Charles Molele
Public Protector Busisiwe Mkhwebane has ordered President Cyril Ramaphosa to act against minister of public enterprises Pravin Gordhan for violating the Constitution.
Mkhwebane found Gordhan guilty of ‘improper conduct’ pertaining to his approval of former deputy SA Revenue Services Commissioner Ivan Pillay’s early retirement and his pay-out.
Addressing a media briefing in Pretoria, Mkhwebane said Gordhan “irregularly approved early retirement of Pillay with full retirement benefits and his subsequent retention at SARS as substantiated”.
She instructed Ramaphosa to act against Gordhan for violating the Constitution.
“The president of the Republic of South Africa should take note of the findings in this report in so far as they related to the erstwhile Minister of Finance, Mr Gordhan, and to take appropriate disciplinary action against him for violating the constitution,” said Mkhwebane.
In her judgment, Mkhwebane argues that Pillay was not entitled to the retirement benefits.
“Mr Pillay was not entitled to early retirement with full benefits under section 16(2A) of the PSA because the section makes no provision for such full retirement benefits. Section 16(2A) of the PSA only confers a right on an employee to retire from public service upon reaching the age of 55 years in terms of that section, no ministerial approval need to be sought,” she ruled.
Mkhwebane’s damning report against Gordhan comes just days before Ramaphosa is expected to announce his Cabinet.
The release of Mkhwebane’s report days before the announcement has set the cat among the pigeons, with some saying it was meant to influence Ramaphosa’s selection of a new Cabinet.
If Ramaphosa fails to act against Gordhan, he will be accused by some in his party, the African National Congress, of favouritism and factionalism. During the elections campaign, Ramaphosa promised to act against those found to be on the wrong side of the law. His deputy, David Mabuza, declined to take his oath in Parliament while he deals with the issues raised by the Integrity Commission against controversial figures on the ANC’s parliamentary list.
Reacting to Mkhwebane’s report into Gordhan on Friday, the Economic Freedom Fighters (EFF) said Gordhan should not be reappointed to Cabinet.
“This is pure disregard of the Constitution, abuse of power and maladministration. He now falls squarely in the line of many constitutional delinquents against whom chapter 9 institutions and our courts have found. There is no difference between him and Malusi Gigaba, Nomvula Mokonyane, and Bathabile Dlamini,” the party said in a statement.
“Pravin Gordhan is a Constitutional delinquent who must not be re-appointed into any Cabinet and who must resign from public office in general, particularly from Parliament. Even if Gordhan is taking the PP’s report on review, he must do the honourable thing that David Mabuza did, and step aside.”
The pay-out to Pillay was made during Gordhan’s first stint as Minister of Finance and Oupa Magashule was the SARS Commissioner.
A complaint was lodged with the public protector’s office in November 2016, alleging that Gordhan and Magashula had acted dishonestly with regard to public funds, which resulted in Pillay receiving an improper advantage or being unjustifiably enriched at the expense of the taxpayer.
Mkhwebane said Pillay was not entitled to an early retirement pay-out.
The public protector is investigating Gordhan following a complaint from the EFF that while he was SARS Commissioner he unlawfully established an intelligence unit within the tax service, also known as the ‘Rogue Spy Unit’.
This charge of establishing the rogue spy unit within SARS has been levelled against Gordhan after he fell foul of former president Jacob Zuma.
