The decision was taken due to the ongoing questions around whether or not the appropriate legal requirements have been met by both CIDs – as set out in the Gauteng City Improvement Districts Act and its regulations.
According to a City Property statement, the CIDs have also failed to furnish sufficient financial status information due to no audits performed for the past four years.
“As the result of the aforementioned, as well a number of other concerns, we took the decision to withhold our CID levy payment,” the company statement read. “We are hoping to receive satisfactory answers to the questions raised so that we can reassess our decision to withhold the CID levies.
“In the absence of proof that the CIDs comply with all prevailing legislation, we have been advised that the contributions are voluntary, as is the case in many other cities around the country.”
City Property revealed that employees of the two CIDs have made serious allegations in relation to their employment and various possible unfair labour practices by the CIDs.
“We are endeavouring in finalising our investigations as soon as possible and will be engaging with the City of Tshwane and other role players to discuss both our concerns and proposed solutions,” the statement read.
Photo: Church Square in the Pretoria CBD