Media Statement: Small Enterprise Finance Agency (SEFA) loses R20 million due to maladministration

Media Statement

by Toby Chance MP - DA Shadow Minister of Business Development

Date: 14 September 2017

Release: Immediate

Type: Press Statement

Yesterday, the Small Enterprise Finance Agency (SEFA), released the findings of a forensic investigation into a R20 million loan deal it made to a failed chicken project in Mpumalanga. The findings were an indictment on SEFA’s corporate governance practices as it found instances of embezzlement, fraud, theft and poor internal controls.

Interview on PowerFM - Department of Small Business Development fails to deliver on its mandate

Last night I did a recorded interview with PowerFM's Power Zone which was aired on the show between 12 and 3 am this morning. They had picked up my opinion piece which appeared in yesterday's Sunday Independent where I wrote about the Portfolio Committee's oversight visits to Mpumalanga, KZN and the Free State, and my view that the Department of Small Business Development is failing to deliver on its mandate. In fact this is not just my view: the entire Committee agrees.

On Wednesday we have Sefa coming to the Committee to answer charges of corruption and maladministration of its loan book, 47% of which was impaired in the 2016/17 financial year.

You can listen to the podcast of the interview here.

Motion to debate the DSBDs inability to fulfil its mandate

  National Assembly

                                              Notice of Motion

Internal Ref Number:	045	-	2017
Date:	07.09.2017
Member:	Toby Chance
Motion:

I hereby move on behalf of the Democratic Alliance that at its next sitting this house debates the Department of Small Business Development’s inability to fulfill its mandate and its continued relevance as a vehicle for developing and implementing policies that create jobs.

Declaration in the House on the Portfolio Committee's reports on oversight visits, September 7th 2017

Speaker, a veil of tears has descended on this committee after it experienced profound sadness, frustration and disappointment on its oversight visits to KwaZulu Natal, Limpopo and Mpumalanga.

What we found left Members dispirited at government’s incapacity to do even the most basic things required to improve the lives of our people.

In KZN, the Department has supported a number of primary agricultural co-ops for over two years through its Cooperative Incentive Scheme. A technical partner provides training in business management and farming skills, access to markets through negotiated off-take agreements, and new technologies to improve productivity and vegetable quality.

Statement in the House on the DSBD's presentation to the Standing Committee on Appropriations

On Tuesday I read the following statement in the House. Minister Zulu was not there to respond and although Deputy Minister November was present she gave no response.

On Friday the Department of Small Business Development presented its 2016/17 fourth quarter report to the Standing Committee on Appropriations.

Under close questioning by members of the Committee, the Director General and her officials revealed the full extent of the under-performance that has characterised this Department since its formation over three years ago.