‘Radical talk a cover for looting’

ANC’S ALLIANCE PARTNER SACP SAYS GUPTAS ARE LURKING BEHIND SUDDEN RHETORICAL POLICY SHIFT

FINANCE Minister Pravin Gordhan has described as “ridiculous” a comment by the SA Revenue Service (SARS)n that reporting to the minister is “operational courtesy” instead of a legal requirement.

Gordhan’s statement in a written reply to a parliamentary question cuts to the heart of the battle between the minister and SARS commissioner Tom Moyane, who on Friday described the relationship between the two key government leaders as “strained” and who has asked President Jacob Zuma to appoint a judge to mediate between them.

Gordhan made the comment in reply to a question by DA MP David Maynier about the investigation SARS instituted into the agency’s modernisation process by Grant Thornton which commenced in February 2015 and to date has not been concluded.

SARS had provided a reply to the question about whether it had briefed the minister on the probe, saying Gordhan was not informed, but the investigation arose as a result of findings in a report by consultancy Gartner, which was given to former finance minister Nhlanhla Nene “as part of operational courtesy”.

This was “ridiculous to say the least”, said Gordhan.

“ln government, there are very categorical prescripts in the Constitution, the Public Finance Management Act and other legislation which requires a head of SARS to be accountable to the Minister of Finance.

“The concept of ‘operational courtesy’ is ridiculous to say the least. The principles of good governance require that professional accountability and ethical conduct are non-negotiable.”

According to insiders, the very public disagreement between Moyane and Gordhan was also strengthening a case for the removal of the minister in a pending Cabinet reshuffle.

The parliamentary reply came to light after Moyane on Friday accused Gordhan of “interfering” with operations at SARS – Moyane claims that Gordhan has sought to usurp some functions conferred to him by the SARS Act. He further accused Gordhan of belittling him, of treating him as a “nonentity” and of “shouting and screaming” in meetings. The fight between the two resurfaced in the public domain this week when it emerged that the tax agency was behind in its revenue collection target by some R30-billion – with Gordhan blaming the organisation and its leadership for this.

On Friday, the Mail&Guardian reported on 16 letters between Moyane and Gordhan exposing the deterioration of the relationship. Moyane held a briefing to respond to this in Pretoria.

He denied he allocated and paid himself a bonus, as alleged in the letters, and he denied he had opened a criminal case against Gordhan which led to his charging by the National Prosecuting Authority last year.

Moyane on Friday blamed Gordhan and Treasury for leaking the letters to the newspaper.

Laws require head of SARS to “be accountable to minister