SERVICE PROVIDERS MILKING BHISHO
Probe shows money was paid for work not done at education department
A number of the provincial department of education service providers have been colluding with some of its employees to milk the state for services they have not rendered.
This was revealed in an internal forensic investigation by the provincial department, which exposes how employees entrusted with procurement of services have been working with companies to defraud the department.
The department has now embarked on a process of recovering the funds from the perpetrators who have apparently been benefiting from the transactions.
The Daily Dispatch was not able to solicit the exact figure of monies that the employees had swindled out of the department’s coffers.
A source close to the investigation told the Dispatch that it was difficult to put a figure on how much the department had lost in the fraudulent transactions as the investigation was still ongoing.
The source, however, confirmed that when the probe was completed the figures could go be in the millions of rands.
The Dispatch can reveal that already two mid-level managers have been suspended with immediate effect after it was discovered that they made payments to service providers that did not render any services. The two officials’ names are known to the Dispatch but efforts to get hold of them were not successful.
Another source said more officials’ heads would roll as the department was taking steps to recover the funds.
The probe and suspension of the two officials was last week confirmed by the department’s spokesperson Mali Mtima.
“In an attempt to uproot corruption and fraud, the Eastern Cape department of education has suspended two middle managers with immediate effect following an internal investigation that indicated that there were payments made to service providers prior to services being rendered to the department,” Mtima said.
Mtima did not want to provide specific details on what their investigators found and the names of the companies that have been allegedly colluding with the employees.
He said that the investigation was still on-going. If it was found that more undue payments had been made, steps would be taken, he said.
Additionally, the department will also blacklist implicated service providers from doing business with government.
“While the department appreciates the role played by service providers in the delivery of critical services, it is also determined to deal with unscrupulous service providers,” Mtima said.
The department’s head Themba Kojana sent a stern warning to his employees and cautioned them to act morally when conducting government business. “This is a direct violation of the Public Finance Management Act, and we will never tolerate such. We promise taxpayers that we will root out corruption within the department and any illegal collusion between officials and service providers. This will be done to ensure that public finances are utilised efficiently and appropriately,” said Kojana.
This is a direct violation of the Public Finance Management Act, and we will never tolerate such