Sars spy unit report to stay under wraps

Sars Commissioner, Mr Thomas (Tom) Swabihi Moyane

Sars Commissioner, Mr Thomas (Tom) Swabihi Moyane

Published Mar 25, 2015

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Parliament, Cape Town - Releasing the Sikhakhane report into the now disbanded rogue spy unit which operated at the South African Revenue Service (SARS) would be prejudicial, SARS commissioner Tom Moyane told MPs on Tuesday.

“Given the nature of the report and other processes which are dependent on the report, we are of the opinion and feeling that releasing the Sikhakhane report at this point in time would be prejudicial to the processes that are in place,” Moyane said while briefing Parliament’s standing committee on finance.

Moyane gave MPs a brief synopsis of the findings and recommendations of the report, but said that until a forensic investigation by KPMG auditors was complete, the full report by Advocate Muzi Sikhakhane could not be made public.

“The findings of the Sikhakhane report are…that the establishment, existence, and operations of the national research group and/or the high risk investigation unit were unlawful and without the requisite statutory authority. Two, that the unit was operated ostensibly in a covert manner and created a climate of intrigue, fear, subterfuge within SARS,” said Moyane.

“Then it also indicated that there was prima facie evidence that the unit may have abused its powers and resources by engaging in activities that reside in agencies of government and which it had no lawful authority for. The other was that there was prima facie evidence that the unit’s acitivites may have included rogue behaviour that had had the potential to damage the reputation of SARS as an organ of state.”

The Sikhakhane report contained several recommendations, including that the unit be disbanded and that persons involved in the work of the unit be protected from intimidation and be incorporated into SARS official and civilian structures.

“The report said SARS put in place a number of processes to investigate and reverse incidents of malpractice emanating from the Sikhakhane report,” Moyane said.

“Emanating from the Sikhakhane report, we as SARS brought in a forensic firm working together with senior counsel to conduct forensic and legal evidence analysis. The KPMG report is expected to be completed by June of this year.”

Moyane said SARS was working hard to ensure the scandal did not dent SARS’ image further.

The rogue unit is alleged to have illegally spied on taxpayers, including high-profile criminals, SARS officials as well as politicians.

African News Agency

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