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Image: OUTA
Is INSETA Management Hiding Something Untoward?
Inseta’s management refused to allow time for questions at AGM after ignoring our requests for information for many months, acknowledged that board will meet with OUTA to discuss concerns.
The Organisation Undoing Tax Abuse (OUTA) has been raising concerns about maladministration and corruption that have plagued a number of Sectoral Education Training Authorities (SETAs) for a few years now.
In 2023, OUTA became aware of concerns around the treatment and de-accreditation of the Graduate Institute of Financial Sciences (GIFS) by the management of the Insurance Sector Education and Training Authority (Inseta). Inseta’s subsequent lack of action after a court order to reinstate GIFS in January of this year was further cause for concern.
Wayne Duvenage, OUTA’s CEO, says Inseta has significantly damaged GIFS, a highly respected training service provider. “GIFS rightfully challenged serious issues related to fake learner certificates and Inseta’s maladministration of the certificates of rightfully qualified learners. The grounds on which GIFS was de-accredited, are extremely weak and much doubt has been cast over the reasons for compiling the report that informed Inseta’s decision to de-accredit GIFS. This matter is also being challenged in court.
OUTA has also become aware of tenders awarded to companies which appear to have transgressed Inseta’s procurement policies and/or legal requirements. “Therefore, transactions and decisions undertaken by Inseta must be scrutinised,” Duvenage explains.
But, says Duvenage, nothing has been handed over despite OUTA’s quest to obtain this information from Inseta. “On 5 February 2024, OUTA met with Inseta’s previous Board Chairperson, Mr Sihle Ngubane. During this meeting, he undertook to provide us with the information we requested. “Instead, we have been fobbed off and given the run-around, forcing us to approach the Information Regulator to intervene.”
Duvenage says that because OUTA did not get any answers to questions raised with Inseta’s management, he decided to attend the Inseta AGM at the Sandton Convention Centre on Friday, 29 November, with the intent to raise these questions. “We also studied their annual report for 2024 and had additional questions, such as why no provision had been made for a potentially costly business damages claim being brought against Inseta by GIFS.”
After applying online to attend the annual meeting, Duvenage received a rejection notice stating that the event was oversubscribed.
Nevertheless, Duvenage decided to attend the meeting and was given access to the event. “To my surprise, around 50% of the seating space was vacant. It appears there was there an attempt to keep me from attending?”
Other matters OUTA also wanted answers to at the AGM:
Misleading Information
On 5 October 2024, Inseta posted a notice on their website stating: “We have continuously provided responses to OUTA’s correspondences and are amenable to this constructive approach.” Duvenage says this is misleading. “OUTA has not been provided with the information we are seeking from Inseta. Why had they posted this false statement?”
Where's the investigation into irregularities?
On 22 February 2024, the Inseta Board resolved to commission an independent forensic investigation into allegations of maladministration and corruption raised against the organisation. “We believe that – to date – no such investigation has commenced. We wanted to ask why this investigation was taking so long, given the serious nature of the allegations. Nothing was mentioned about this matter in the Inseta Annual Report,” Duvenage explains.
However, at the AGM, the audience were told that there would be no time allocated for questions to the management or the board. According to Duvenage, this is very unusual. “The purpose of an AGM is not only to present the organisation’s annual report and business plan, but also to answer questions from the stakeholders present. At Friday’s meeting, the audience were told to scan a QR code and submit their questions in writing to Inseta.”
Given OUTA’s past experience of not receiving any feedback on their concerns and questions, OUTA’s CEO stood up at the end of the AGM and questioned the decision not to allow questions to be tabled at the event.
“After some deliberation and discussion on the floor, an Inseta board member agreed to a suggestion made by the event’s program director that the board should engage with OUTA to discuss their concerns,” Duvenage says.
OUTA wrote to the Inseta Board on Monday 2 December, detailing the background to OUTA’s issues with Inseta and explaining why their CEO attended the AGM, and also what matters the organisation would like to discuss at an in-person meeting with the Inseta board. “We are now awaiting their response.”
Duvenage's participation at the Inseta AGM sparked social media attention over the weekend. OUTA denies accusations of funding a smear campaign against Inseta's management, stating it has not used or paid any Twitter influencers and relies solely on its own media team for statements and social media messaging.
OUTA looks forward to a constructive engagement with the Inseta Board in the near future.
More information
A soundclip with comment by Wayne Duvenage, OUTA CEO, is here.
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