White Collar Crime Brief – 28/02/2013

28 February 2013|In White Collar Briefs

In this issue:

  • South Africa: New Chief Procurement Officer tasked to investigate procurement processes.

South Africa: New Chief Procurement Officer tasked to investigate procurement processes.

Finance Minister Pravin Gordhan (“Gordhan”) has announced that the current head of intergovernmental relations within the Treasury, Kenneth Brown, has been appointed as Government’s new Chief Procurement Officer.

The purpose of this new unit is to restructure and simplify government’s procurement processes to reduce the opportunities for corrupt dealings. The Departments of Health, Department of Education and the Department of Public Works have all volunteered to be part of a pilot programme relating to this new unit in order to restructure their current procurement practices.

While explaining the need for this unit, Gordhan stated: “While our ablest civil servants have had great difficulty in optimising procurement, it has yielded rich pickings for those who seek to exploit it.” Gordan also revealed that the National Treasury is currently investigating 76 business entities with contracts worth approximately R8.4 billion which government believes have infringed the procurement rules. Further, the South African Revenue Service is auditing more than 300 business entities and investigating another 700 entities in efforts to stamp out corruption.

 

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