Johannesburg – Former chief justice Sandile Ngcobo would chair the disciplinary processes against SA Revenue Service deputy commissioner Ivan Pillay and head of strategic planning Peter Richer, an advisory board said on Tuesday.
“These processes are underway, and SARS has appointed the honourable former chief justice Ngcobo to preside over the disciplinary proceedings,” said chairman of the board, retired judge Frank Kroon.
The revenue collector accused Pillay and Richer for being instrumental in the establishment of the so-called “rogue” unit within SARS. Advocate Muzi Sikhakhane, was appointed by the revenue collector in 2014 to investigate the allegations into complaints of impropriety against Johann van Loggerenberg, a senior SARS official. The result of the investigation, widely known as Sikhakhane report, was studied extensively by the board, Kroon said.
Sikhakhane also investigated the rogue unit. The report was not made public.
“Mr Loggenberg has since resigned from SARS and can accordingly not be subjected to any disciplinary proceedings. SARS reserves the right its right as far as other contraventions are concerned,” Kroon said.
Auditors KPMG and an independent counsel have been commissioned by SARS to look further into the establishment of the unit, he said. “The investigation has not been completed.”
Kroon and his board could not explain how much money was used at the unit and whether any prominent people were spied on through the unit’s covert intelligence operations.
“The money spent would be part and parcel of the investigation. As the unit was unlawful, there was no budget set up for its operations or allocated,” said committee member Bonga Mokoena.
Commissioner Tom Moyane disbanded the unit upon his appointment by President Jacob Zuma last year.
“Under the auspices of SARS human resources division, a programme of reintegration of members of the unit into the normal SARS operations have been in progress for some months.”
Kroon said the board has recommended to SARS that the Sikhakhane report be made public.
In December last year, Pillay and Richer were suspended amid allegations of the rogue unit at the revenue collector.
Pillay’s suspension was overturned by the Labour Court in Johannesburg. He was then served with a second notice of suspension.
In February, the dispute between SARS and Pillay was settled but he remained suspended.
The dispute was with regard to the suspension in December and was “amicably resolved” through conciliation at the Commission for Conciliation, Mediation and Arbitration.
Finance Minister Nhlanhla Nene in February announced the appointment of the advisory committee, chaired by Kroon to help fix the problems at SARS.
ANA