Malusi Shezi – Construction Education and Training Authority CEO
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Documents leaked to IOL show that it appears that, far from attempting to sort out corruption practises at the Construction Education and Training Authority (CETA) as he has publicly vowed, the institution’s CEO, Malusi Shezi, has allegedly been complicit in the very practises he has sworn to eradicate.
In what could form the basis for a compelling Tom Clancy novel, pages of letters from the National Education Health and Allied Workers’ Union (Nehawu) to Nobuhle Nkabane, Minister of Higher Education, detail alleged irregular disciplinary hearings, as well as allegations of financial misconduct. These, it said show that Shezi apparently interfered in procurement processes as well as instigated disciplinary action against those who questioned him.
CETA’s mandate is to aid in developing construction skills through projects and learnerships that enable those participating to achieve recognised qualifications. It has been under scrutiny several times over the past few years, notably having been placed under curatorship in 2020.
Construction is a vital economic driver as, in 2023, it contributed 2.7% to the economy. An email to Nkabane from Nehawu sent on March 19 stated that “the minister may be aware that this institution is not functional under the current CEO [Shezi] and the board, and we have written extensively to her office on a myriad of matters plaguing the institution”. That letter called for the minister to investigate “allegations of malfeasance” at the entity.
In specific, it claimed that there were “serious violations of procurement processes” regarding a tender for the appointment of a full turn-key managed ICT services provider, bid number 018-2024/2025.
Nehawu claimed that the tender box went missing after all the bids - another document shows there were five of these - were submitted and the box was properly sealed.
According to the union, the tender should have been cancelled at this point and wasn’t. It does appear, however, that there was a break in camera feed covering the area in which the box was located as a security company was hired to retrieve footage for between January 24 and March, investigate the breakdown in the camera feed, and install additional cameras.
The company, whose name is known to IOL, was appointed on February 10 for R286 805 after Shezi was asked to approve a deviation from general procurement processes. CETA did not respond to a request for the outcome of this investigation. Nehawu also claimed that Shezi “has become overly involved with HR policies and even breached its policies and provisions.”
It argued that the CEO has bypassed HR protocols and rejected the outcomes of internal disciplinary processes.
These claims are in addition to previous ones, as detailed in a press release on the union’s website published on August 7, 2024, in which it claimed that “our members have been subjected to continuous victimisation and intimidation by the CEO for raising issues related to maladministration at the CETA”.
The union issued this statement on the back of Shezi’s suspension, which was announced on the same day. However, it appears he remains CEO, as he is listed in this role on CETA’s website. CETA did not clarify this matter when IOL sought its comment.
Nehawu’s claims of disciplinary proceedings being abused seem to be borne out by the outcomes of such hearings in IOL’s possession.
In one, in which a staff member had reported abuse of the supply chain management process and was herself charged with 15 counts of abusing such processes and suspended. Among other statement, the chairperson said that the employee should be seen as a whistleblower and should, as such, have been protected.
“Alas, the employer surprisingly decides to go after the employee, albeit five years later.”
The chairperson also noted that CETA’s argument for suspending the employee was confusing and “constitutes trial by ambush because it is not clear which case the employee is expected to answer”.
Nehawu’s letters to the minister, as well as presentations to the Parliamentary Committees, also allege that there have been several instances of corruption in terms of appointing service providers as well as the institution sending work to a legal firm that should rightfully have been assigned to another company on its panel of legal service providers.
Last July, CETA said in a statement that it “is aware of the allegations of interference in procurement processes levied against Shezi. These claims are being addressed through the appropriate channels and are subject to thorough and impartial investigation. It is important to note that the mere existence of allegations does not equate to guilt. The CEO, like any other employee, is entitled to a fair and transparent investigation process.”
In a presentation to a Parliamentary Committee, the union also pointed out that CETA had lost executives and institutional memory.
The deterioration of the relationship between the CEO and key executives is evident in a trail of emails shared with IOL in which Shezi becomes increasingly short-tempered with a fellow executive who is seemingly attempting to clarify matters and ensure that dueprocess is followed.
CETA has also drawn the attention of the Auditor-General of South Africa (AGSA), which qualified its opinions in its audits for the past three years as of this February. Minutes from a Standing Committee on Public Accounts (Scopa) Parliamentary Committee meeting held on February 4 stated that the AGSA had identified material irregularities within CETA related to financial losses resulting from non-compliance.
Zamahlangu Mditshwa, deputy business unit leader at the AGSA, said that her office had encountered significant delays in CETA’s response to its feedback and documents regarding these irregularities, which undermined accountability.
She also noted that the office was still concerned about CETA’s slow progress in implementing AGSA’s recommendations, as this continued to hinder efforts to enforce accountability.
IOL attempted on several occasions to secure official comment from CETA, Scopa, the Department of Higher Education, as well as the Portfolio Committee on Higher Education via email as to all the above allegations, without success.
IOL
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