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Court Ruling Forces CEO’s Return, Puts Alfred Nzo Development Agency Board Under Scrutiny

The reinstatement of Alfred Nzo Development Agency (ANDA) CEO Lumko Mtimde following a legal battle has placed the agency’s board under increasing pressure, with key decisions now expected at an upcoming board meeting on 16 April.

Board Chairperson Ntombini Mabhude confirmed in an interview on Sunday that the board will deliberate on the implications of the ruling before making any public pronouncements. “We will only voice our view on the matter after the board’s meeting on the 16th of April,” she said.

Mtimde’s contract was terminated by the board in November 2025 on what it described as a “no fault” basis. The board relied on a contractual clause allowing termination for reasons “justifiable in law.” However, this justification has since been challenged and overturned through legal processes.

After an initial attempt to secure an urgent hearing in the Mthatha High Court was unsuccessful, Mtimde escalated the matter to the CCMA, which later transferred the case to the South African Local Government Bargaining Council (SALGBC). The council ultimately ruled in his favour, finding that the board’s actions were unlawful and non-compliant with both the Labour Relations Act and the Constitution.

The SALGBC determined that the termination was both procedurally and substantively unfair, ordering Mtimde’s reinstatement with effect from December 2025. He officially resumed his duties on 1 April 2026.

The ruling has significant financial and governance implications for ANDA. The agency is now expected to cover legal costs and related expenses arising from the case. In line with the Municipal Finance Management Act and the Municipal Systems Act, there are growing calls for consequence management, including the possible recovery of losses from individuals responsible for the decision.

The issue has also drawn political attention. During a recent Alfred Nzo District Municipality strategic planning session, Executive Mayor Tsileng Sobuthongo and Speaker Sixoxile Mehlomakulu welcomed Mtimde back, while emphasizing the need for strengthened governance and a possible overhaul within the agency.

Despite the public attention, Mtimde has remained reserved, declining to comment in detail. However, he confirmed that the board, through its chairperson, had unilaterally terminated his contract on a “no fault” basis. He further indicated that the board maintained this position under oath during proceedings in both the High Court and the SALGBC, stating that no misconduct had been committed on his part.

According to Mtimde, the board relied on a contractual provision allowing termination for legally justifiable reasons, a move he believes reflected a misunderstanding of the law.

Now back at the helm, Mtimde says his focus is on stabilising and repositioning ANDA to fulfil its developmental mandate and better serve the people of the Alfred Nzo District.

As the board prepares to meet, attention will be on whether accountability measures will follow—and how the agency plans to restore public confidence after the legal setback.

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