The Madlanga Commission has uncovered significant flaws in South Africa's financial disclosure system for public servants, according to testimony by Dr Albertus Schoeman, a World Bank anti-corruption expert.
Schoeman highlighted that the current system fails to account for family members' assets and beneficial ownership, enabling officials to conceal wealth through complex structures.
The commission heard evidence against Major General Feroz Khan, who allegedly accepted bribes from businessman Ismail Vally, with funds funneled through his minor son's account.
Schoeman emphasized that excluding family members from disclosures creates opportunities for corruption and conflicts of interest, particularly in sectors like healthcare where state contracts could be influenced by spouses' financial activities.The report also criticized the exclusion of virtual assets like cryptocurrencies and the lack of sanctions for non-disclosure.
Experts argue that comprehensive reforms, including mandatory beneficial ownership registers and an eDisclosure system, are essential to combat systemic corruption and ensure transparency in public service.
Original title: Madlanga Commission exposes loopholes in public servant disclosure system
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