10 Dec 2024

Minister of Minerals and Energy has informed Parliament that a liquidator is currently carrying out an auction of former BCL employees' vacant houses that were occupied by third party tenants and not current or ex-BCL employees.

Ms Bogolo Kenewendo said the liquidator wrote to the ministry this year on March 2, highlighting concerns regarding vandalism of the vacant houses which included stolen doors, locks, electrical cables and damaged bathrooms and kitchen fittings.

She said the liquidator resolved that it would be in the best interests of BCL Estate and by extension, the government if she conducted an auction of vacant properties.

Minister Kenewendo said the liquidator had recalled approximately 127 vacant houses from the 1 576 houses that government was buying and that the number was likely to change as more vacant houses were sold arising from the current eviction process of occupants who were not ex-BCL or current BCL employees.

Government is therefore, still acquiring over 1 400 housing units and the BCL employees continue to occupy same, Minister Kenewendo said and explained that only vacant houses were being put up for auction sale while government was going to purchase over 1 400 houses from BCL. 

Minister Kenewendo said 103 vacant and vandalised houses were sold on auction and private treaty by the liquidator to date and not by the government at a purchase price of P43 489 000. The minister said the process was undertaken by the liquidator in April 2022, when current and ex-BCL employees were given offers to acquire the houses they lived in.

She said in terms of the offer, each BCL employee was given first right of refusal to purchase the house they lived in, adding that the price for each house was the forced sale valuation price determined by an independent real estate agent.

“The offer was open for acceptance for three months and the BCL employees were required to provide proof of funding and failing which the offer would lapse,” Minister Kenewendo explained and further stated that as of today, only 18 houses had been sold to the BCL employees as most of them could not provide funding to buy the houses.

The purchase consideration for the 18 houses received so far is P3 374 000, Ms Kenewendo stated. She said given that the liquidator received an instruction from government in September 2023, that it would be acquiring the entire BCL housing portfolio, the process had since been halted by the liquidator.

Minister Kenewendo said that government would ultimately decide how to dispose of the over 1 400 houses that it was acquiring.

She was responding to questions asked by selebi Phikwe West MP, Mr Reuben Kaizer who sought an update on the ongoing auction sale of former BCL employees house, state whether government had previously indicated that it had purchased the houses and that the former BCL employees would continue to occupying them.

MP Kaizer also asked why the houses had suddenly been put up for auction sale, how many houses were considered for sale to complete the asset disposal process.

Further, he wanted to know how many houses to date, government managed to sell, the number of indigenous Batswana as well as 100 per cent citizens owned companies who had successfully purchased. Lastly, the MP asked what happened to the process of offering occupants priority of purchase as previously announced and communicated. ENDS