The EFF has demanded the immediate suspension of the secretary to parliament Xolile George while an investigation ensues after controversy concerning his remuneration and recruitment.
The party says this is to safeguard the integrity of parliament, saying it cannot be compromised by alleged irregular appointments, unexplained salary escalations, or the purported “misuse of the name of constitutional institutions such as the office of the auditor-general to legitimise processes that do not withstand scrutiny”.
The red berets’ comments come after having questioned the auditor-general office’s revelation that they have not conducted a standalone or special audit to review George’s recruitment or remuneration.
The controversy over George’s salary erupted last week during a meeting of the joint standing committee on the financial management of parliament, when MPs from the EFF, the DA and the ANC clashed.
The matter is under investigation after a complaint filed by the DA with the public protector’s office.
EFF spokesperson Sinawo Tambo said: “It is deeply concerning that the AG’s office suggests that the matter was only considered within the context of a broad routine audit, particularly when earlier correspondence issued by Sharonne Adams, head of portfolio for the Western Cape, Free State and Northern Cape Business Unit, indicated that AGSA [auditor-general] had engaged on key areas relating to the recruitment process and salary approvals of the secretary to parliament.”
Tambo said the audit process resulted in an unqualified audit for parliament, despite the reportedly serious documentary evidence now available.
“This raises serious questions about the credibility of the audit process and the value of the assurances provided if such a fundamentally irregular process could pass through the audit framework without any findings, as much as we do not seek or expect absolute assurance.”
To this effect, the red berets have written to the AG, accompanied by extensive documentation and questions, including 72 pages of annexures.
“We are seeking clarity on how the recruitment and salary escalation of the secretary to parliament could have been regarded as compliant with acceptable governance and audit standards.”
In addition, the party spokesperson said they have been alerted to George allegedly having received more than R5m in remuneration from the South African Local Government Association (Salga) for a period covering about two months before his appointment to parliament.
This is apparently in addition to a further two months during which he had already assumed full-time duties as secretary to parliament in Cape Town.
Based on documents at the party’s disposal, Tambo said it appeared Salga and parliament lacked an established policy framework that would authorise such overlapping remuneration.
The EFF said it would lodge formal complaints with the South African Institute of Chartered Accountants (Saica) and the Independent Regulatory Board for Auditors (IRBA). The party will also refer aspects of the matter to the public protector’s office.
Meanwhile, this publication has seen an escalation of the matter to Salga.
In a letter addressed to Salga CEO Sithole Mbanga, the EFF details records contained in the Salga Annual Report 2022/2023 which appear to indicate that the association paid George about R5.9 million during the relevant financial year, including approximately R2.5-million recorded as a long-term incentive, as well as additional amounts relating to allowances.
This remuneration appears to cover the period April to July 2022, and potentially overlaps with the period during which George had already assumed full-time duties in Parliament.
The party has petitioned Salga to clarify which policy or contractual provision authorised the payment of remuneration to George when he had already assumed full-time duties as secretary to parliament.
The EFF has requested a full breakdown of all remuneration to George between April 1 2022 and July 31 2022, including salary, long-term incentives, and any other allowances.
The letter, penned by EFF treasurer-general and MP Omphile Maotwe asks Salga to confirm whether it awarded any tenders, consultancy assignments, or contracts to the company 21st Century between January 1 2016 and July 31 2022, and if so, they ought to provide the nature of the work and the total value of each contract.
Maotwe believes this information will assist in clarifying matters that have arisen during the review of documents relating to George’s transition from Salga to parliament.
“For the avoidance of doubt, we also intend to address correspondence to the AGSA to enquire whether this matter formed part of the audit procedures conducted in relation to the appointment and remuneration of the secretary to parliament.”
The EFF MP stated that “clarification from both institutions will assist in establishing a complete and accurate factual record regarding the circumstances surrounding the transition of George from Salga to parliament”.
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