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CEO UPDATE
When silence breaks - and whistleblowers speak up
Dear OUTA Supporters,
July has been a month of explosive exposés and inconsistent responses from government leadership, particularly in the realm of criminal justice and political accountability, combined with a frustrating lack of urgency in how the President and his administration have responded to a number of serious issues.
A brief highlight some of the events that shaped this past month:
• KZN Police Commissioner Nhlanhla Mkhwanazi’s exposed deep political interference in SAPS operations, prompting the suspension of Police Minister Senzo Mchunu and former crime-fighting head Shadrack Sibiya. A commission of inquiry is now underway.
• The sudden dismissal of Andrew Whitfield as Deputy Minister in the GNU highlighted cracks in the coalition and raised suspicions over the real motives behind his removal.
• Minister Nobuhle Nkabane’s exit from Higher Education followed the delay in appointing SETA board chairs amid widespread SETA corruption – a move many saw coming.
• The suspension of DPP Andrew Chauke was overdue, reinforcing concerns of a compromised NPA as recently raised by NDPP Shamila Batohi. Chauke’s failure to act on cases involving Richard Mdluli and Zizi Kodwa cast doubt on prosecutorial independence.
Across these cases and others cases (such as Adv Tembi Simelani’s move from Minister of Justice to Housing), we see a consistent pattern of President Ramaphosa’s inconsistency, and at times sluggishness, in responding to accountability challenges. This lack of decisive leadership and the frequent absence of meaningful consequences continues to erode public confidence in our institutions.
OUTA’s engagements with Whistleblowers and exposing SETA Corruption
In parallel, OUTA has had an extremely active month on the whistleblower front. We’ve shared a number interviews in our Whistleblower series, the courageous stories of insiders who continue to lift the lid on the deep rot within a number of the Sector Education and Training Authorities (SETAs).
What we’re seeing is a deliberate systemic failure in governance - driven by political interference, weak oversight, and compromised leadership. Some of recurring issues include:
• Irrational spending and tender manipulation, enabling corrupt money flows between internal enables, external “businesses” and political controllers;
• Conflicts of interest of Board Members: Aside from Board attendance fees and often excessive unnecessary board meetings, many SETA Board members receive funds, in the form of support, sponsorships, grants, bursaries etc - paid to their own businesses. This requires thorough investigation, as it directly compromises governance and the oversight roles of Board Members;
• Repeated qualified audits, yet CEOs and CFOs remain in office without consequence;
• Parliamentary portfolio committees failing in their oversight responsibilities, despite red flags from the Auditor-General and testimony from whistleblowers.
We firmly believe that until there is a radical clean-up, starting with the appointment of fit-for-purpose board members and chairpersons, stronger oversight mechanisms, and the removal of executives implicated in financial mismanagement, the SETAs will remain a source of waste and corruption and ultimately undermining their mandate as drivers of skills development.
Eskom’s Pricing Crisis and Solar Discrimination
This month we also intensified our focus on Eskom’s pricing structures, which continue to punish consumers for the utility’s internal failures. Aside from numerous inefficiencies that drive up costs inside Eskom (coal quality and delivery issues, low productivity, excessive headcount), we believe Eskom’s poor management and failure to control the following has resulted in around R60 billion in unnecessary costs passed on to consumers:
• Electricity theft,
• Municipal non-payment, and
• Ghost vending of fraudulent pre-paid tokens.
These losses should not be passed on to consumers and we believe that NERSA, as the energy regulator, must be called on to intervene.
Additionally, Eskom’s plans to target Solar PV users with restricted tariff options and other discriminatory conditions, and potential extra charges, are deeply concerning. These plans appear legally and constitutionally deficient and OUTA has formally requested a meeting with Eskom to discuss this matter, after which we will consider future actions to protect the rights of responsible energy users and businesses investing in clean power.
Closing Thoughts: Don’t become overwhelmed
In this month’s newsletter, we feature updates on the recent Transnet arrests, our legal challenge of Joburg’s CCTV bylaw, and matters unfolding in the Department of Transport.
At OUTA, we are fuelled by our core values of integrity, justice, courage, and resilience. These values guide a team that brings high energy and deep purpose to our mission of defending our democracy from the abuse of power.
We must continue to remind ourselves that we’re not a divided nation. We’re a betrayed one. The real split isn’t between race or class. It’s between a fed-up public and a political class that’s long since stopped listening. We don’t need a dialogue to unpack the solutions required to unlock our prosperity.
Yes, our work is challenging. Corruption is entrenched and has become endemic within many state departments and municipalities. The resistance is fierce – but so is our resolve.
We can only do this because you believe in us. To every supporter who makes our work possible: thank you. Together, we will continue to hold the line for a better South Africa.
Yours in accountability,
Wayne Duvenage