Moyane disciplinary hearing due to start

The disciplinary process of South African Revenue Service commissioner Tom Moyane is due to get under way. President Cyril Ramaphosa suspended Moyane in March, citing his handling of valueadded tax refunds to the Guptas.

The disciplinary process of suspended South African Revenue Service (SARS) commissioner Tom Moyane is set to get under way soon after settlement talks failed once again.

President Cyril Ramaphosa suspended Moyane last month, citing his handling of the allegations against former second-incharge Jonas Makwakwa, as well as his handling of valueadded tax refunds to the Guptas.

In his letter suspending Moyane, Ramaphosa referred to what he called “a deterioration in public confidence in the institution [SARS] and in public finances being compromised”.

Business Day understands that after his suspension, Moyane turned down two settlement offers and replied to a third with conditions of his own, which were rejected by the president.

It is understood Moyane’s conditions included that Ramaphosa hold a media briefing to which Moyane would be invited and at which he would announce an amicable parting of ways. Moyane also wanted Ramaphosa to publicly acknowledge that under him SARS had surpassed the R1-trillion “psychological barrier” for three years running and that he ran the institution with “leadership and integrity”.

Presidency spokeswoman Khusela Diko said the Presidency would not comment on content of its engagement with Moyane since his suspension.

“We can, however, confirm that engagements have taken place and we have been unable to reach a mutually acceptable solution. The disciplinary process will commence shortly,” she said.

It is understood that the Treasury was instructed to formulate the disciplinary charges. However, the Treasury referred Business Day’s questions to the Presidency.

Disciplinary action against a SARS commissioner is unprecedented in post-apartheid SA. Moyane’s predecessor, Oupa Magashula, resigned after facing allegations of alleged undue influence and a factfinding committee inquired into his conduct.

It is understood that Moyane rejected an offer of a six-month payout, then a payout of nine months. He submitted counter conditions to a final offer of a 12month payout — which was rejected by Ramaphosa, according to sources.

Moyane’s legal representatives could not be reached for comment on Monday.

Moyane’s suspension came after it emerged that a debt collector appointed by SARS, New Integrated Credit Solutions, was among the companies listed in a Financial Intelligence Centre report as having channelled funds into Makwakwa’s bank account.

Makwakwa resigned from SARS after the furore, when he was on the cusp of being suspended for a second time. His first suspension was in 2016.