Treasury lauded for taking control of GPAA after CEO placed on precautionary suspension

JOHANNESBURG - Some political parties and unions have lauded National Treasury for taking control of the Government Pensions Administration Agency (GPAA) after its CEO, Kedibone Madiehe, was placed on precautionary suspension.

Madiehe is under investigation for serious allegations of procurement irregularities at the agency.

ALSO READ: Godongwana expects full operations to continue at GPAA after CEO placed on precautionary suspension

This includes claims she is aware of a fictitious lease agreement entered into by the pensions administrator and a property developer, costing more than R1 billion.

In an exposé, News24 previously reported that Madiehe was aware of a dubious 10-year lease tomove the GPAA’s headquarters to the Brooklyn Office Park in Pretoria.

But the owner of the building had no knowledge of the deal, even though funds had been earmarked and upfront fees paid to a subletter awarded the tender.

The Democratic Alliance (DA) has welcomed Minister of Finance Enoch Godongwana’s decision to appoint Treasury’s Job Mngomezulu as acting CEO.

But the party said it wanted full disclosure on the investigations and how maladministration at the agency would be corrected.

The Congress of South African Trade Unions (COSATU) also wants the probe to be fast-tracked and for the successful prosecution of anyone found to have flouted procurement regulations.

COSATU said looted public funds needed to be recovered to restore the entity.