Exiting Independent Communications Authority of SA (ICASA) councillor Joseph Lebooa has taken the regulator - which oversees a multibillion-rand industry - to task over what he claims is its under-delivery and budgetary squandering.
These allegations are levelled against the regulator by Lebooa - one of four prematurely "dismissed" regulatory officials - in his exit report, recently submitted to Parliament's portfolio committees on telecoms and postal services as well as communications.
Lebooa alleges ICASA has not delivered on its promises to Parliament, and "to the people of South Africa". He says what it has achieved has been "inferior" to what was expected. He also alleges its budget has been "squandered" year after year, with no targets being met.
In the 2013/14 financial year - the latest available numbers for the regulator - its annual report shows total income of R397 million, while its expenses came to R334 million, and it had a R67.5 million surplus.
The report, released at the end of October, also noted the Auditor General's concerns about its inability to bring in debt from licensees, which led to trade receivables being written down by R114.7 million, and it underspent its conditional grant by R93 million.
"Every single item of the budget, such as, for example, stationery, travel, hotel accommodation, conferences, etc, has typically been spent to the fullest, while the strategic objectives and predetermined objectives contracted with Parliament have consistently never been met," alleges Lebooa.
Cleaning up
However, ICASA achieved its second clean audit in a row, which Lebooa claims is thanks to his intervention in chairing a "clean audit committee" to reverse the authority's previous "embarrassing" position of three qualified audits in a row. He notes when he joined the regulator, in October 2010 - until his departure at the end of September - it had already received two qualified audits, and then went on to receive its third such qualification.
Lebooa claims corruption and irregular management at ICASA were the root causes behind its audit qualifications and problems with revenue collection. He alleges, when he joined the regulator, it had no work culture, or established procedures, and "everything was done arbitrarily".
Moreover, alleges Lebooa, ICASA preferred to have financial irregularities rather than "expose and punish those that committed the irregularities". He alleges: "Since there was no consequence, everyone seemed comfortable with an audit qualification year after year. It was definitely easier to obtain a qualification than to try and fix the problem."
Lebooa also argues employees have received bonuses, yet what the regulator delivered has not justified the additional payouts. He says there has been no alignment between performance contracts and bonuses, and - despite less than half of predetermined objectives being met - management and council would "happily pay bonuses for jobs not done".
ICASA's annual report also shows, of the 22 planned internal audits, only 13 - or 59% - were achieved, and it only met 41% of its planned targets.
Minister of communications Faith Muthambi has maintained Lebooa - along with William Currie, William Stucke and Miki Ndhlovu - were duly dismissed according to the ICASA Act, which only allows councillors four-year terms. ICASA failed to respond to a request for comment on Lebooa's allegations.
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