LOCAL NEWS - The controversial online auction of the George building disaster site at 75 Victoria Street started 12 noon today and will end at 12 noon tomorrow, 26 November.

The 34 survivors and the families of the 28 deceased are against the sale of the land and want a permanent memorial to be erected on the site in remembrance of those maimed and killed on 6 May 2024 when a nearly completed apartment block collapsed.

In a statement in response to earlier questions regarding a memorial on the site, municipal communications head, Chantel Edwards said the municipality has no say as the site is privately owned. 

"The municipality acknowledges and deeply respects the families’ call for the site to be preserved as a memorial in honour of the victims.

"However, the property is privately owned and therefore not under the municipality’s control. Any decision regarding the future use or disposition of the land rests with the owner or the appointed liquidator."

'Expropriate the site'

In a media release issued this afternoon by George Councillor Chantelle Kyd of the Good Party, Kyd demands that the George Municipality request the immediate suspension of the auction so that the municipality can acquire the land by purchase or expropriation.

"It cannot be allowed to proceed while families continue to grieve and while serious questions about accountability remain unanswered. The municipality must enter urgent discussions with the developer on expropriation of the land for a memorial site," Kyd states.

In the statement issued by the George Municipality on the matter, Edwards said the property concerned is privately owned, and as such, any disposal, sale, or use of the property remains at the sole discretion of the owner or the appointed liquidator.

She also addressed the withdrawal of the municipality's initial claim against Neo Victoria Developments for recovery costs due to the fact that the company has been formally liquidated.

"The municipality did not proceed with registering its claim, as the financial institution holding the bond is the preferred creditor. 

"The value of the bondholder’s claim exceeds the value of the property. Legal action against a liquidated company, using taxpayers’ money, is deemed to be irresponsible, fruitless and wasteful because there is no guarantee that any money owed to the municipality, as a concurrent creditor, will be recovered."

The municipality spent millions of rand in the aftermath of the disaster. 

Edwards said it should also be noted that any outstanding municipal claims do not prevent the auction or transfer of the property from proceeding.

The auction is being handled by Van's Auctioneers and expected to sell for far less than its market value.

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