Durban — The Department of Economic Development, Tourism & Environmental Affairs (Edtea) said it was a fabrication to suggest that the department and its entities would soon be brought to their knees.
This comes after the DA in KwaZulu-Natal said it would unpack a series of explosive claims of fraud and corruption within Edtea on Tuesday.
The DA said the information had recently been brought to its attention by several whistle-blowers within Edtea.
“According to the allegations, the department and some entities are barely functioning as a result of money being syphoned by high-ranking senior officials for their own personal use. Edtea has further been described as a ticking time bomb that will soon be brought to its knees,” the party said.
The DA said it acknowledged that the information was based on allegations but the contents were extremely serious.
“They warrant intense independent scrutiny and the DA will outline the way forward in this regard.”
Edtea spokesperson Ndabezinhle Sibiya said the department had no information or documentation except a media alert that had been sent to them by media houses. “It is a clear indication that as we are heading to the elections, theatrics are going to be commonplace,” said Sibiya.
The writers of the DA statement were hired amateurs who lived in an imaginary world, not in KZN, he said.
He added that in August, the auditor-general presented the department with a Clean Audit Outcome Report for the financial year 2022/23.
Sibiya said about nine of their entities also received clean audits.
“This report is a source of encouragement as we work harder to convert the province’s undoubted economic development potential for the benefit of the people. By and large, the latest AG report was a tribute to all categories of staff in the department and its entities for their unwavering efforts to use public funds wisely – create jobs and lift people out of abject poverty,” said Sibiya.
When Edtea MEC Siboniso Duma assumed his responsibilities in August 2022, he offered not only to play an active role towards rebuilding the economy, but to ensure accountability and good governance, Sibiya said.
At the beginning of October, Duma met top management, chairpersons and CEOs of entities where issues of good governance were discussed.
“On top of the agenda was the strengthening of the implementation of an economic recovery and reconstruction plan. It was agreed that the department and its entities will accelerate the equitable distribution of economic opportunities to uplift people living below the poverty line. The focus is in the townships and rural areas,” he said.
Sibiya further said there was a clear focus on co-operatives, SMMEs (Small, Medium and Micro Enterprises) and on black industrial development programmes.
He said they were focusing on strengthening interventions in the informal economy, entrepreneurship revolution and their enduring partnership with the captains of industry.
Sibiya added that the entities under the department had an endless list of achievements in relation to becoming engines for job creation.
“For instance, Richards Bay Industrial Development Zone and Dube Trade Port have attracted investments of more than R25 billion. All other entities have clear job opportunities created for the people. Last, Tourism KwaZulu-Natal, Ithala Development Finance and Ithala SOC Limited received unqualified reports from the AG. Ezemvelo KZN Wildlife received a qualified material findings report. These entities were requested by the MEC to account and to also present a turnaround strategy,” said Sibiya.
Moreover, Sibiya said the three entities appeared before the Standing Committee on Public Accounts last week where shortcomings and areas of weaknesses were explained.
He said the plans to turn around the situation were presented and accepted by members of the committee drawn from all political parties.
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