By Johnathan Paoli
President Cyril Ramaphosa has expanded the Special Investigating Unit’s (SIU) inquiry into the long-stalled Integrated Financial Management System (IFMS), extending the probe to the State Information Technology Agency (SITA) and the Department of Public Service and Administration (DPSA).
SIU spokesperson Kaizer Kganyago confirmed that the investigation would also cover service providers and external suppliers.
“The probe will scrutinise whether these procurements and contracts were fair, competitive, transparent, equitable, or cost-effective, and whether they violated any applicable legislation or Treasury instructions,” he said.
The Presidency announced the move through Proclamation 281 of 2025, which amends the original 2020 proclamation authorising the investigation into the National Treasury.
The expanded mandate empowers the SIU to investigate allegations of maladministration, corruption, and unlawful procurement linked to one of government’s most costly but incomplete technology projects.
Approved by Cabinet in 2005, the IFMS was meant to modernise and integrate the state’s financial, supply chain, and human resources systems.
Two decades and more than R1.2 billion later, it remains unfinished.
Auditor-General reports have repeatedly flagged ballooning costs, procurement irregularities, and missed deadlines, while Parliament’s committees have long expressed frustration over the lack of delivery. The project has also been tainted by the appointment of at least a dozen high-profile consultants whose contracts later became the subject of forensic probes.
Under the new proclamation, the SIU’s timeframe has been extended back to July 2013, allowing investigators to examine the earliest contracts and procurement decisions that shaped the IFMS.
The unit will now probe maladministration in SITA and the DPSA, unlawful or improper conduct by officials, misappropriation of public funds, and corruption-related offences under the Prevention and Combating of Corrupt Activities Act.
The investigation covers not only the main IFMS contract but also a network of tenders, including those for tender specification reviews, probity and assurance services, programme management, stakeholder engagement, organisational change, and strategic systems planning. At its centre is the tender for establishing and operating a Project Management Office—a pivotal contract underpinning the entire programme.
SITA, which manages ICT procurement for government, has long been plagued by corruption scandals involving inflated tenders and politically connected suppliers. Its inclusion, alongside the DPSA, is seen as particularly significant given their central role in state operations.
Kganyago stressed that the SIU’s work goes beyond unearthing corruption.
“The SIU is committed to protecting the public interest and assets through systemic investigations to eradicate fraud, maladministration, and corruption. Part of our mandate is to identify systemic failures and recommend reforms to prevent future losses,” he said.
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