The City of Johannesburg intensified its credit control drive and disconnected water supply at Leeuwkop Prison following a debt of over R10 million debt.
In a statement, the metro said it went on the aggressive campaign on Friday and arrested a business-owner who had illegally connected water and electricity supply and now owes R6.4m.
It is said the Roodepoort businessman who runs a glass-making business, was arrested by Johannesburg Metro Police Department (JMPD) officers at his business premises in Stormill.
“This was part of a sting operation to businesses which are illegally connected to the City’s services. The establishment owes the City more than R6.4m for water and electricity services,’’ said the City’s spokesperson Kgamanyane Maphologela.
Maphologela said the multifaceted credit control drive was led by the City’s Manager Floyd Brink, Revenue Department, City Power, Joburg Water and JMPD.
The City’s Group Chief Financial Officer, Tebogo Moraka said the City’s current debtor’s book is sitting a close to R47 billion, for rates and taxes, sewer, electricity and water, which unsustainable.
“The Credit Control operation (on Friday) is just a start of one of many more operations to come. We are aggressively pursuing those customers who owe us and are not coming forward to settle their growing debt, nor come forward to sign the Acknowledgment of debt (AOD) and plead their case.
“We have no choice but to switch off our services to those not coming forward to pay their arrear debt,” said Moraka.
Moraka added that the disconnection of services will also focus on large defaulters and government departments in a bid to recover the outstanding debt.
According to Moraka, to kick start the drive, City targeted 10 of the worst defaulters, this includes a hotel, large residential estates, and panel beating business who collectively owe the City more than R104m on unpaid services.
IOL