Msunduzi, Royal AM served with court papers over R27m deal
The Democratic Alliance has served both the Msunduzi Municipality and Royal AM Football Club with court papers over their R27 million sponsorship deal.
Under the three-year agreement, the club will use Pietermaritzburg's Harry Gwala Stadium as its home ground.
The council approved the proposal several months ago.
The club is owned by KZN businesswoman Shauwn Mkhize and her son Andile Mpisane.
DA councillor Ross Strachan, who's repeatedly described the deal as outrageous, says they want to know why the financially troubled municipality is hell-bent on sponsoring a team with wealthy owners.
"This while the municipality continues to collapse around us, this while municipality's finances are in disarray and this while we cannot even execute the basic constitutional mandates in terms of service delivery.
READ: DA vows to fight Msunduzi’s Royal AM deal ‘tooth and nail’
"The DA will pursue personal costs against those officials that were involved in the process and the decision-making of this corrupt and unlawful decision.
"The DA will continue to fight for the people of Msunduzi and continue to fight for Msunduzi to recover from its desperate situation."
Municipal spokesperson Ntobeko Mkhize has confirmed they've received the court papers.
"The legal team is currently starting the court papers, which will assist us then to determine our next course of action.
"Therefore, we cannot comment further on the matter until our legal team has had a chance to go through the court documents."
