EFF statement on the President and Commander in Chief’s letter to Cyril Ramaphosa demanding the release of the SIU report on the National Treasury’s corrupt FMS tender

20 October 2024

The Economic Freedom Fighters (EFF) President and Commander in Chief Julius Malema has written a letter to the President of the Republic of South Africa Cyril Ramaphosa to demand the release of the Special Investigation Unit (SIU) investigation report on the National Treasury's corrupt Integrated Financial Management Systems (IFMS) tender.

The EFF condemns the continued concealment of this report, despite it being submitted to the President in March 2024. The IFMS project, which has seen the National Treasury waste approximately R400 million on irregularly awarded contract, is a clear case of corruption and financial mismanagement. This massive financial loss has been flagged by the Auditor General of South Africa, yet the government remains silent on holding accountable those responsible.

The SIU investigation revealed that the project was tainted by irregularities, non-compliance with legislation, and fruitless and wasteful expenditure, making it imperative that the public be informed of the findings. Withholding this report undermines transparency, accountability, and the principles enshrined in our Constitution, which demand that the National Treasury manages public funds responsibly.

The letter, which is also being publicly released, calls for the immediate disclosure of the report and decisive action to address the corruption surrounding the IFMS project.

The EFF views this failure to release the report as a protection of corruption and a betrayal of public trust.

The people of South Africa deserve to know the truth about how their resources are being wasted. Failure to release the SIU report will confirm this administration's complicity in protecting corruption at the expense of the nation.

We call on President Ramaphosa to uphold the values of transparency and accountability by immediately releasing the SIU report.

Issued by Leigh-Ann Mathys, National Spokesperson, EFF, 21 October 2024

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Demand for immediate release of the SIU report on the IFMS project awarded to Oracle

Dear President,

The Economic Freedom Fighters (EFF) hereby urgently demands the immediate release of the Special Investigating Unit (SIU) report into the Integrated Financial Management Systems (IFMS) project, as per Proclamation No. R40 of 2020. It is unacceptable that despite the SIU providing you with this report in March 2024, the findings remain hidden from the public, particularly given the magnitude of corruption and wasteful expenditure surrounding the IFMS project at the National Treasury.

The National Treasury has, to date, wasted approximately R400 million in this contract, with the Auditor General of South Africa flagging this as material financial loss due to payment for services not rendered, in a contract that was awarded irregularly and in a corrupt manner. It is alarming that even after the National Treasury's own investigation confirmed the corrupt nature of the award, the payments to Oracle have continued, the National Treasury continues to defend the indefensible, revealing an outrageous disregard for public finances.

The high-level findings of the SIU make it clear that the processes followed were riddled with irregularities, non-compliance with Supply Chain Management (SCM) policies and legislation, conflict of interest, and fruitless and wasteful expenditure. Yet, by withholding this report, you are choosing to shield these malpractices instead of taking decisive action to protect public money.

Section 215 of the Constitution mandates that the National Treasury must promote transparency, accountability, and the effective management of the economy. The continued financial losses incurred through this project, without the release of the report, violate these constitutional obligations.

Furthermore, concealing this information undermines public confidence in our financial systems and erodes trust in the National Treasury's ability to act in the best interests of the country.

The people of South Africa deserve to know the truth. This is not just about corruption—it's about the principles of transparency and accountability that you are entrusted to uphold. Your failure to release the SIU report represents a blatant disregard for these values. Every day of delay undermines the Constitution, allows continued waste of public resources, and diminishes trust in the institutions tasked with safeguarding public funds.

We, therefore, demand that you immediately make public the findings of the SIU investigation and take swift action to address the irregularities and corruption surrounding the IFMS project. Failure to do so will confirm your administration's complicity in the abuse of public resources and corruption.

We trust you will act with the urgency that this matter demands.

Revolutionary regards

Julius Malema

PRESIDENT AND COMMANDER IN CHIEF

Economic Freedom Fighters

Marshall Street, Marshalltown