Urban and Rural Development Minister James Sankwasa on Monday raised concerns over governance at the Otjiwarongo Municipality.

Sankwasa condemned the prolonged suspension of staff members and questioned the allocation of land.

During a meeting with the municipal council, Sankwasa warned that no local authority will receive a budget allocation until it can prove that its financial statements have been audited and are up to date.

"Local authorities will not be audited until 2025. Those that have been audited have received disclaimers or adverse opinions. Yet, these local authorities continue to have chief executive officers or acting chief executive officers, whose contracts of employment have been repeatedly extended. This raises questions about the reasons for such extensions."

He also stressed that any expenditure incurred without an approved budget is unauthorised.

Sankwasa reminded them of a request to be provided with a list of pensioners and people with disabilities with outstanding municipal accounts, which many did not obey.

The discussions continued behind closed doors.

Following the meeting, Sankwasa instructed the council to permit the municipality's Manager of Technical Services, who has been suspended for over a year, to return to duty.

"And there is no justification for continuing this person's suspension. The individual and the council have been directed to allow them to resume duty by tomorrow, Tuesday."

He added that allegations relating to fully paid land at Extensions 14 and 15 were not resolved and have been referred to a meeting involving the Otjozondjupa Governor, the Regional Council and local authorities.

The minister also expressed hope that relations between councillors and the mayor would improve, saying mutual respect is essential for the effective functioning of the council.