Statement by Karabo Khakhau MP – DA Deputy Spokesperson on Higher Education and Training:
The Democratic Alliance (DA) calls on the Minister of Higher Education, Buti Manamela, to fire the administrator of the Local Government Sector Education and Training Authority (LGSETA), Mr Zukile Christopher Mvalo, following the extension of an irregularly awarded office lease.
This act constitutes financial misconduct.
It contravenes section 51 of the Public Finance Management Act (PFMA) which strictly indicates that accounting authorities must prevent irregular, fruitless and wasteful expenditure.
Section 83 of the PFMA indicates that officials who deliberately or negligently allow irregular expenditure may be guilty of financial misconduct.
In this case, Mvalo’s extention of the LGSETA office lease was deliberate.
Only six months ago, Minister Manamela appointed Mr Mvalo to stabilise LGSETA’s governance, restore proper governance, enforce consequence management and protect the credibility of failing SETAs. This is despite the DA’s objection of the appointment of Mvalo as an administrator.
It comes at no shock that Mr Mvalo is clearly unable to uphold this task.
In yesterday’s Portfolio Committee for Higher Education, it came to light that the LGSETA administrator extended an irregularly awarded R12 million per annum office lease by an additional six months.
The Administrator was instructed to clean up the corrupt and failing SETA, but, Mr Mvalo’s decision to extend an irregularly awarded lease just a few months after his appointment is a clear indication that he is not fit for purpose.
The DA is firmly opposed to any acts of corruption and calls on the Minister to remove Mr Mvalo from his position as LGSETA’s administrator.
What is Fraud? “Fraud” is any activity that relies on deception in order to achieve a gain. Fraud becomes a crime when it is a “knowing misrepresentation of the truth or concealment of a material fact to induce another to act to his or her detriment” (Black’s Law Dictionary). In other words, if you lie in order to deprive a person or organization of their money or property, you’re committing fraud.