The Special Investigating Unit (SIU) is set to probe whether serious maladministration, unlawful conduct and unlawful expenditure have taken place at the embattled Universal Service and Access Agency of SA (USAASA).
The probe into the affairs of the agency will also look into whether there was intentional or negligent loss of public money, or damage to state property, notes a statement released by the Presidency.
USAASA, which was set up as government's way of bridging the digital divide, was established under the Electronic Communications Act to promote the goals of universal access and universal service in the under-serviced areas of SA.
Its mandate includes facilitating access to telecommunications in under-serviced areas. It has also been tasked with providing subsidised set-top boxes to poor households that cannot afford them.
However, it has recently been rocked by allegations of possible corruption and maladministration, and communications minister Yunus Carrim has said its role would be reviewed.
Wide-sweeping
Now, president Jacob Zuma has mandated the SIU to investigate allegations of serious maladministration in connection with the affairs of the agency and its board, improper or unlawful conduct by its employees, as well as unlawful appropriation or expenditure of public money or property.
The scope of the probe will also look into whether there was "unlawful, irregular or unapproved acquisitive act, transaction, measure or practice having a bearing upon state property", says a statement issued by the Presidency.
In addition, the SIU will look into allegations around intentional or negligent loss of public money or damage to public property, as well as unlawful or improper conduct by any person that could have caused harm to the interests of the public.
USAASA's funding of R500 million to an unnamed service provider for the construction and expansion of an electronic communications network for Emalahleni Local Municipality and the purchase of services for the Rapid Deployment of Public Access Facilities Programme will also be investigated.
According to Zuma's proclamation, the SIU will also investigate whether there was maladministration during the recruitment process to appoint a CEO.
In July, the Department of Communications (DOC), which has oversight of USAASA, tasked independent investigator Gobodo to look into the allegations of possible corruption and maladministration at USAASA.
This followed a letter sent by United Democratic Movement leader Bantu Holomisa to Zuma, alleging he has "disturbing information about the looting of state resources" at the agency.
Among Holomisa's allegations were that USAASA CEO Zam Nkosi had worked with chairperson Pumla Radebe while both were at Pikitup and that Nkosi uses Radebe as a reference on his CV, but Radebe did not recuse herself from the appointment process. He alleges Nkosi did not qualify for the position.
It is not clear whether Nkosi is still at the helm of the agency, as he is not listed on its Web site as a director, and an organogram shows six board positions, and names six directors, but without providing their roles. There has not been an official announcement from the agency about a change in leadership.
More investigations
In addition to questions around Nkosi's current role, there are several other outstanding issues at USAASA. Former Congress of the People member of Parliament Juli Kilian, who is now on the African National Congress' National Assembly list, recently asked Carrim what action has been taken against the agency for flouting legislation when Nkosi was hired.
Kilian also asked why Nkosi's contract was not terminated after the report was tabled, and why the entire board was not removed.
Carrim - in response to the Parliamentary question - said the department had tried to settle the issues with the board and CEO, but this was unsuccessful. This followed the release of a draft forensic report by Gobodo, which has not been made public.
The report and the board's response to it were sent to the office of the chief state law advisor, which advised the department to conduct another forensic investigation, said Carrim. He said this is now being done and, if the "final report provides the legal basis to take action, the ministry and USAASA board will have no choice but to do so".
In the meantime, the question of whether USAASA is relevant or needed, as an entity, is a matter that will be explored in the ICT review process, Carrim told Parliament last month. He said he was not attempting to paper over any cracks, but that legal guidelines must be followed.
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