By TDN
Mahikeng-On Thursday, 29 August 2013, the North West Provincial
Legislature’s Standing Committee on Provincial Public Accounts
(SCOPA) welcomed the report they received from the Public
Protector, Adv. Thuli Madonsela on the irregular payments of
legal fees by the Department of Finance.
The report will now be tabled in the Legislature.
SCOPA had requested the Auditor General’s Office, the Public
Service Commissioner, Provincial Public Protector’s office and the
Hawks to do the investigation after former MEC for Finance,
Louisa Mabe, the current MEC, Paul Sebegoe, and the Acting Head of the Department of Finance, Geo Paul, failed to give the
Committee a clear account of procurement processes followed in appointing Morake Attorneys, a company that has been paid over R15 million for a disciplinary hearing of the Department of
Finance head.
In her report the Public Protector made amongst others, the
following findings;
The procurement process followed by the department in
securing the services of Morake Inc, was flawed, unlawful
The rewording and appointment letter for Morake Inc by
Chris Molefe, the former director in the office of the MEC
former MEC amounts to improper conduct,
maladministration and abuse of power;
The manner in which invoices and statements of accounts
submitted by Morake Inc were checked and assessed by
officials before payment was approved amounts to gross
negligence, maladministration and ultimate irregular
expenditure.
Evidence, especially travelling costs claimed by
Morake Inc, indicates that there are discrepancies and
double billing in the invoices submitted, resulting in
overpayment by the department.
Adv. Madonsela made the following recommendations;
A remedial action to be taken by the Head of Department for
the Supply chain unit of the department
Audit amounts claimed by Morake Inc should be audited and
overpayments should be recovered with interest.
The Premier of the province should initiate an investigation
into the conduct of the former Acting Head of Department
and the Chief Director in the former MEC’s office.
The commercial Crime Unit and the Hawks is to conduct a
further investigation into whether or not a corrupt
relationship existed between the former MEC for Finance,
Loiusa Mabe, and Morake Inc and any other role players
involved in the procurements of the services to Morake Inc.
Chairperson of the Committee, Hon. Hlomane Chauke said the
Committee is happy with the report.
“It is based on the mandate we had given to the Chapter 9 institutions to help investigate the claims”.
“This matter will not end here, things that need to be referred to
police will be. Both the Speaker and the Premier will receive a
copy of the report and it will be tabled in the Provincial
Legislature” he said.
“All recommendations made by the Public Protector will be
implemented to the latter,” said Hon Chauke.-TDN
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