Deloitte not targeted - RTMC

2012-03-14 07:49

Pretoria - There is nothing improper about evaluating audit firm Deloitte's role in the "financial clean-up" of the Road Traffic Management Corporation (RTMC), its acting chief executive Collins Letsoalo said on Tuesday.

"There is nothing untoward about the stance we have taken when it comes to the issue of Deloitte.... We have taken the very same stance with all the other people," he said.

Transport Minister Sibusiso Ndebele has announced that the SA Institute of Chartered Accountants (Saica) has been asked to evaluate the irregular appointment of Deloitte to conduct the R11m "financial-clean up".

Deloitte apparently signed a contract which had been issued irregularly.

The contract was for more than R500 000 and was not put out to tender, contrary to requirements.

Letsoalo said two parties had to be involved in the signing of a contract, and that there was a certain responsibility which had to be fulfilled by Deloitte.

He said the RTMC had handed over a forensic report to the police and had opened a case of possible fraud and corruption.

"We have said, if you find anything criminal or something incriminating against anyone, then please charge those people."

He said other companies were also being investigated, as were some RTMC employees.

"We are not saying Deloitte is wrong. We are saying we want Saica to check whether there was anything that they (Deloitte) did which was untoward," he said.

"It's our democratic right to know and it's their democratic right to protect themselves."

He said the RTMC was trying change from being the "most corrupt sector" in the South African government, but was still faced with a lot of challenges.

Investigations were under way to bring an end to syndicates and criminals working specifically within licensing stations, said Letsoalo.

He said the RTMC's main aim was to eliminate fatal road accidents and to have road safety taken as seriously as HIV/Aids and similar problems.