President Cyril Ramaphosa has signed proclamations authorising the Special Investigating Unit (SIU) to investigate several government institutions, including payments to a Gupta-linked company by the state-owned diamond mining company, Alexkor.
Along with covering the National Skills Fund and the Department of Public Works and Infrastructure, the investigations will also broaden the scope of current enquiries into major state organisations such as Eskom, SABC, SAA (South African Airways), and the SA Council for Educators, the Department of Human Settlements, PetroSA, and Transnet.
The investigation into Alexkor will include additional institutions and broaden its scope to include the Alexkor Richtersveld Mining Company Pooling and Sharing Joint Venture, and the State Diamond Trader.
”The amended proclamation authorises the SIU to investigate the procurement of and contracting for goods or services by or on behalf of the institutions to the marketing, valuation, sale (including decisions not to buy), and beneficiation of diamonds, and any income generated or lost or payments made in respect thereof,” the unit explained.
In addition, the SIU will also probe serious maladministration in Alexkor’s affairs in respect of contracts concluded with and fees paid to Gupta-linked Regiments Capital.
The Alexkor investigation will tackle unauthorised, irregular, or fruitless and wasteful expenditure incurred as well as fraudulent, irregular, improper, or unlawful conduct by board members, officials, employees, agents, service providers, traders, auctioneers, bidders, or buyers – particularly where such conduct resulted in undue benefit or concealed interests.
According to the unit, in the NSF, the focus will be on allegations of serious maladministration, improper or unlawful conduct by officials or employees of the Department of Higher Education and Training, and the possible mismanagement of funds allocated to the entity.
The SIU investigation will look into the procurement and contracting for the implementation of skills development programmes, training projects, and the appointment of implementing agents for several projects across the country dating back to 2013.
In the DPWI, the SIU is set to investigate allegations of maladministration relating to the appointment of travel agents in 2017 for the rendering of travel agency services including flights, accommodation, and vehicle hire.
”The scope of the investigation includes any unlawful or improper conduct by suppliers, service providers, and other involved parties, occurring between March 2017 and March 2025, or related matters before or after this period,” the SIU explained.
Ramaphosa also amended the proclamation authorising investigations into the SABC, Eskom, PetroSA, Transnet, SAA, and the Department of Human Settlements.
The troubled national carrier, SAA, will be subjected to an investigation of allegations of serious maladministration, corruption, and unlawful conduct in its affairs. While investigating maladministration, corruption, and fraud, the SIU will identify systemic failures and recommend measures to prevent future losses.
It will also refer any evidence of criminal conduct uncovered during these investigations to the National Prosecuting Authority for further action, institute civil action in the high court or a Special Tribunal to recover financial losses to the state as a result of acts of corruption, fraud, or maladministration.