EFF demands urgent parliamentary clarity after PIC suspends CEO Patrick Dlamini

The Economic Freedom Fighters (EFF) has asked Parliament’s Standing Committee on Finance (SCOF) to hold an urgent in-person meeting after the Public Investment Corporation (PIC) board announced the precautionary suspension of its chief executive officer, Patrick Dlamini.

Why the suspension was imposed

The PIC board said a majority of its members voted for Dlamini’s immediate suspension. The board named Chief Financial Officer Batandwa Damayi as acting CEO.

The action followed a whistle-blower report submitted in June 2026 that accused Dlamini of unethical conduct and governance failures. The report alleged Dlamini commissioned a PricewaterhouseCoopers (PwC) forensic investigation into a R411 million Lanseria Airport transaction without required board approval and raised questions about potential conflicts of interest linked to his past business ties.

Additional allegations and legal actions

The whistle-blower also accused Dlamini of appointing acting Chief Investment Officer August van Heerden without obtaining explicit consent from the Government Employees Pension Fund (GEPF).

The suspension coincided with a R900 million High Court lawsuit filed against Dlamini by businessman Kagiso Matjila and his company, Acapulco Trade & Invest 164. Matjila’s claim alleges defamation, injurious falsehood and unlawful interference with contractual relations related to Dlamini’s decision to hire PwC to investigate the Lanseria matter after a final arbitration had concluded.

Political tension and referrals

The EFF said the manner and timing of the suspension raised serious questions, noting it came after a clash involving National Treasury. Finance Minister Enoch Godongwana had reportedly pushed for an internal audit review rather than immediate suspension, but the PIC board chaired by Deputy Finance Minister David Masondo proceeded with the suspension.

Masondo also referred the Lanseria deal to the Special Investigating Unit (SIU) following legal advice about the PwC forensic report, which allegedly found misstatements in debt balance calculations underpinning the original arbitration award.

EFF’s demands to Parliament

In a letter signed by EFF Treasurer General Omphile Maotwe, the party demanded clarity on the process followed and whether it was fair and independent or driven by ulterior motives. The letter said the PIC’s leadership instability was a serious concern because the institution manages the life savings of public servants through the GEPF and is central to the economy.

“This level of leadership instability, at the top of the country’s largest asset manager, cannot be unexamined. The PIC is central to our economy. It also manages the life savings of public servants through the GEPF. Given this responsibility, we are extremely worried about the current instability at the PIC.”

The EFF called for SCOF to hold an urgent meeting in person and asked that the following attend: the PIC board, the Minister of Finance, PIC senior management, and the Financial Sector Conduct Authority (FSCA).

Responses and investigations

The source reported that neither the PIC nor the Treasury could respond at the time of publication. The FSCA said it would not be taking interviews or media queries at this stage.

After Dlamini’s suspension, the FSCA launched a formal investigation into the PIC under Section 135 of the Financial Sector Regulation Act, citing concerns about governance, leadership stability, transparency and market integrity. The announcement was followed by the resignation of two non-executive PIC board directors, who cited severe governance and leadership concerns.

Civil society organisation Public Interest welcomed the FSCA investigation and called for an expeditious, independent probe, saying recent events would test the effectiveness of governance reforms introduced after the Mpati Commission.

Next steps

SCOF Chairperson Dr Joseph Maswanganyi said he will conduct interviews after the committee meets with the PIC on 4 August.