Minister Oliphant continues to be protected from accountability for Nedlac corruption

17 June 2015

In today’s sitting of the Portfolio Committee on Labour, Chairperson Lumka Yengeni, along with her ANC colleagues, actively blocked a Nedlac briefing on the independent forensic report into the corruption scandal at Nedlac. This is the latest development in the ANC’s attempt to delay accountability for as long as procedurally possible. 

Since March, the DA has fought tooth and nail to ensure both Nedlac and the Minister of Labour, Mildred Oliphant, appear before the Committee on this matter. Eventually, the Committee acceded to our request. However today we witnessed a meticulously crafted strategy by the ANC to ensure certain individuals are shielded from accountability.

A 12-strong delegation was flown from Pretoria and put up in accommodation at the taxpayers’ expense, only to then be immediately told that a supporting document – which was not specifically requested by the Committee – was required for the briefing to proceed.

The document in question is a record of the minutes of the meeting of Nedlac’s Audit Committee when it decided to institute the forensic audit into alleged corruption at Nedlac. 

According to Section 3 of the Treasury Regulations on the Public Finance Management Act (PFMA), Nedlac has full authority to mandate an investigation into fraud and corruption. The fact that the decision was taken by Nedlac and not the Minister of Labour is therefore irrelevant. For the ANC to attempt to drive a wedge between Nedlac and the Minister – in order to absolve the minister from any culpability whatsoever - is hollow and opportunistic. 

The independent forensic report in question found that former Executive Director of Nedlac, Herbert Mkhize, and then Chief Financial Officer of Nedlac, Umesh Dulabh, fraudulently and illegally enriched themselves to the value of almost R2 million using Nedlac funds. The report recommends both criminal and civil action against Mkhize. Rather than taking action Minister Oliphant hired Mkhize as her special advisor.

Lumka Yengeni’s performance today had all the characteristics of Baleka Mbete’s conduct in stalling and blocking oral questions to President Zuma late last year. As Chairperson, her role is to facilitate effective oversight, not frustrate it. 

The DA will continue to ensure that those who have stolen public money are held to the highest account.

Statement issued by Ian Ollis MP, DA Shadow Minister of Labour, June 17 2015