Jonas calls for corruption fight

Survey shows SA has highest prevalence of economic crime among 23 countries Corruption is rooted in the culture of organisations but South Africa has a unique chance to fight back, former deputy minister of finance Mcebisi Jonas said. He also urged the public and private sector to join hands in combating corruption. Jonas, who refused an alleged R600-million bribe by Ajay Gupta, was speaking at the Port Elizabeth release of PricewaterhouseCoopers’ Global Economic Crime Survey yesterday. “Because of how big the problem of corruption has been, there is potential in South Africa to bring together the private sector, government and civil society to come up with solutions that will show the world how to deal with the issue,” Jonas said. The Global Economic Crime Survey is conducted every two years to determine the level of economic crime across various sectors. It polled 7 228 respondents across 23 countries and found that South Africa had the highest prevalence of economic crime, with 77% of organisations reporting cases. This is up from the local average of 69% in 2016, and is far above the global average of 49%. The most common problems were asset misappropriation, fraud committed by consumers and fraud relating to procurement processes. But Jonas said corruption was beyond being systemic. “There is big momentum to deal with the issues, but there is a counter-force to that too. “We must not be naive to think the momentum is all positive. We can deal with it at micro level, but there’s a macro picture that must change.” He emphasised the need for the government to play a part. “Whether we like it or not, the momentum must be felt in government. It’s part of an ecosystem we have to build against corruption, fraud and state capture – but unless you have relentless effort from all three spheres, we are not going to solve the problem.”

Bay city manager Johann Mettler said it was the responsibility of senior officials in all sectors to lead by example in fighting corruption. “There is no other way to deal with this malaise,” Mettler said. “You need to create an enabling environment. “People must be able to report [issues] and know that what they’re going to say will be taken seriously. If people don’t trust the system or you, leading from the front won’t work.” Director of PwC’s forensic services in the Cape region Malcolm Campbell said heavier consequences for corrupt dealings were needed. “Crime still pays and some are not deterred by jail,” Campbell said. Jonas said the problem of state capture also had to be dealt with swiftly. “If you can’t show visibly that, if you are corrupt, you go to jail, this will continue forever. “We are probably in a better space in many ways, with the new leadership coming in and the visibility of attention given to state capture and corruption, but we must also guard against looking at our leadership as messiahs who will solve every problem that we have.” He said whistle-blowers needed more protection. “Our laws in the private and public sector for protecting whistleblowers are still pretty weak. In the last three years, most of those who stood up to speak are in hiding [now],” he said. Jonas revealed that he had no plan to join the Nelson Mandela Bay council in the wake of the current attempt by opposition parties to oust mayor Athol Trollip. The EFF has said it would only accept an ANC mayoral candidate with Jonas’s credibility and stature.