New commission to look into BEE fronting

labour-guideBy More Matshediso

Trade and Industry Minister Rob Davies on Tuesday announced that the department will soon look for nominations and applications for the establishment of a commission to look into fronting.

Minister Davies said the commission, which will be headed up by a commissioner, will deal with fronting, fraud and other issues that affect the Black Economic Empowerment (BEE) programme.

The commission, he said, should be appointed by 31 March next year.

“The exact way that the commissioner will work will be determined by the commission itself but essentially they will be receiving complaints about allegations of fronting,” he said.

The Minister said the commission will try to recommend solutions but where there are serious transgressions, it will have to work with law enforcement agencies to enforce prosecution.

Minister Davies was briefing media following the BEE Advisory Council meeting convened by President Jacob Zuma.

He said the Department of Trade and Industry (dti) will be inviting applications but it was important to note that this is a senior position and details of the post will be made available soon.

“We are looking for someone who is going to be senior and credible… It is not a junior position,” the Minister said.

Outgoing advisory council

Minister Davies said the dti and President Zuma had a positive working experience with the outgoing BEE Advisory Council since 2009.

He said government appreciated the recommendations made by the council from the beginning of its term to date.

The outgoing advisory council sat in office for five years and its term expires at the end of this month.

One of the members of the council, Tsakani Ratsela, said the council benefitted from the strong participation among its members.

“The BEE framework remains relevant and appropriate as a key instrument to achieve meaningful and inclusive growth and meaningful social transformation,” she said.

Ratsela said it also enhanced the participation of black people in all sectors of the economy.

She said the council’s duty was, among others, to refine the instruments that are available to drive the implementation of BEE in a coherent and well-coordinated manner throughout the public and private sectors.

“We are very pleased that the amendments of the BEE Act have come through and many of those amendments came from recommendations made by the council,” said Ratsela.

Sandile Zungu, also from the outgoing council, said as they hand over to the upcoming council, he envisaged that it will carry out the mandate of enhancing the new Black Industrialists Programme.

Zungu reiterated the council’s “deep gratitude” to the President and the dti.

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