The Association for Monitoring and Advocacy of Government Pensions (AMAGP) has raised serious concerns over the squandering of billions in public servants’ pension funds through politically driven and high-risk investments.
The AMAGP is a voluntary organisation consisting of former state employees who are pensioners as defined in the Government Employees Pension Law.
The AMAGP has a following of around 8,000 GEPF pensioners and is the only structure that actively voices the concerns of such pensioners.
According to Zirk Gous, the spokesperson for AMAGP, R33 billion has been effectively lost, with significant investments like the Daybreak poultry farm and the Isibaya Fund emblematic of this ongoing crisis.
In 2015, the Public Investment Corporation (PIC) purchased Daybreak Farms on behalf of the Government Employees Pension Fund (GEPF) for R1.2 billion, with the GEPF comprising a 33% stake in the company.
Gous explained that the deal received massive negative publicity right from the beginning, which pointed to questionable governance as the core issue.
By 2024, the situation had deteriorated so badly that multiple liquidation attempts were made, and Daybreak ultimately entered business rescue in May 2025.
“It failed to pay all their clients and service providers, it failed to pay the workers, and there was massive unhappiness,” Gous said.
He added that poor decisions, a lack of accountability, and incompetence damaged thousands of jobs and pensions.
However, Daybreak is not an isolated case. Gous pointed to the GEPF’s broader investment strategy under the PIC, particularly the Isibaya Fund, as deeply flawed.
According to the GEPF, the Isibaya Fund is a PIC mandate established to channel capital into projects that address societal challenges, facilitate transformation, and support job creation in South Africa and Africa.
“The GEPF is managing R2.3 trillion of state pensioner money,” he said. “It’s a massive, massive pot of money.”
Gous added that a substantial portion of this is channelled into unlisted entities under a transformation policy, investments that are supposed to be in line with international best practices.
However, Gous warned that in South Africa, this has translated into investments almost exclusively in B-BBEE entities, many of which are politically connected and financially unstable.
Violating their fiduciary duties
Citing findings of a judicial commission of inquiry into the PIC, Gous said that 44% of Isibaya’s investments are either failing or at risk of failing.
“That is indicative of the risk,” he said. He pointed out that the GEPF has written off more than R6 billion in impaired funds over the past two years alone.
Of these losses, 24 to 26 of the failed investments came from the Isibaya portfolio. “Now, if that is not high risk, you must advise me what is,” he said.
Gous also raised the broader governance concern, which is that the GEPF and PIC are under “total political control.”
He stated that the Minister of Finance approves all investments, which opens the door to the misuse of pension money for political ends.
“The moment you use pension fund money for political considerations, it is problematic,” Gous warned. “You cannot use the funds of a government pension fund. It is simply, in principle, problematic.”
He added that the Minister of Finance, the GEPF board of trustees, and the PIC board of directors should be held accountable for the pain and suffering of the Daybreak employees.
He accused them of acting not in the best interest of pensioners, but in the interest of the ruling political party, thereby violating their fiduciary duties.
Quantifying the scale of the loss, Gous referred to a report submitted to Parliament’s Standing Committee on Finance in 2016.
The report showed that R44 billion had already been invested in politically aligned projects with a 44% failure rate.
“Between 2015 and today, total money written off as impairments has reached R52 billion, with R31 billion lost specifically through Isibaya investments,” He said.
“If you invest any money in any private investment company, a 1% failure rate can be acceptable,” Gous explained. “What they are writing off here is 3%. That 3% is R33 billion. That, in my mind, is big money.”
Despite the scale of the loss, Gous was careful to clarify that the GEPF is not currently at risk of collapse. “The solvency rate of the GEPF is, at this point in time, stable,” he said.
“State pensioners will receive their monthly pension.” But he stressed the urgency of acting now to stop further losses. Whether the lost billions can be recovered is unclear.
Gous explained that, in principle, it can be, but eventually it means that you will have to go to the Minister of Finance, and that money will have to come from the taxpayer.
He warned that unless decisive action is taken, it could mean an additional tax of R33 billion on the public.
To fix the problem facing public pensions, Gous said the Government Employee Pension Law needs to be amended.
“We must amend the Public Investment Corporation Act to remove the political control.” He added that the judicial commission, known as the Mpati Commission, had already made this recommendation.
This recommendation included the Deputy Minister of Finance not chairing the PIC’s board. “However, that specific recommendation was simply thrown out the door,” Gous said.
Gous added that the AMAGP is investigating its options and considering legal and legislative reforms. “That will be the solution to prevent further bad investments,” he said.
*This article was first published by BusinessTech News
The National Prosecuting Authority (NPA) has confirmed being served with petition by legal representatives of Dr. Nandipha Magudumana seeking leave to appeal the majority judgment of the Supreme Court of Appeal delivered last month.
The NPA spokesperson Mthunzi Mhaga says they will defend the matter when it’s heard at the Constitutional Court.
Last month, Magudumana suffered a legal blow when the Supreme Court of Appeal (SCA) dismissed her application to nullify her arrest in Tanzania.
Magumana approached the SCA to reverse the decision of the Free State High Court, which also dismissed her application to nullify her arrest, on the basis that she had consented to be brought back to the country.
Four Justices dismissed the case with a dissenting judgment in her favour.
“We will oppose the application because we strongly believe that her deportation from Tanzania to South Africa was above board. Therefore, her application has no merit and stands to be dismissed by the Apex Court,” Mhaga explains.
*This article was first published by SABC News
The South African government is implementing stronger measures to combat smoking by introducing legislation that will require tobacco companies to display graphic health warnings on cigarette packaging. Deputy Minister of Health Dr. Joe Phaahla announced the proposed bill during a World No Tobacco Day event in Midrand, Johannesburg, emphasizing the need to highlight the serious health risks associated with tobacco use.
Under the new regulations, cigarette packs will display graphic images of health issues related to smoking, including damaged lungs, amputated limbs, and mouth cancers. This initiative aligns with global efforts to discourage smoking through plain packaging and visual deterrents.
Concerns Over New Smoking Trends
Dr. Phaahla also raised alarms about the increasing popularity of electronic smoking devices, such as vaping and hookah pipes, warning that they may pose even greater risks than traditional cigarettes.
“These new emerging products are actually harmful,” he said. “They use synthetic nicotine, which travels faster to the brain and is highly addictive. Young people may start with these expensive products and later switch to cheaper, conventional cigarettes.”
The Department of Health plans to collaborate with other government bodies to enhance anti-smoking education campaigns, especially in schools, to deter youth from starting to smoke.
Community and Youth Response
Civic organizations that support tobacco control welcomed the initiative, emphasizing the necessity for increased public awareness. Young attendees at the event shared their concerns about tobacco’s effects on their generation.
“I came here because I want to encourage people my age to understand the harmful effects of tobacco,” said one participant. “The tobacco industry is ruining our youth, and we need to come together to change that.”
Health experts reiterated that tobacco use continues to be one of the leading preventable causes of cancer, respiratory diseases, heart conditions, and pregnancy complications.
Next Steps
Once passed into law, the bill will require compliance from all tobacco manufacturers, marking a significant step in South Africa’s public health strategy. The government aims to reduce smoking rates, particularly among young people, through stricter regulations and education.
As the legislation progresses, health advocates urge communities to reject all forms of smoking, emphasizing that no tobacco product is safe.
Dr. Phaahla concluded, "We must educate our people—these products are not cool, they’re deadly."
The draft bill is anticipated to undergo further review before being presented to Parliament for approval.
*This article was first published by MSN
Written by Abigail Visagie
BLOEMFONTEIN - The Free State High Court in Bloemfontein delivered judgment in the trial within a trial ex-personal assistant to former Free State Premier, Ace Magashule.
Moroadi Cholota on Tuesday, 3 June challenged her extradition from the United States of America (USA) to the Republic of South Africa (RSA) claiming that it was unlawful.
The court under the leadership of Judge Phillip Loubser, declared the extradition as unlawful saying that the court did not have the jurisdiction to try Cholota on the offenses that she had been accused of.
Loubser questioned whether the High Court had the jurisdiction to trial Cholota and responded that due to the state’s fabrication or misrepresentation to USA authorities, there was reasonable or probable cause for charges brought against Cholota.
Cholota then stated that fabrication or misrepresentation is retaliation by the state because she refused to implicate her former employer, Ace Magashule and therefore was threatened by the state that she would have to stand trial alongside Magashule but the state saw this threat as a fair warning.
“The state lied or misrepresented that Cholota was a fugitive from justice and that there were grounds for Cholota refusing to return to South Africa, this was all proven to be false on August 14, 2024,” Loubser said.
Loubser further stated that the court does not need to determine the request for the extradition as this was not done by the relevant minister in his capacity but rather by the National Prosecuting Authority (NPA).
Loubser finally declared that the extradition of Cholota from the USA to South Africa was done unlawfully and that the court did not have the jurisdiction to trial Cholota on charges of fraud, alternative fraud, and corruption offenses.
Cholota wept as she was set free to go by Judge Loubser.
Among these are changes to the bill of rights on provisions related to housing, healthcare and education.
ActionSA is proposing a raft of amendments to the Constitution aimed at stemming the country’s immigration problems.
Among these are changes to the Bill of Rights on provisions related to housing, healthcare and education.
The party’s Athol Trollip says that for too long, the country’s hospitality and limited resources have been exploited.
The deadline for submissions to Parliament’s constitutional review committee closed on Saturday, with it having already received more than 200 submissions by late last month.
ActionSA says amendments to the Constitution should start with the preamble, which has been used to extend constitutional protections even to those residing in the country illegally.
The party says this deliberate misreading has placed undue pressure on limited public resources.
Parliamentary leader Athol Trollip says amendments should also be made to Chapter 2 of the Bill of Rights in respect of Sections 26 and 27, related to housing and healthcare, respectively.
"This is an area of exploitation that has a massive impact on our economy, and our municipality’s ability to deliver the services required by people living in this country."
Trollip says more than 70% of patient files at Johannesburg clinics belong to foreign nationals, while there’s also pressure on schools to find placements for learners, prompting a recommendation to also amend Section 29 on education.
"To provide only citizens, legal immigrants, and legally recognised residents, rather than all people living in South Africa, because this is where the illegal immigration crisis impacts our country so dramatically."
It will now be up to the parliamentary committee to hold oral hearings and to debate whether to propose amendments to the house, which will require a two-thirds majority to pass.
*This article was first published by Eye Witness News
In a written legislature response, Health MEC Nomantu Nkomo-Ralehoko said persistent water shortages have also led to postponements of major operations.
The Gauteng Department of Health said that a high number of patients and load shedding were among the reasons it had over 34,000 patients on its waiting-list for surgeries at its public hospitals.
In a written legislature response, Health MEC Nomantu Nkomo-Ralehoko said that persistent water shortages had also led to postponements of major operations.
Affected surgeries included cataract procedures, hip and knee replacements, and gynaecology surgeries.
The hardest hit facilities include the Steve Biko Hospital, followed by the Chris Hani Baragwanath Hospital, George Mukhari Hospital, and Charlotte Maxeke Hospital.
Waiting times differ depending on the surgery, with some patients waiting up to two years for a cataract removal at the Mamelodi and Yusuf Dadoo hospitals, while others wait only one to two months at Leratong Hospital.
Similarly, patients at Kalafong Hospital can wait up to five years for hip surgery, while others wait three to six months for the same procedure at the George Mukhari Hospital.
The Democratic Alliance (DA)’s health spokesperson in Gauteng, Jack Bloom, said that more needed to be done to address the issue.
"People are in pain, they are suffering. The Gauteng Health Department needs to do something radical to make sure these terribly long surgery waiting lists are cut as soon as possible."
Nkomo-Ralehoko said increasing staff capacity had helped to reduce waiting times.
*This article was first published by Eye Witness News
