Public sector 1

Solly Malatsi, DCDT

The Department of Communications and Digital Technologies (DCDT) oversees Broadband Infraco (BBI), Film and Publications Board (FPB), Independent Communications Authority of South Africa (ICASA), National Electronic Media Institute of South Africa (NEMISA), Postbank, South African Broadcasting Corporation (SABC), South African Post Office (SAPO), State Information Technology Agency (SITA), Universal Service and Access Agency of South Africa (USAASA), Sentech and .ZA Domain Name Authority (ZADNA). These 11 entities all have a direct impact on the digital future of South Africa. It is also, for the DCDT, a massive undertaking as it tackles corruption, leadership uncertainty and complexity to bring these entities to heel, and up to their full potential.

Over the past year alone, the DCDT portfolio has been characterised by a pattern of irregular expenditure, weak controls, politically-driven decisions, and slow consequence management across several entities. Some are now on the brink of collapse or intervention. The Hawks are handling 21 fraud and corruption cases involving SAPO, Postbank and SASSA social grants with losses of more than R158 million. The SABC is one of several state-owned entities subject to Special Investigating Unit proclamations with a focus on procurement irregularities, irregular expenditure and state-capture-type contracts. USAASA has a long history of governance and corruption issues around universal service and access funding; there are concerns that ICASA has been misusing public funds; BBI is struggling with financial distress and a legal dispute with Eskom; the FPB has been accused of overreach, unconstitutionality, and its CEO recently resigned after a three-month tenure; meanwhile ZADNA’s CEO is currently on precautionary suspension due to alleged misconduct.