allocation is received from the National Head Office. Critical and command vacancies will be prioritised. It remains unclear how many posts will be advertised due to the budgetary constraints on the compensation budget imposed by National Treasury."

Coalition appeal: ActionSA urges DA and EFF to unite against ANC in KwaDukuza
Coalition appeal: ActionSA urges DA and EFF to unite against ANC in KwaDukuza

IOL News

time06-07-2025

  • Politics
  • IOL News

Coalition appeal: ActionSA urges DA and EFF to unite against ANC in KwaDukuza

The KwaDukuza Municipality could be governed by the DA-led coalition. Image: Facebook While the ANC is searching for a new KwaDukuza Local Municipality mayor and deputy, ActionSA is calling for united opposition to take over the running of the municipality. The party's councillor Halalalisani Ndlovu has appealed to all opposition parties, especially the EFF and the DA to set aside their differences for the best interests of KwaDukuza residents. Ndlovu said in 2021 the opposition had an opportunity to stop the ANC, however, the ideological differences between the DA and EFF helped the ANC to retain power in the municipality. 'I want to make an appeal to all the opposition parties to unite and save the people from KwaDukuza from another ANC rule. I appeal to the DA and EFF in particular to put the residents first by setting aside their political and ideological differences and form a coalition that will serve the people,' said Ndlovu. The EFF and DA are yet to respond to the unity calls. In the 59-seat council, the ANC has 29 seats while the opposition has 30. The ANC was forced to form a coalition with the African Transformation Movement, which holds one seat. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading Last week, the ANC forced mayor Ali Ngidi and his deputy Njabulo Cele out of their positions following recommendations in April to investigate the pair's alleged abuse of power. Besides removing the pair from their positions, the ANC also ordered them to pay back the money they splurged on luxury vehicle hire, without council approval, since assuming office in November. The report that was presented to council in April showed that from November to February the mayor had spent R497,180,10 while his deputy had spent R527,720,13. Furthermore, the ANC ordered Ngidi to pay for fuel use of the mayoral car which was used to transport his family, particularly his children to school. Ngidi will also have to pay for the security firm that guarded his home-this was also not approved by the council. It was reported that the Durban-based security company was billing the municipality R173,000 for eight guards that were stationed at the mayor's house day and night. It is not clear for how long the company had guarded his home.

A ‘mockery' or ‘flimsy attack'? ANC and DA scrap over Tshwane city manager's appointment
A ‘mockery' or ‘flimsy attack'? ANC and DA scrap over Tshwane city manager's appointment

The Citizen

time05-07-2025

  • Politics
  • The Citizen

A ‘mockery' or ‘flimsy attack'? ANC and DA scrap over Tshwane city manager's appointment

The DA has hit back calling it a 'flimsy legal attack'. The appointment of Tshwane city manager Johann Mettler was conducted in a manner that creates a mockery of the prescripts governing the appointment of senior managers, claims the ANC. 'The ANC will request its councillors to ensure that the speaker is requested to convene a special council meeting as soon as possible, in order to allow the council to take a resolution on the validity of the appointment of the city manager,' the party said this week. The party has accused Mettler of lacking experience for the job. It said applicants were required to have 12 years of experience, of which at least five years must be at the senior management level, but Mettler only had 11 years of experience and should have been eliminated at the initial stage of shortlisting. 'His inclusion in the names of the shortlisted candidates is unlawful and irregular. Therefore, the appointment of Mettler as the City Manager is null and void and stands to be set aside in a competent court.' DA consulting lawyers DA Tshwane caucus leader Cilliers Brink said he wrote to Tshwane mayor Nasiphi Moya to warn her against any move to have Mettler's appointment terminated or to use a baseless legal pretext to pressure him to resign. Brink said the DA, as a party represented in the council, were consulting lawyers in the matter 'Aside from the flimsy legal attack on Mettler's appointment mouthed by the ANC, it is clear that the ANC coalition in Tshwane wants to replace Mettler with one of their own deployed cadres. 'On a number of occasions, Mettler has been attacked by the EFF. Obakeng Ramabodu, the EFF Tshwane leader and the MMC has said in the Tshwane council that the party will get rid of Mettler. He has also accused him, without any evidence, of leaking confidential information,' he said. Brink said the most notable of these attacks happened when it became clear that the city would not drop the case against city officials implicated in an irregular contract award to a consortium led by ANC funder Edwin Sodi. 'Whatever legal pretext the ANC coalition devises, the point is that the party would prefer one of their own deployed cadres, not an independent professional, in the job of municipal manager.' ALSO READ: Tshwane speaker survives a motion of no confidence Mayor consulting with MEC ActionSA national chairperson Michael Beaumont said ActionSA would not allow instability in the city. 'While ActionSA acknowledges the ANC's right to express its opinion, we also affirm that coalitions must make space for differing perspectives, provided this does not undermine stability. 'The multi-party coalition in Tshwane has deliberated on this matter and noted concerns that the panel which interviewed Mettler included additional panellists beyond what is potentially permitted by the relevant regulations,' he said. Beaumont said this procedural irregularity occurred during the term of the DA-led mayoralty. 'We further note the concerns raised by the ANC regarding Mr Mettler's alleged lack of relevant experience and possible non-compliance with the requirements of the Municipal Finance Management Act. 'It is important to emphasise that these matters have not been raised by the MEC and have not yet been fully deliberated upon by the coalition. 'That said, the legal implications of asking the council to reverse an appointment at this stage remain uncertain and would require careful consideration,' he added. Beaumont said the coalition had mandated mayor Moya to engage with MEC Mamabolo on this matter, with the aim of clarifying the issues and identifying a resolution that upholds both the law and the stability of the city's administration. 'Her ongoing engagement with the MEC on senior appointments, as resolved by the political management committee, is both appropriate and constructive. 'We urge all coalition partners to be guided by this resolution and to refrain from unilateral actions that may jeopardise the hard-won progress of this coalition government,' he said. Beaumont said ActionSA's position is clear and consistent. 'We will not support the removal of any senior manager unless there is a clear, lawful and governance-based reason for doing so. 'This position reflects a core coalition principle that prioritises stability, continuity and performance in the city's senior administration.' NOW READ: Tshwane makes strides in corruption fight as city tackles R13bn irregular expenditure backlog

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