Parliament’s portfolio committee on public service and administration has welcomed the suspension of the Public Investment Corporation (PIC)’s chief investment officer following allegations of misconduct against him.
The committee described the precautionary suspension of Kabelo Rikhotso as a decisive action taken by the PIC board.
Rikhotso was frozen out of the state-owned entity following allegations of misconduct raised through a whistleblower report.
The committee’s spokesperson Alicestine October said in a media statement on Wednesday the PIC communicated the decision to suspend Rikhotso in a statement of October 3.
No finding of wrongdoing
“In the statement, the PIC said the suspension does not constitute a finding of wrongdoing. It was done in accordance with applicable labour legislation and internal PIC policies. This is to facilitate a fair and independent investigation,” said October.
The Chairperson of the committee, Jan de Villiers, said the PIC’s work needed to be above reproach.
The PIC oversees approximately R3-trillion in pension assets of state employees.
“This extraordinary fiduciary responsibility demands that its operations be conducted above reproach. With unwavering adherence to the principles of transparency, accountability and integrity,” said De Villiers.
He said the swift response to allegations is an encouraging and positive signal to contributors and beneficiaries of the fund.
“The committee encourages the PIC to ensure that the investigation is conducted with full independence, rigour and transparency. We also urge the PIC to communicate the outcomes openly to reinforce confidence in the institution’s stewardship.
Restoring public confidence
“This will be important to restore public confidence in the PIC as custodian of the retirement savings of the public service without perceived impropriety,” said De Villiers.
October said the committee also urges the PIC to continue strengthening its internal controls. Also its risk management frameworks and whistleblower protection mechanisms. This to ensure that accountability becomes systemic rather than reactive.
She said the committee believes that in cases such as these, institutional integrity is vital. It is measured by the clarity, swiftness and credibility of the response or consequence.
“We will monitor the developments closely in the interest of the many South Africans, whose futures are entrusted to the PIC’s care,” said De Villiers.
