Sars compensates former employees for harm caused during state capture era
The SA Revenue Service (Sars) has finalised reparations to former employees who were negatively affected by false allegations during the state capture era.
Commissioner Edward Kieswetter also tendered “a heartfelt public apology to its former employees for the organisation’s actions and omissions that had such a devastating and profound impact on their lives”.
“Sars deeply regrets the hurt, pain and suffering visited on them and their families” between 2014 and 2018.
The settlements to affected staff give effect to one of the recommendations of the Nugent Commission, which found there had been a huge failure of integrity and governance at Sars under the tenure of erstwhile commissioner Tom Moyane, the tax agency statement read.
This comes after inquiries found there was no basis for allegations that a unit set up in 2008 to counter the illicit economy had been established unlawfully.
On Thursday, the Constitutional Court unanimously refused suspended public protector Busisiwe Mkhwebane’s application for leave to appeal against a high court judgment on her “rogue unit” report, “which puts an end to the discredited narrative around the investigative unit”, Sars said.
“I acknowledge the harm caused to the organisation and to those former employees closely associated with the establishment, management and operation of the investigative unit, as well as their families,” Kieswetter said on behalf of Sars.
“Unfortunately, because Sars itself became the victim of state capture in this period, Sars acknowledges it failed to defend and protect its employees when the false allegations and imputations of wrongdoing resurfaced in October 2014 and in the subsequent years.”
Kieswetter said after his appointment in May 2019, he had implemented measures to stabilise the workforce, restore staff morale and re-establish trust in the organisation. The measures implemented included a pastoral and “listening” campaign aimed at giving staff an opportunity to share and reflect on their experiences and re-employment for some specialist employees who left Sars during the state capture years.
In 2021, he appointed former public protector Prof Thuli Madonsela and retired Constitutional Court judge Johan Froneman to advise him on the feasibility of reparations for former Sars employees who were specifically affected by the false allegations.
In line with their recommendations, he said “Sars has paid fair and reasonable pecuniary compensation (general damages) for the infringement of the participants’ rights as well as compensation arising from loss of employment where this was appropriate”.
“Although this cannot fully atone for the professional and personal harm they have suffered over a prolonged period, Sars hopes this reparations process brings some measure of healing and closure for the former Sars employees and their families and enables both parties to move forward constructively.”
Sars said the former employees who agreed to their names being made public as part of the apology are Ivan Pillay, Peter Richer, Andries Janse van Rensburg, Johann van Loggerenberg, Adrian Lackay, Pieter de Bod, Gilbert Gunn, Nkele Pitsi, Siobhan Wilson, Telita Snyckers, Charl Fourie, Gene Ravele and Marika Muller.