New PIC board named as calls grow for full Mpati reforms

The Public Investment Corporation (PIC) has a new nine-member non-executive board, led by Deputy Minister Seiso Mohai, after a turbulent period of resignations and high-level suspensions at the fund manager.

Who was appointed and why it matters

On Thursday, Minister in the Presidency Khumbudzo Ntshavheni announced the appointments of the nine non-executive members of the PIC board. The board will be chaired by Deputy Minister of Planning, Monitoring and Evaluation Seiso Mohai. Ntshavheni described the appointment as a measure to address governance challenges at the PIC and said Finance Minister Enoch Godongwana will continue to drive the reforms of the PIC as recommended by the Mpati Commission in consultation with Cabinet.

Background: resignations and suspensions

The new board was appointed after Finance Deputy Minister David Masondo and other board members resigned ahead of a scheduled meeting by Godongwana to dissolve the board. The resignations followed the suspension of CEO Patrick Dlamini and Acting Chief Investment Officer August van Heerden.

Labour and political reaction

Cosatu parliamentary coordinator Matthew Parks welcomed Mohai’s appointment, saying Mohai would provide authority and stability. Parks said Cosatu would support the new board, including soon-to-be-confirmed depositor and worker representatives, and urged further investigations into alleged corruption and state capture.

“We urge the President, Mr Cyril Ramaphosa, to task the Special Investigating Unit, the Auditor-General, and the Hawks to institute a comprehensive investigation of all PIC investments to ensure the cancer of corruption and state capture is fully exorcised from the PIC.”

“We will never allow these historic, progressive, and anti-corruption provisions to be reversed or watered down.”

Standing Committee on Finance Chairperson Joe Maswanganyi said Mohai’s appointment was a significant step towards strengthening governance stability and institutional continuity, and noted Mohai’s years of service in Parliament and the Free State legislature.

Opposition and other concerns

DA leader Geordin Hill-Lewis welcomed the government’s stated commitment to implement the Mpati Commission recommendations and called for a published timetable for legislative amendments. He said the DA had long pushed for a properly independent and suitably qualified PIC board and insisted the amendments be finalised.

ACDP Chief Whip Steve Swart expressed concern that Mohai does not have a direct professional background in private sector asset management and said the appointment ran counter to the Mpati Commission’s recommendation that a politician should not chair the entity. Swart said this was worrying given that the PIC oversees more than R3.7 trillion in pension funds.

Next steps

Ntshavheni said the new board appointments were aimed at addressing governance problems, while Godongwana will continue to consult Cabinet on implementing the Mpati Commission’s recommendations. Calls from unions and opposition parties emphasised urgent investigations and legislative reform to restore public confidence in the PIC.