South African President Cyril Ramaphosa has unveiled a raft of reforms in response to recommendations by a commission that probed high-level corruption during the tenure of his predecessor Jacob Zuma.
In a televised address to the nation on Sunday evening on action his government was taking in response to recommendations of the Commission of Inquiry into State Capture, Ramaphosa announced the establishment of a permanent independent Public Procurement Anti-Corruption Agency to combat corruption, fraud and maladministration.
“The commission made detailed recommendations about the establishment of an independent Public Procurement Anti-Corruption Agency,” Ramaphosa said.
This body will have oversight over parliament and the executive and is expected to lead in the review of the country’s anti-corruption architecture.
Other proposed reforms include tightening of the public procurement process and the introduction of lifestyle audits for the president, deputy president, ministers and deputy ministers.
He said the lifestyle audits have already commenced and are “being managed by the director-general in the Presidency and undertaken by an independent external service provider.”
Abuse of the procurement system was found by the commission of inquiry to be one of the main ways that taxpayers’ money was illicitly diverted to private interests instead of providing value to the public.
Ramaphosa said the Public Procurement Bill, which is expected to be finalised and submitted to Parliament by March 2023, would address many of the commission’s recommendations.
“These recommendations include the introduction of a Code of Conduct setting out the ethical standards for procurement; protecting Accounting Officers from criminal or civil liability for acting in good faith; harmonisation of public procurement legislation; making procurement more transparent; and establishing a professional body for public procurement officials.”
Other reforms include legislative amendments to ensure greater transparency and consultation in the selection and appointment of the national director of public prosecutions as well as the appointment and removal of board members and senior executives in state-owned enterprises.
“The lack of compliance, transparency and accountability in the appointment of board members not only enabled the capture of these companies, but also contributed to a decline in their operational and financial performance,” Ramaphosa said.
He said from now on, the appointment of parastatal boards would include the involvement of independent panels “with appropriate technical expertise to recommend suitable candidates to the relevant minister.”
He said “no board member will be allowed to be involved in procurement processes beyond playing an oversight role”, while ministers would be prohibited from playing any role in procurement within state-owned enterprises or departments.”
He said the most recommendations were directed to the law enforcement agencies for investigation and possible prosecution, as well as the recovery of misappropriated funds, combating corruption, fraud and maladministration.
“As a result, the Investigating Directorate that we established within the National Prosecuting Authority has to date enrolled 26 cases, declared 89 investigations and 165 accused have appeared in court for alleged state capture-related offences,” said Ramaphosa.
Law enforcement agencies have so far recovered R2.9 billion (about US$161 million) of ill-gotten funds or assets and secured freezing or preservation orders for other assets valued at more than R12.9b.
The commission of inquiry was chaired by South Africa’s Chief Justice Raymond Zondo and was set up in 2018 following a damning that accused Zuma of presiding over corrupt network that involved the awarding of lucrative government contracts to his associates.
It submitted its final report to Ramaphosa last month, with the president furnishing parliament with his own response to the commission’s recommendations last week.
JN/APA