Covid-19 corruption: Sars probing 17 ‘politically exposed’ companies
The South African Revenue Service (Sars) is investigating 17 politically-connected companies in connection with the awarding of tenders to supply personal protective gear.
The tenders were worth a combined R1.2 billion.
Sars commissioner Edward Kieswetter said the investigation forms part of a bigger probe into PPE corruption worth R2 billion.
Kieswetter briefed the Standing Committee on Public Accounts (Scopa) on the probe into the looting of Covid-19 funds on Friday.
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Makwetu briefed the Standing Committee on Public Accounts (Scopa) on the probe into the looting of the stimulus package on Friday. "What our report is currently revealing is that the amounts that have exchanged hands, in respect of the areas were the allocations have been made, are nowhere near the full amount of the budget that was put aside, in terms of the R500 billion," said Makwetu.
He said none of the 17 companies has any prior history or experience in the sector.
"You'd be surprised to know that many companies were previously registered, but they were not in the PPE business.
"We found providers that are registered as pubs, as IT companies, as car washing companies, as property letting companies, as bakeries and events management companies and they had been successful, notwithstanding the fact that they had no experience in providing PPEs to government.
"Seventeen of those tenders involved politically-exposed persons to the value of R1.2 billion which represent 60% of the total of R2 billion which we are currently investigating.”
Listen to Kieswetter below: