‘Hazardous and Empty’: Minister Demands Answers After SETA’s R15m Lease Scandal

A Sector Education and Training Authority (SETA) signed a lease for a Johannesburg building at R600,000 per month. Then staff discovered they couldn’t use itbecause it had been declared hazardous.

Now Higher Education and Training Minister Buti Manamela is demanding answers.

The Scandal

The Education, Training and Development Practices Sector Education and Training Authority (ETDP SETA) entered into a lease agreement for a building in the Johannesburg CBD.

The cost to taxpayers: R15 million.

But staff cannot occupy the building because it has been declared hazardous.

A law firm has been appointed to investigate the tender processes that led to SKG Africa receiving the contract.

The Minister’s Response

In a statement on Sunday, Manamela’s spokesperson Matshepo Seedat said the allegations raised serious concerns relating to governance, building compliance, and the potential implications for public funds.

The minister has requested an urgent report from the department, which is engaging with the ETDP SETA.

The report must establish:

• The full facts surrounding the procurement process

• The lease agreement and circumstances leading to non-occupation

• The financial exposure of the SETA

• Health and safety considerations affecting staff

• Any investigations currently underway

Governance Concerns

Seedat added that Manamela remains concerned about the safety of ETDP SETA staff and the manner in which public funds have been used.

“Any governance failures or irregularities identified will be dealt with in accordance with the applicable laws and regulations.”

The department will assess the report and advise the minister on the appropriate course of action once all relevant facts have been established.

The Minister’s Record

Since coming into office in July 2025, Manamela has pledged to resolve governance matters concerning SETAs. This scandal will test that commitment.

The Bottom Line

R15 million for a building that can’t be used. A lease signed, but staff kept out. Taxpayers paying for space that stands emptyand hazardous.

Manamela wants answers. So do the people whose money paid for it. The question is whether the investigation will deliver accountabilityor just another report gathering dust.

{Source: Citizen}

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