News 24 has reported that he police’s Directorate for Priority Crime Investigation (the Hawks) accuses Finance Minister Pravin Gordhan of acting corruptly by granting early retirement to the former deputy head of Sars, Ivan Pillay.
In a letter sent by the Hawks to Gordhan on Monday, Major-General MS Ledwaba states that Gordhan’s alleged actions “amount to” unauthorised expenditure and/or fruitless and wasteful expenditure in terms of the Public Finance Management Act and corruption in terms of the Prevention of Corrupt Activities Act.
This is the first time it has been revealed that the law enforcement agencies are investigating Gordhan for corruption.
In his letter, Ledwaba writes that Gordhan (as finance minister) had “approved that then deputy commission of Sars, Ivan Pillay, could take early retirement at 56 with full retirement benefits” from 1 August 2010 and that his employer should pay his early retirement penalty to the amount of R1 258 359 “despite the early retirement being for personal considerations of the employee when ordinarily the employee must pay the early retirement penalty in terms of the law”.
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