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Parliament Probes GPAA Over R270 Million Office Refurbishment Deal

Published

2 months ago

August 12, 2025

Chiraag

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Parliament turns up the heat on GPAA over billion-rand rental row

Parliament is preparing to put the Government Pensions Administration Agency (GPAA) under the spotlight after reports of a multimillion-rand office deal sparked outrage. At the heart of the controversy is a R270 million refurbishment of a building tied to a 10-year lease agreement that could cost up to R1 billion.

The GPAA, which manages pensions for thousands of government employees, now faces tough questions from the Portfolio Committee on Public Service and Administration. Committee chair Jan de Villiers says the agreement could signal abuse of public funds and must be fully unpacked.

“The allegations are extremely serious. They point to possible financial misconduct and a breach of fiduciary duties to pensioners and the public,” De Villiers said. “We will demand full disclosure of every decision that led to this contract.”

ActionSA demands clarity

The committee’s move follows a formal letter from ActionSA to Finance Minister Enoch Godongwana, calling for a full explanation and investigation. ActionSA’s parliamentary leader, Athol Trollip, says pensioners deserve the assurance that their retirement savings are managed with integrity.

“Any sign of irregular or unauthorised spending erodes trust,” Trollip said. “If the minister cannot provide clarity within seven days, we will escalate this matter to Parliament and other oversight bodies.”

Godongwana has confirmed that an official investigation is already under way.

GPAA defends its process

While public and political pressure grows, the GPAA insists that its procurement process was fair, transparent, and competitive. It disputes the R1 billion rental figure and says there is no signed offer to purchase agreement for the building.

The agency has urged stakeholders to allow the audit process to conclude, promising to act if maladministration is uncovered.

Why South Africans should care

For the thousands of civil servants relying on the Government Employees Pension Fund, this matter is about more than figures. It is about trust, accountability, and the responsible use of public money.

With Parliament now directly involved and public scrutiny intensifying, the GPAA will need more than reassurances. It will need to prove, with hard evidence, that the deal was above board and that pensioners’ savings remain safe.