Memorandum from the Parliamentary Office
NATIONAL ASSEMBLY
FOR WRITTEN REPLY
QUESTION 340
DATE OF PUBLICATION OF INTERNAL QUESTION PAPER: 19/02/2016
(INTERNAL QUESTION PAPER 2 OF 2016)
Mrs Z B N Balindlela (DA) to ask the Minister of Higher Education and
Training:
In relation to the Close-Out Forensic Report to the Construction Education
and Training Authority (CETA) submitted to the CETA in approximately 2011
by Assurance Advisors, (a) what precise steps were taken by the CETA to
address (i) each of the eight areas of non-compliance with applicable
legislation and the CETA discretionary grant policy by CETA officials,
employers and training providers, (ii) the 20 out of 25 projects audited
which were found to be fraudulent, (iii) the seven projects with a total
value of R45 million which could not be investigated because they were
either sub-judice or the employers concerned were not contactable, (iv) the
matters reported to the SA Police Service for further investigation,
including areas where lifestyle audits were recommended, (v) the six major
operating systems, policies or procedures that were in need of revision as
they did not conform to legislation or to best practice, (vi) the two
possible syndicates identified in the Free State region and the officials
implicated in those possible syndicates and (vii) the six training
providers identified as fraudulent, transgressive, poorly controlled and
impossible to get hold of, (b) what consequences were faced by implicated
officials and recipients of funding in each case, (c) what preventive steps
have been taken to prevent similar transgressions in the future and (d)
what remedies were put in place to compensate students in cases where they
were misled in respect of the specified projects into thinking they would
be properly trained and certificated, only to find out that the project was
fraudulent or inadequate?
NW350E
REPLY:
a) (i) The Construction Education and Training Authority (CETA)
implemented the
recommendations of the forensic report as follows:
|Recommendations |Steps taken |
|Disciplinary process |CETA instituted disciplinary proceedings against |
| |the affected officials. |
|Cancellation of |CETA cancelled all affected projects. |
|projects | |
|Payments to be made |Payments were made only once certain requirements|
| |were met. |
ii) CETA cancelled all affected projects as per the recommendation.
iii) All reports were forensically audited.
iv) CETA is cooperative and assisting the South African Police
Services in the investigation. However, CETA is not aware of any
recommendation to conduct lifestyle audits.
v) Since CETA was put under administration, all policies have been
reviewed and are in line with the relevant applicable legislations.
vi) CETA does not have any evidence relating to possible syndicates.
After CETA was put under administration, CETA implemented strict
procedures in relation to its project allocation and payment
processes.
vii) The accreditation of the following training providers were suspended:
⢠Rowan Tree Skills Training Centre;
⢠Educonstruct;
⢠Kelopile Training Matters;
⢠Ingomso Lwetu Training Centre;
⢠Vutsila Training Services; and
⢠Seemo Consulting Engineers.
b) Disciplinary proceedings were instituted against the affected officials.
c) In order to prevent occurrences of similar transgressions in the future,
CETA drastically changed its project allocation, implementation and payment
processes. In respect of the project allocation, the process is initiated
by CETAâs Projects Management Unit, which conducts a needs analysis, the
basis of which is derived from:
⢠CETA Sector Skills Plan;
⢠CETA Five year strategic plan;
⢠CETA Annual Performance Plan;
⢠National Skills Development Strategy; and
⢠Service Level Agreements.
d) In cases where students have not received adequate training, CETA
ensures that those students are subjected to an assessment process and the
Recognition of Prior Learning programme. If CETA, through its assessment,
is of the opinion that there is a need for continued training, CETA ensures
that the relevant learner is reintroduced to the programme.
Compiler/contact persons:
Ext:
DIRECTOR â GENERAL
STATUS:
DATE:
REPLY TO QUESTION 340 APPROVED/NOT APPROVED/AMENDED
Dr BE NZIMANDE, MP
MINISTER OF HIGHER EDUCATION AND TRAINING
STATUS:
DATE: