The National Prosecuting Authority (NPA) in the Eastern Cape has confirmed it will not reinstate fraud charges against former Matatiele Local Municipality Mayor, Councillor Sonwabile Mngenela. The decision was communicated in a letter dated 17 October to DA Councillor Wonga Potwana, the complainant in the matter, by Advocate S.C. Mtwana, Deputy Director of Public Prosecutions in the province.
Cllr Mngenela was arrested on 10 March 2025 by Matatiele police and initially appeared before the Matatiele Magistrate Court. The case was later transferred to the Commercial Crimes Court in Mthatha. He was accused of defrauding the municipality of R13,914.00 — using it to fund his trip to the ANC conference.
On 22 September, the case was struck off the roll after the NPA failed to assign a new prosecutor following the defence’s request for the recusal of Advocate Buso, who was initially leading the case. This procedural lapse led the defence to push for the case to be removed from the roll.
In a surprising development, Advocate Mvuzo Notyesi publicly announced the outcome on social media, declaring the matter would not return to court. He cited, among other issues, the non-attendance of key witnesses, including Cllr Potwana.
Following the announcement, Cllr Potwana formally requested clarification from the NPA. In response, Advocate Mtwana explained that the matter was resolved through an alternative dispute resolution process, in line with the Prosecution Policy Directives. The directives allow for mediation in cases where the complainant is primarily interested in recovering financial losses.
According to Mtwana, Potwana had initially expressed interest in recovering the municipal funds rather than pursuing criminal prosecution. Based on this understanding, the parties initiated a formal mediation process — which included Mngenela paying back the full amount involved.
However, Potwana did not participate in the mediation or sign the agreement, leading to its failure. Mtwana’s letter suggested that this may have compromised the fairness of any subsequent trial and risked politicising the case, especially given the political rivalry between the two councillors. As a result, the NPA determined that continuing the prosecution would not serve the public interest.
Reacting to the decision, Cllr Potwana expressed disappointment, stating that Advocate Mtwana failed to adequately address his concerns.
“I have played my role as an opposition in the municipality. At this stage, I have nothing more to contribute in fighting this matter,” Potwana said.
A response from Cllr Mngenela is expected to be published separately.
