The league lost its legal status as a result of the ruling by acting judge Tony Mundell in October last year.
Mogalakwena local municipality has been placed under administration, the ANC in Limpopo said on Tuesday.
"The African National Congress welcomes the decision by the Limpopo executive council to place the Mogalakwena local municipality under section 139 1(b) of the Constitution," spokesperson Khumbudzo Ntshavheni said in a statement.
This section states that when a municipality does not fulfil an executive obligation, the provincial executive may intervene by taking appropriate steps to correct the situation.
These steps include assuming responsibility for the relevant obligation in the municipality to maintain standards of a service or prevent the municipal council from taking unreasonable action prejudicial to another municipality or to the province.
Ntshavheni said the decision to place the municipality under administration was in the interest of residents.
'Restore the integrity'
"We have confidence in the legal processes initiated be the department of co-operative governance, human settlements, and traditional affairs to restore the integrity and capability of the Mogalakwena municipality as prescribed by the Constitution and other laws."
Ntshavheni said the municipal manager, SW Kekana, intended to appeal a court ruling that his employment contract was illegal and unlawful, and the ANC respected his decision.
"The intended appeal cannot be used to derail the efforts of the administrator," she said. – Sapa