SARS boss Ivan Pillay faces chop again

21 December 2014 - 12:24 By Piet Rampedi, Stephan Hofstatter and Mzilikazi wa Afrika
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RISK: Deputy SARS commissioner Ivan Pillay set up the covert unit
RISK: Deputy SARS commissioner Ivan Pillay set up the covert unit
Image: Supplied

Tax official Ivan Pillay has been handed a suspension notice, a day after he won a court bid on Thursday to be reinstated.

Pillay was handed the notice on Friday, giving him until January 12 to show why he should not be suspended pending the outcome of an investigation. The notice, seen by Sunday Times reporters, said Pillay had to be suspended because of the danger that he could tamper with evidence during the investigation, as he had allegedly done before.

Pillay faces a string of allegations, including that he:

Established, recommended or was instrumental in setting up a covert intelligence unit within SARS;

Knew the secret unit was unconstitutional and infringed on the powers of state intelligence agencies;

Acted against former finance minister Trevor Manuel's directive that the unit be created in the National Intelligence Agency and not SARS;

Obtained, or was instrumental in obtaining, apparent ministerial authorisation for the conduct of the unlawful operations;

Authorised expenditure and recruitment of personnel for the operations in violation of internal policies;

Brought SARS into disrepute and committed gross dereliction of duty by authorising, or failing to prevent, rogue behaviour by those employed to conduct unlawful operations;

Unlawfully and/or fraudulently contrived his early retirement for financial gain in 2010 in "collusion" with former finance minister Pravin Gordhan, despite having the intention to continue his employment with SARS;

Incurred wasteful and fruitless expenditure by authorising the provision of legal fees for embattled investigations head Johann van Loggerenberg in a matter from which SARS did not derive direct benefit; and

Recommended paying a settlement of more than R3-million to former rogue unit head "Skollie" in March 2008, which amounted to wasteful and fruitless expenditure.

Pillay declined to comment.

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