Government departments and entities will also have to develop and adopt policies that make it an obligation for employees to disclose any financial interest they may have in an entity that has an intention to do business with their department.
The regulations have been in the offing for some years since the Public Service Management Act was approved by Parliament and signed into law by President Jacob Zuma. The law was apparently not promulgated while the regulations were being drafted.
The regulations, published on Friday on the Department of Public Service and Administration's website, will also prohibit any employee or special adviser "from being a director of a public or private company conducting business with the state".
Departments and entities will also have to ensure that their supply chain management policies do not allow businesses to conduct business with an employee in the public administration. This includes doing business with a special adviser to a municipality.
They will also have to determine procedures for informing all employees of the names of entities doing business with the institution. They also require the Public Service Commission, the heads of departments and entities to keep a register of the financial interest of employees.
The employees are required to make full disclosure of all financial interests.
The executive director at Corruption Watch, David Lewis, confirmed the regulations had been in the offing, but said the provisions were "very much supported. It is a good move but it very much remains to be seen how effective they will be, because implementation is going to be difficult."
Lewis said while the regulations had taken some time to complete, it was better late than never. He said one of the problems was determining just who the owners of companies were, and suggested a stipulation that would compel companies upon registration to declare who their "beneficial owners were".
Any employee who fails to comply with the provisions of the regulations will have committed a serious disciplinary offence, and the matter must be reported either to the president, the appropriate provincial premier, or the police.
The declarations made by government officials are confidential and their contents may not be disclosed by those with access to them, unless ordered to do so by a court of law.
Source: Business Day via I-Net Bridge
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