- ActionSA Seeks Clarification on GPAA Expenditure: ActionSA has written to Finance Minister Enoch Godongwana requesting urgent verification regarding allegations of irregular spending by the Government Pensions Administration Agency (GPAA), which reportedly involved millions spent on an unusable building.
- Allegations of Fictitious Payments and Lease Irregularities: The allegations, based on a News24 investigation, claim that the GPAA paid over R60 million under a lease agreement that appears invalid, raising concerns over financial misconduct related to refurbishment costs for a building they cannot legally access.
- Concerns Over Governance and Accountability: The party emphasizes that these allegations threaten public trust by highlighting potential breaches of governance, accountability, and compliance with the Public Finance Management Act (PFMA), given the GPAA’s role in managing public servants’ pension funds.
ActionSA has written to Finance Minister Enoch Godongwana seeking urgent clarification on allegations of irregular expenditure by the Government Pensions Administration Agency (GPAA).
The concerns stem from a News24 investigation titled “Ghost contract: No building, but govt pensions agency paid R270 million for lavish refurb”, which revealed that the GPAA reportedly spent millions on refurbishments for a building it has no legal access to. Payments exceeding R60 million were allegedly made under a lease agreement that appears invalid and possibly fictitious.
As the body responsible for managing the Government Employees Pension Fund, the GPAA is entrusted with safeguarding the retirement savings of thousands of public servants. ActionSA says the allegations raise serious questions about governance, accountability, and compliance with the Public Finance Management Act (PFMA).
In its letter, the party has asked the Minister to confirm whether these payments were authorised, whether they were reported to the National Treasury, and what steps are being taken to recover misused funds. ActionSA also wants assurances that measures will be implemented to strengthen internal controls and prevent future abuses.
“Government employees deserve confidence that their pensions are managed with integrity. Allegations of irregular and unauthorised spending erode that trust and cannot be ignored,” the party stated.
ActionSA has given the Minister seven days to respond, warning that failure to do so will result in the matter being escalated to Parliament and relevant oversight bodies. The party insists that public servants’ money must be protected from corruption and mismanagement.
