17.5 C
Thursday, May 23, 2019
Home Breaking News Parly questions Post Office chair's commitment

Parly questions Post Office chair’s commitment

The Standing Committee on Public Accounts (Scopa) has questioned the commitment of the South African Post Office (Sapo) chair after he failed to appear at a key hearing. By Duncan Alfreds, NewsAgency

Sapo chair Dr Simosezwe Lushaba failed to appear before the committee on Tuesday after the Post Office posted a R1.5bn loss for the 2015 financial year.

Lushaba also failed to show up at a recent telecommunications and postal services parliamentary hearing.

“He shows no commitment; he doesn’t understand the expenditures that we need to answer for and the corruption that has run deep into the Post Office, he has not been able to come and account for it,” Scopa member Nyamezela Booi told Fin24.

Sapo’s newly appointed chief executive officer Mark Barnes and acting chief financial officer Nicola Dewar were present at the hearing on Tuesday, but the committee demanded that Lushaba should have been in attendance.

“In terms of the law, the people who must come and talk to us is the board – your board,” said Scopa chair Themba Godi.

“I cannot accept that a correspondence that was sent in good time, and the chairperson is not here,” he added.

Fin24 reached out to Sapo about the Scopa members’ statements but Lushaba declined to comment.

Massive losses

Lushaba was the Sapo administrator before being appointed to chair the state-owned entity. The reported loss of R1.5bn also occurred under his watch.

“The reality is that he is conflicted. He’s been an administrator – now he’s chairing,” said Booi.

“We want to get clarity on that – the work they have doing before. There’s been a probe by the Public Protector; there’s been a probe by the Hawks. Everybody’s been on this particular institution. We thought that the chairperson out of good consciousness would come and account – that’s the point,” he added.

The Auditor General earlier this year also found that the Post Office regressed on the reliability of financial statements, performance reports and compliance with key legislation.

On Tuesday, CEO Barnes was prevented from providing the committee with details of a turnaround plan intended to move Sapo to profit by a self-imposed 2018 deadline.

“The turnaround plans come at the end. For the past few years, they been in the deep end with financial expenditures that the Auditor General has identified to be very problematic,” said Booi.

Booi said that Minster of Telecommunications and Postal Services Siyabonga Cwele should encourage accountability.

“At the end of the day, the minister must come forward and tell us what he will do because he appoints them. We want answers and accountability,” said Booi. – Fin24


Please enter your comment!
Please enter your name here

Must Read

How Technology is Driving Down the Price of Insurance & Improving the Service

­­­­Insurance has been known as the dinosaur in the tech space but things are changing at a rapid pace. A large amount of traditional...

The City Of Joburg Is Selling Its Failed Broadband Network Asset

The City of Johannesburg (CoJ) is selling its failed broadband network asset to a third party, according to a notice on the company’s website. The...

Vodacom May Make A Bid To Buy Broadband Infraco

Vodacom is looking at the possibility of making a bid for state-owned internet company Broadband Infraco, according to people with knowledge of the situation. The...

South African Regtech Startup Intergreatme CrowdFunds R29 Million

South African regtech startup Intergreatme has raised R29 million on Uprise.Africa crowdfunding campaign. Intergreatme wanted to raise R24 million from the crowd to grow its...

Is It Possible You’ve Been Collecting Data For No Reason?

by Yashar Behzadi Artificial intelligence has ignited a fire of excitement throughout the business world. The idea of systems that can identify, categorize and comprehend inputs...