BCM’s development agency terminates contract with chief executive

The head of the Buffalo City Metro Development Agency (BCMDA), Ayanda Gqoboka, has been forced out less than two years after taking over an agency dogged by controversy over multimillion-rand development projects. The agency confirmed on Monday that it had reached an agreement with Gqoboka to terminate his contract with effect from Friday following discussions between him and the board about the agency’s strategic direction. While the agency described the departure as amicable, an insider said the decision followed concerns over the BCMDA’s poor performance, internal divisions among executives and the departure of senior managers.

This development is expected to be put before the Buffalo City council, which has yet to formally consider the matter. Chief financial officer Sabelo Mavundla has been appointed acting chief executive. His departure comes after a turbulent period for the agency, which has faced mounting criticism over several high-profile projects, including the R99m Court Crescent development, the stalled Water World project, the proposed R500m Victoria Mxenge Grounds mall development in Qonce and the long-running Grand Prix circuit lease dispute.

When Gqoboka was appointed in January 2024 from the Joe Gqabi Development Agency, he inherited an organisation still reeling from the controversial removal of former chief executive Bulumko Nelana. Nelana was suspended in October 2022, just three months after his contract had been extended. After a series of court defeats, the BCMDA eventually paidR4.95m in an out-of-court settlementto end Nelana’s employment after the Makhanda high court repeatedly ruled that his dismissal was unlawful and ordered his reinstatement.

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The court described the agency’s conduct as a brazen abuse of power. Former chief financial officer Busisiwe Lubelwana resigned barely a year after taking office, citing an “unconducive working environment”.

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