Public Works Minister Orders Review of Telkom Towers Audit Report

What Happened?

In August 2025, the forensic accounting firm Gobodo Forensic and Investigative Accounting (GFIA) handed over a report to the Department of Public Works and Infrastructure. The report looked into the purchase and renovation of the Telkom Towers Complex, a deal that cost around R700 million.

Why the Report Is Under Scrutiny

Minister’s Main Concerns

Public Works and Infrastructure Minister Dean Macpherson said the report did not meet the expectations set out in the original terms of reference. He pointed out several shortcomings:

• The report failed to properly assess the evidence collected.
• It relied heavily on unverified verbal claims instead of solid documents.
• No clear recommendations were made for disciplinary, civil, or criminal action against officials or service providers.

What the Investigation Was Supposed to Do

The terms of reference asked GFIA to:

1. Trace the full history of the Telkom Towers transaction.
2. Check whether any statements made by officials or outside parties were false or misleading.
3. Determine if proper procedures were followed throughout the deal.
4. Identify individuals responsible for irregular, fruitless, or wasteful spending.
5. Establish the scale of any fraud or corruption.
6. Gather evidence that could be used in court and suggest appropriate actions.

Financial Impact Highlighted

Despite the investigation, the report noted that the project involved about R1.4 billion in spending and an estimated loss of R776 million. Yet, it offered no concrete steps to hold anyone accountable for these figures.

Specific Issues Identified by the Minister

Evidence Handling

Macpherson said GFIA treated verbal allegations as facts without checking them against documentary proof. He also noted that the firm gave weight to oral testimony that contradicted the written evidence.

Lack of Accountability

The report did not recommend any action against department officials, even though there were signs of poor planning, weak contract management, and the building ending up underused. It also suggested action only against some security firms hired during periods of vandalism and theft, without linking those firms to broader mismanagement.

Minister’s Response

Macpherson formally told the department’s director‑general that the report falls short of the agreed standards. On 10 March 2026 he requested that the director‑general:

• Appoint an independent, qualified expert to review and scrutinise the GFIA report.
• Take corrective steps to address the gaps in evidence assessment and recommendations.

What Comes Next?

The review will aim to:

• Re‑examine the evidence using proper legal standards.
• Produce clear, evidence‑based findings.
• Make actionable recommendations for accountability, whether through disciplinary measures, civil claims, or criminal investigations.
• Help the department improve governance and prevent similar issues in future projects.

Conclusion

The Minister’s call for a fresh look at the Telkom Towers audit shows a push for greater transparency and responsibility in government spending. By demanding a thorough, evidence‑driven review, the department hopes to uncover the truth behind the costly project and ensure that those responsible face appropriate consequences. This step is meant to restore public trust and reinforce good governance in public works initiatives.