Top state official in wall scandal

PARLIAMENT is embroiled in a scandal involving its administrative chief, Zingile Dingani, who used the institution's money to build a R186000 boundary wall at his home.

Dingani said he had approval for this, but insiders insist that he misled the institution's executive authority, including the Speaker, on the matter.

Dingani, who is the secretary to parliament and the institution's accounting officer, has been ordered to repay the money in R10000 monthly instalments - but one of the instalments was refunded to him by the institution's chief financial officer.

The Sunday Times can reveal how Dingani, who earns R1.8-million a year, obtained money from parliament following a risk assessment at his home in the northern Cape Town suburb of Panorama that indicated a need for a perimeter wall to be erected.

While some directors-general are provided with housing or protection by the state when they are in office, parliament does not have a policy on dealing with the private residence of its accounting officer. It also does not have clear rules on loans to employees.

Documents show that, on December 6 2011, R186000 was deposited into the account of construction company Wise Builders. It is understood that when Speaker Max Sisulu discovered the transaction, he ordered that Dingani repay the money.

An arrangement was made for the money to be repaid in instalments of R10000 a month.

But further documents obtained by the Sunday Times show that one of the R10000 instalments was refunded to Dingani by parliament's chief financial officer.

Dingani, responding through parliament spokesman Luzuko Jacobs, confirmed that he had used the institution's money to build a wall at his home.

"A security assessment was carried out on the basis of a series of reported security breaches at the house of the secretary of parliament. This assessment was done by the state security agencies (sic). An assessment report was submitted to parliament. The work which was carried out was in response to, and based on, the recommendations of the various reports submitted as part of their assessment," said Jacobs.

Moegsien Wise, who owns Wise Builders, confirmed that he was paid R186000 to build a wall at Dingani's house. "It was between me and him, not parliament," said Wise.

James Selfe, DA federal council chairman, who sits on the parliamentary oversight authority - a structure that oversees the expenditure and administration of parliament - said he would take up the matter at its next meeting. He would ask who authorised the transaction and what policy they relied on.

Selfe said the issue of a lack of a transparent oversight mechanism for parliament in the form of an open portfolio committee for the institution to account to needed to be revisited.

"One of the major weaknesses of parliament is that while it is charged with oversight of all other government departments, its mechanism for overseeing itself is very weak, and that needs to be revisited ... far from there being transparency about expenditure, there is a great deal of opaqueness and obfuscation," he said.

Themba Godi, chairman of parliament's finance watchdog, Scopa, said if the information was correct, then a proper explanation was needed of how the transaction was approved in the absence of policy regulating assistance to senior managers.

Jacobs claimed that the transaction had been approved by parliament's executive authority. He said the agreement was that the money would be given to Dingani as a salary advance on the understanding that he would repay it.

"Please note that parliament could not carry the expenses for the security at this stage, as a policy regarding this was still being developed," he said.

But the Sunday Times is in possession of minutes of an October 2009 senior management meeting chaired by Dingani at which it was agreed that all financial assistance to parliamentary staff, such as loans, would be stopped. "No further advances on salary will be given to employees."

The Speaker's office refused to comment on whether he had granted permission for the project.

Asked to explain why R10000 was being deposited back into Dingani's account, Jacobs said the money had been erroneously deducted from his pay in December.

"Approval had been given by the executive authority to have the repayment commence in February 2012. The deduction was effected prematurely in December 2011, hence the reversal."

But parliamentary insiders said Sisulu wasn't aware that Dingani had used the legislature's money to build a wall at his home. Sources said when Sisulu and National Council of Provinces chairman Mninwa Mahlangu found out about the money, they ordered that it be converted into a loan and for Dingani to repay it immediately. It was arranged for R10 000 to be deducted from his salary each month. They said the two men were, however, not aware that one of the agreed deductions had been refunded to Dingani.