Note to Editors: Please see attached soundbite by Toby Chance MP
Following sustained pressure from the Democratic Alliance (DA), the Minister of Trade, Industry and Competition (the dtic), Parks Tau, has authorised an independent investigation into governance and performance failures at the South African Bureau of Standards (SABS). While we welcome this decision, it should not have taken months of advocacy to prompt action, especially given the seriousness of whistleblower allegations.
Minister Tau was summoned before the DTIC Portfolio Committee yesterday to account for his prolonged inaction. Multiple allegations of misconduct had been submitted to him, department officials and the DA, yet no immediate steps were taken. The Minister and the Department finally acknowledged the credibility of the allegations and the need of an independent investigation The investigation is expected to commence in early February, and we have called for the immediate publication of its terms of reference and expected completion date.
SABS is a crucial institution in South Africa, mandated with ensuring that all products manufactured are safe. This cannot be guaranteed if SABS is unstable.
Since the first whistleblower report was received on 4 August 2024, a pattern of serious governance failures at SABS has emerged, including negligence in infrastructure maintenance, outdated IT systems, procurement and recruitment irregularities and flawed governance processes. The most serious failure is the ransomware cyber-attack on the SABS in November and the inadequate disaster recovery measures put in place to deal with it.
Instead of addressing these deficiencies, whistleblowers have reportedly faced intimidation. Junior staff and middle management have borne the brunt of disciplinary actions, while senior executives have evaded accountability.
The issues at SABS mirror governance failures previously uncovered at the National Lottery Commission (NLC), where years of malpractice, corruption and mismanagement were ultimately exposed. This pattern underscores fundamental weaknesses in the governance structures of key state institutions.
The existing systems for reporting and investigating allegations have proven inadequate. The DTIC’s internal review processes have been slow and ineffective, failing to hold board members and executives accountable. The department cannot rely on the veracity and impartiality of reports from the very people implicated by the whistleblowers.
While the investigation is underway, the DA calls for the following urgent actions:
- Implementation of Transparent Governance Policies: Strengthen mechanisms to ensure transparency, accountability and consequence management at SABS and other DTIC entities.
- Protection of Whistleblowers: Establish independent and secure systems to protect whistleblowers from retaliation, ensuring impartial investigations.
- Modernisation of Infrastructure: Address critical shortcomings in SABS infrastructure, technology and operational processes to restore credibility and functionality.
The DA remains committed to holding all DTIC-affiliated entities to the highest standards. The continued deterioration of vital state institutions, such as the SABS, constitutes a national crisis that demands urgent and decisive action.
We will continue to hold government accountable and protect South Africans from the consequences of poor governance and corruption. The time for action is now.