R300 million stolen from Department of Public Works and Infrastructure


By BAKANG MOKOTO

The newly-appointed Minister of Public Works and Infrastructure, Dr Dean Macpherson said R300 million has been stolen at the department in the past 10 years. Macpherson said he decided to take the public into his confidence in the interests of transparency.

He further said this staggering revelations is related to cyber- crime. Macpherson added that this cyber-crime related matter has been unearthed and more investigations continue.

“In the latest episode, that took place in May 2024, the cyber attackers stole further R24 million. This prompted afull forensic investigation by the Hawks, South African Police Service, Security Agency and experts in the ICT and cyber security.

“This revelation emerged as we conducted detailed assessments on the work of the department and through the incoming briefings from department branches. It has become clear that the department has been a soft target and playground for cyber criminals for over a 10 year period,” he said.

Macpherson said this should have been picked up a lot earlier. He said he felt it important to let South Africa know what has happened and what they are doing about it.

“I cannot discount the possibility of collusion between officials and criminals in this prolonged period theft. It is clear that we need better financial controls, which I have said to the department are a matter of urgency.

‘So, we pledge to crack down on these syndicates ad those in cahoots with them internally or externally. We want to put a stop to this immediately because we cannot allow our department to be subjected to unchecked looting. This is money that could have been spent on infrastructure drive to improve the lives of South Africans.

Macpherson said the investigation will be expanded and deepened to find the masterminds and the beneficiaries of this grand theft and he said he want to see them in prison.

‘Four officials have been suspended and 30 laptops seized by the investigators. The four DPWI officials suspended include three senior management officials and one middle management official. The department was forced to shut down all its payment system causing significant delays in the payment of its creditors.  

“In May, the department announced that​ it has ordered a full forensic probe into what it called vulnerabilities in the department’s information and technology systems. The department identified the cyber-security vulnerabilities with the assistance of its banking partners, including ABSA Bank and the South African Reserve Bank (SARB),” he said.

Macpherson said the investigation, which involve cyber and ICT security experts covers the causes of the breach and vulnerabilities, vulnerability and susceptibility to cyber-crime of the ICT infrastructure within the department. He said this includes lack of staff capacity and weak ICT systems.

“I welcome the precautionary suspension of four individuals, including senior managers and the seizure of over 30 laptops for further examination by the investigative teams. This will allow the investigations to proceed smoothly.

“We are appealing to the team probing this security breach to conclude their investigation with speed. We do not want prolonged investigations with no results and consequences. There is simply no place for corruption in this department,” said Macpherson.

He also welcomed the initial swift investigation launched by my predecessor and now Deputy Minister, Sihle Zikalala. Macpherson said the department has suffered a massive financial loss and those responsible for protecting it from cyber criminals must be held to account.

“We need answers as to what happened under their watch. We also ask the investigators to trace and follow the money and ensure that it is brought back to the coffers of government.

“I have committed myself to work tirelessly to ensure the reinforcement of the cyber security systems within the department so that similar incidents are prevented in the future,” he said.

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