I asked Moyane to halt Sars restructuring, says Gordhan
Updated | By Gaopalelwe Phalaetsile
Public Enterprises Minister Pravin Gordhan has told the commission of inquiry into governance at the South African Revenue Service (Sars) that he asked suspended commissioner Tom Moyane to stop the restructuring of the revenue service in 2015.
Gordhan is the first witness to appear before the commission, which is being led by Judge Robert Nugent.
The inquiry is investigating various aspects of the revenue service, including the reasons for the R50 billion revenue shortfall and the enormous staff exodus since 2014.
Gordhan told the commission that when he was reappointed as finance minister by former President Jacob Zuma in 2015, he approached Moyane restructuring process but was never given any details.
“There was a deficit of information provision, to put it politely. Our first meeting was on the 15 of December 2015 and I said halt this process and come and tell me what is happening and that didn’t happen, all I was told was that the processes needed to continue”.
In his 140-page powerpoint presentation detailing his tenure as Sars commissioner between 1999 and 2009, Gordhan explained that the taxman was able to achieve annual revenue growth of 12.6%.
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He denied any suggestion that Moyane decided to restructure because the existing model was not functioning.
Gordhan also defended his decision to approve early retirement for former Sars official Ivan Pillay in 2009, when he was still finance minister.
“My normal practice would be to get some precedent for something that had already happened or get advice from experts. I did speak to a senior official who said that is normal practice in public service. After having done all those checks and balances I then approved his retirement payment.”
He says the reason the early retirement became embroiled in controversy was due to the revelations of state capture revelations and his role in exposing it.
Pillay is also expected to testify at the commission.
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