The Amatola Water Board

• ACTis has raised five flags for Amatola Water and placed two under monitoring.

• Amatola Water’s senior leadership – including the Minister and Deputy Minister of Water and Sanitation, Board Chairperson and executives – have been the subject of allegations of maladministration and corruption. Failure by the Board and the Minister to hold former Chief Executive Officer (CEO) Siyabulela Koyo accountable for misconduct, and the choice of an acting replacement with a questionable record, casts doubt on whether reform is underway.

• The lack of consequences for individuals implicated in wrongdoing, despite internal and external investigation findings, seems to have contributed to a culture of impunity at Amatola Water. The protection of implicated individuals aligns with patterns of state capture and warrants further examination.

• Weak financial and procurement controls suggest an environment in which systems can be easily bypassed for personal gain. Internal forensic and SIU investigations indicate connections between senior leadership and a specific network of favoured businesses. The extent of the corruption and financial malpractice has created an existential threat to the institution, with its status as a going concern in question.