The Gauteng Department of Social Development is facing mounting scrutiny over more than R220 million in irregular expenditure, with allegations of a breakdown in financial oversight, while the department insists the funds were used to deliver food parcels and dignity packs.
The controversy centres on spending recorded across the 2023/24 and 2024/25 financial years, which the Democratic Alliance (DA) says reflects systemic failures in accountability, but which the department maintains was incurred under a lawful deviation process in response to urgent needs.
DA Gauteng Shadow MEC for Social Development Refiloe Nt’sekhe accused former MEC Faith Mazibuko of shielding senior officials, including the chief financial officer, from accountability despite concerns raised by the Auditor-General under the Public Finance Management Act (PFMA).
“The ballooning irregular expenditure is not a technical error; it is a complete breakdown of financial controls in a department entrusted to care for the most vulnerable.”
Nt’sekhe said repeated questions posed in the Gauteng Provincial Legislature revealed that no action had been taken against officials linked to the expenditure, even after warnings about fruitless and wasteful spending.
“The CFO, Risk Auditors, and Internal Auditors clearly violated the PFMA by failing to advise the HOD on these financial mishaps. Meanwhile, MEC Mazibuko is equally at fault for ignoring the DA’s warnings about wasteful spending in her department. She had a chance to act against these individuals but refused to do so,” she said.
The Public Finance Management Act 1 of 1999 (PFMA) is South Africa’s primary legislation regulating financial management in national and provincial governments.
The DA has since escalated the matter, stating it will approach the Public Service Commission to investigate whether officials involved should be barred from future public service roles.
However, the department has pushed back, rejecting suggestions that the funds were misused and arguing the expenditure must be viewed within the context of service delivery.
The department said the R220 million relates to a deviation approved by the former accounting officer during the 2023/24 financial year to procure food parcels and dignity packs, in line with Treasury Regulation 16A6.4, which allows departments to bypass competitive bidding where necessary.
Department spokesperson Motsamai Motlhaolwa said irregular expenditure under the PFMA is spending incurred in contravention of, or not in accordance with, applicable legislation (e.g., procurement rules, Treasury Regulations), even if no money was lost or fraud committed.
He added that contrary to the perception being created that the money was either stolen or wasted, the truth is that the money went to the intended beneficiaries.
‘ Irregular expenditure doesn’t always mean money misused, stolen or wasted.’
“Food parcels and dignity packs were delivered and those in need benefited. Irregular expenditure doesn’t always mean money misused, stolen or wasted. The process was followed on account of an emergency, however the AG did not accept that this was an emergency.”
Motlhaolwa further confirmed that the former accounting officer has since retired, while no disciplinary action was taken against officials linked to the expenditure, including the former CFO and acting accounting officer, some of whom have since left the department or been redeployed.
Despite this, the DA maintains that the lack of consequences points to deeper failures in governance, warning that without accountability, similar financial lapses will persist.
The Star
