South African minister lays out intentions on National Gambling Board

Responding to questions from the official Opposition Tuesday, South Africa’s Minister of Trade and Industry, Rob Davies, laid out his plan for the currently suspended National Gambling Board.

The Board was suspended two months ago amid allegations of maladministration, corruption, wasteful spending, intimidation and the destruction of evidence (see previous reports). A forensic investigation is currently ongoing into the manner in which the Board was managed.

Davies said that he plans to rationalise the boards reporting to his Ministry, along with the introduction of tighter rules concerning travel and accommodation of board members and the fees or salaries that they are paid.

In the case of the scandal-ridden National Gambling Board, the minister clarified that by rationalisation he meant the “removal” of the board and its replacement with either a commissioner or a chief executive officer.

“A study was commissioned and the final analysis came up with the recommendation that commissioners or chief executive officers be appointed as heads of entities reporting directly to the minister to ensure financial accountability in terms of the Public Finance Management Act, service delivery and speedy resolution of issues,” the Minister said, adding that cost savings were in progress.

Asked to give details on the controversial size of official salaries at boards under his authority, the Minister gave the following information:

* The salary of the National Gambling Board chief executive will be R960 299 a year.

* Travel and accommodation allowances have been cut for the National Gambling Board for this financial year to about R500 000.

* The National Lotteries Board CEO earned R2.1m a year,

* The National Empowerment Fund CEO earned R3.5m,

* The National Credit Regulator CEO received R2.5m,

* The Export Credit Insurance Corporation chief executive earned R2.9m,

* The Companies and Intellectual Property Commission commissioner earned R1.6m,

* The National Consumer Commission’s commissioner earned R1.5m and

* The Companies Tribunal full time tribunal member earned R1.3m.