Ramaphosa under fire: EFF and MKP challenge National Treasury’s SIU report delay

EFF leader Julius Malema. Picture: Itumeleng English / Independent Newspapers

EFF leader Julius Malema. Picture: Itumeleng English / Independent Newspapers

Published Oct 23, 2024

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The EFF and the uMkhonto weSizwe Party have united against President Cyril Ramaphosa to demand that the Special Investigating Unit (SIU) report on the Integrated Financial Management Systems (IFMS) project be released immediately.

The MKP has also officially laid criminal charges of fraud and corruption against the National Treasury over the same matter on Monday morning.

Party officials David Skosana and party MP Des van Rooyen filed the charges at the Brooklyn police station.

The SIU handed the findings of the investigations to Ramaphosa in March this year. However, Ramaphosa has yet to release the report, prompting EFF leader Julius Malema to demand the immediate release, citing concerns over corruption and wasteful expenditure.

The National Treasury has spent approximately R400 million on the US tech giant Oracle contract, despite irregularities and non-compliance with supply chain management policies.

The SIU had previously reported to Parliament’s Standing Committee on Public Accounts (Scopa) that the four-year investigation had found the contract to be irregular and that the supply chain management policies were not followed.

The unit had also warned that there was a conflict of interest and fruitless and wasteful expenditure because the Treasury did not get value for money.

Malema argued, in the letter, that Ramaphosa’s withholding of the report undermined transparency, accountability, and public confidence in financial systems.

He demanded action to address corruption and irregularities, warning that further delay would erode trust in institutions tasked with safeguarding public funds.

The Presidency’s Vincent Magwenya has since reportedly said Ramaphosa’s office had noted Malema’s letter and was processing it. Ramaphosa is in Kazan, Russia, for the BRICS Summit.

The letter read in part: “Dear President, the EFF hereby urgently demands the immediate release of the SIU report into the IFMS project, as per Proclamation No. R40 of 2020.

“It is unacceptable that despite the SIU providing you with this report in March 2024, the findings remain hidden from the public, particularly given the magnitude of corruption and wasteful expenditure surrounding the IFMS project at the National Treasury.

“It is alarming that even after the National Treasury’s own investigation confirmed the corrupt nature of the award, the payments to Oracle have continued, the National Treasury continues to defend the indefensible, revealing an outrageous disregard for public finances.”

Malema said the “high-level” findings of the SIU made it clear that the processes followed were riddled with irregularities.

“Section 215 of the Constitution mandates that the National Treasury must promote transparency, accountability, and the effective management of the economy. The continued financial losses incurred through this project, without the release of the report, violate these constitutional obligations.

“The people of South Africa deserve to know the truth. This is not just about corruption — it’s about the principles of transparency and accountability that you (Ramaphosa) are entrusted to uphold.

“Your failure to release the SIU report represents a blatant disregard for these values. Every day of delay undermines the Constitution, allows continued waste of public resources, and diminishes trust in the institutions tasked with safeguarding public funds,” Malema said.

Speaking on national television after the charges were laid, Van Rooyen demanded accountability from the government.

“Now, because we are dealing with a ministry, so here we are saying the executive authority, as well as the accounting officer, must account to the nation about what happened… And that goes also to the leadership of Oracle, that goes also to the leadership of SETA (Sector Education and Training Authorities),” he said.

The Star