Question 637
Ms H Lamoela (DA) to ask the Minister of Social Development:
(1) How many incidents of corruption occurred in the past four financial years involving (a) departmental officials and (b) staff of entities reporting to her department;
(2)in each case, (a) on what date was (i) the complaint first raised, (ii) an investigation first initiated and (iii) a report submitted on the outcome of the case; (b) what is the (i) name and (ii) position of the persons who were investigated; (c) what was the outcome of the investigation and (d) what was the (i) financial and (ii) service delivery impact of the above on the department and entities reporting to it;
(3) whether any steps were taken against the persons who were found guilty of corruption; if not, why not; if so, with regard to each person who was found guilty, (a) what are their names, (b) on what charges were they found guilty, (c) what was the recommendation of the investigation report and (d) what steps were taken against them?
Reply:
National Department of Social Development (DSD)
(1) (a) None in Department of Social Development
(2) and (3) falls away.
South African Social Security Agency (SASSA)
(1)(b) SASSA was established in April 2006 hence information is only available from the 2006/07 financial year. SASSA is mandated to administer the application, processing, approval and payment of social grants. This reply has been constructed with detail in included in the attached annexure and is limited to the interpretation of fraud (see footnote) 1. This data is limited to the disciplinary cases that were dealt internally within the Agency and excludes the national project of the Special Investigative Unit (SIU) which is tasked with identifying social security fraud within the entire public service.
(1) (a), (b), (c) and (d) (i) refer to annexure included herewith
(ii) In instances where officials were placed on precautionary suspension, their absence in the workplace creates operational challenges. Managers whose sub-ordinates have been placed on suspension strategise to ensure that the void created does not adversely affect service delivery.
Operational challenges are addressed through job rotation, alternative utilisation of staff with special focus on skills development. We have also ensured that existing staff were optimally utilised through job enrichment. This has required that performance agreements and work plans be amended to accommodate additional responsibilities. Where there was a lack of additional capacity to address precautionary suspension challenges, the Agency made use of contract employees.
(2) (a), (b), (c) and (d) refer to annexure included herewith.
National Development Agency (NDA)
(1) (b) One incident of corruption was reported in the 2006/07 financial year
(2) (a)(i) May 2006;
(ii) A forensic investigation by the Auditor-General was initiated in June 2006;
(iii) A forensic investigation report was submitted by the Auditor-General.
(b) (i) Sheila Kgomotso O'Reilly
(ii) Accounts Clerk.
(c) Fraud and misappropriation of funds were committed against the NDA.
(d) (i) R8,7 million misappropriation
(ii) Money destined for NDA funded projects was misappropriated.
(3) Yes, the NDA instituted disciplinary hearings against Ms O'Reilly who was found guilty and dismissed. The fraud was also reported to the Police and Ms O'Reilly was arrested.
(a) Sheilla Kgomotso O'Reilly;
(b) fraud;
(c) the NDA considered taking disciplinary enquiry against certain senior managers and
(d) Disciplinary enquiries were held and all managers affected were exonerated from any wrongdoing.
Financial implications: It must be noted that among the reported fraud cases from SASSA, some are monetary and in some are not. Those that do not reflect amounts are cases whereby the offence could not be quantified in monetary terms. Mainly it is where the fraud was due to false information provided, attempted and failed monetary fraud transactions which did not lead to any financial loss to the Agency.
Recovery of Monies: Where officials acknowledged debt to SASSA, monies were recovered. In other cases the monies involved were those belonging to third parties (beneficiaries and service providers) and as such the agency does not have jurisdiction to litigate the recovering of such monies. Where necessary, the agency is open to assisting third parties who need evidence or support related to proceeding with litigation on non financial transgressions.
Issued by: Department of Social Development
21 September 2009
