Were Pillay and Richer paid off by SARS?

7 May 2015

The South African Revenue Service (SARS) has today confirmed that Deputy Commissioner, Ivan Pillay, and Head of Strategic Planning, Peter Richer, have resigned with immediate effect.

In addition, all charges and related investigations into both  matters have been withdrawn.

Both Pillay and Richer were suspended by new appointed SARS Commissioner, Tom Moyane, in December last year following their involvement in the alleged “rogue unit” within SARS. They are among a host of senior management who have either been suspended or dismissed since Mr Moyane’s appointment in September last year. 

While these suspensions have been under the guise of disciplinary action, there is ample reason to believe that this is as a result of the sensitive investigations that are ongoing at SARS. These investigations include a probe into the tobacco industry – as well as a tax investigation into the ANC’s tax bill and the President’s own tax bill.

Ivan Pillay has been particularly vocal in questioning the motives behind the purge within SARS, and thus his resignation raises serious questions as to whether he is being silenced or not. 

Reports last week suggested that Ivan Pillay and Deputy President Cyril Ramaphosa were in negotiations, which would result in Pillay being paid out R 6 million in order to leave the Revenue Service. 

I have already submitted a series of parliamentary questions to the Deputy President and the Minister of Finance in order to ascertain whether SARS is going to give Ivan Pillay a R6 million golden handshake, and whether the R6 million golden handshake was initiated and supported by Deputy President Cyril Ramaphosa. I am still awaiting answers to these questions. 

With his now sudden resignation, the evidence suggesting an ANC-mandated cover up is mounting. 

Just last week, in a reply to a DA parliamentary question, President Zuma rejected the DA’s call for him to institute a Judicial Commission of Inquiry into the South African Revenue Service (SARS), as according to the President “there is sufficient, independent attention and investigations of the matters”. 

Now that there will be no investigation as all charges have been dropped, the attempt to sweep the issue under the rug continues.

The DA is committed to getting to the bottom of this, and will ensure any political meddling in the matter will be met with the full might of the law.  

Statement issued by Dr Dion George MP, DA Shadow Minister of Finance, May 7 2015