GEPF concerned about mismanagement allegations at GPAA

THE Government Employees Pension Fund (GEPF) has sounded the alarm on potential reputational risks stemming from serious allegations of maladministration and financial mismanagement at the Government Pensions Administration Agency (GPAA).

- SIPHELELE DLUDLA

The GPAA is a government component which reports to the Minister of Finance and administers funds and schemes on behalf of the GEPF, the largest pension fund in Africa.

It thus administers the pension affairs of approximately 1.7 million government employees and pensioners, as well as the affairs of their spouses and dependants.

The GPAA has been rocked by allegations of serious financial mismanagement of pension funds amounting to more than R500 million after an audit being prepared for the financial year end flagged administration issues.

An internal audit report compiled by Abacwaningi Business Solution (ABS) Audit & Advisory Services found a raft of key governance concerns, which they brought to the attention of management to ensure sound governance.