Sweeping probe of state corruption

THE Special Investigating Unit (SIU) has announced the largest government investigation yet into tender fraud and corruption in seven state departments, including the South African Police Service (SAPS) The probe, announced yesterday, follows persistent complaints about corruption and tender fraud in the government.

In addition to the police, the departments of public works, arts and culture, human settlements, the Gauteng health department and the Eastern Cape education department will be probed. The South African Social Security Agency, which distributes social grants, is also being investigated. The probes started in May. Each investigation will be staffed by a “substantial team” of forensic investigators, lawyers, accountants and analysts, the Presidency said.

The probe of the Department of Public Works department was described as one of the biggest by the SIU. The investigation will mainly focus on procurement, including numerous leases the department negotiated for client departments, “many of which involve significant amounts”.

Recent media reports alleged misconduct over a proposed R500m contract to lease new office space for the police. President Jacob Zuma’s spokesman, Zizi Kodwa, denied there was any connection with the announced probe, saying the investigation had long been requested by the leadership of the police, under Gen Bheki Cele. Mr Kodwa said the probe reflected the Zuma government’s commitment to fighting corruption. “It has long been coming … but you don’t want to do this in a rush … it must be based on fact.” The Presidency said the SIU’s investigation of the SAPS originated from a referral by the Independent Complaints Directorate, the police watchdog body.

The arts and culture investigation will include under-spending or misspending on World Cup projects dating back to the 2007 financial year. The unit has previously looked into housing tenders and social grant fraud. A director of the Institute for Accountability in Southern Africa, Paul Hoffman, yesterday described the probe as the strongest action against corruption by the Zuma administration to date. “Taken at face value this is the biggest step against corruption,” he said. However, Mr Hoffman said it is noteworthy that Mr Zuma has not asked the Hawks to lead the probe. The unit was established after the Scorpions were disbanded last year. “It’s the perfect sort of investigation that the Scorpions were trained, organised and set up to carry out,” he said. Mr Hoffman also questioned whether the SIU has the capacity for what appears to be a major investigation. “I think the SIU is overworked already and misses the backup it got from the Scorpions.”

The SIU said all investigations are at an early stage. While it has the technical skills needed, an increase in its workload necessitated the need for more staff. “The SIU has embarked on a large recruitment drive to ensure that it can deliver on all the investigations,” a representative said.

Source: Business Day