Mmegi Online :: Kgosi refuses to discuss classified info with PAC
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Wednesday 21 November 2018, 15:42 pm.
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Kgosi refuses to discuss classified info with PAC

Directorate of Intelligence and Security (DIS) director general, Isaac Kgosi has told the Public Accounts Committee (PAC) that although his organisation has been directed to pay back the P250 million to the National Petroleum Fund (NPF), he does not know where the money will come from.
By Goitsemodimo Kaelo Fri 13 Apr 2018, 11:30 am (GMT +2)
Mmegi Online :: Kgosi refuses to discuss classified info with PAC








Kgosi who was subpoenaed to give evidence before the PAC reviewing the NPF P250 million money laundering scandal, admitted that his organisation was allowed to divert the money to buy security equipment instead of setting up the strategic fuel storage facilities as initially planned, but was aware until February this year that the then Acting Deputy Permanent Secretary Obolokile Obakeng had withdrawn that approval.

When asked by a member of the committee, Samson Moyo Guma if he was aware of the decision by Cabinet directing that DIS should return the money, Kgosi chose to be evasive, only responding by saying that he did not sit in Cabinet meetings and did not attend Cabinet meetings.

Kgosi further told the committee that of the P250 million they received from NPF, they disbursed between P110 million and P130 million. He also stated that they have not paid tax because they were awaiting the delivery of the consignments.

Asked if he will return the money, Kgosi said that there were discussions between the DIS and the Ministry of Finance and Economic Development, which details he could not share with the committee.

“I only later learnt of the withdrawal letter acceding to the variation request in February 2018. I wasn’t aware because I don’t sit in Cabinet meetings. The matter is being handled by government, but I don’t know where the money will come from,” he said.

This is despite his department being amongst the most highly and generously funded departments within government over the years. The DIS’ estimated budget under the current National Development 11 stands at over P1.7 billion.

Its recurrent budget for the financial year 2017/18 has gone up from P337, 815, 150 to P410, 921, 690 under the year 2018/19.

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This including rising expenses for special investigations from P5 million in the year 2017/18 to P10 million in the year 2018/19, transportation and subsistence costs combined from P3, 201, 170 in the previous year to over P10 million in 2018/19.

In terms of development budget for the current financial year, the DIS has been allocated P261, 414, 000 for strengthening of its capabilities, which is equivalent to what they were allocated in the previous financial year.

Still at the PAC, Kgosi declined to answer any questions relating to Khulaco Pty Ltd, stating that the issues were sub judice. Kgosi also refused to answer questions nor read documents exchanged between his organisation, the Department of Energy and Mineral Resources, Green Technology and Energy when he was asked to read them by the Committee. He stated that the documents could not be shared with any person unauthorised to know their contents, as they were classified documents.

He said that he is responsible for the security of all classified government information in this country.

When asked if he was satisfied that proper processes were followed in relation to the allocation of the NPF money, Kgosi said his department has not faltered, but stated that he could not speak for the ministry of mineral resources, green technology and energy because he did not know their internal processes.

“We follow the PPADB processes internally. I can’t talk about the ministry of minerals. But in relation to this issue, the money was not with government but a private company, which does not deal with PPADB. NPF funds are managed by a private company, which paid for our procurement.”

The meeting was adjourned after the quorum collapsed before Kgosi could finish his submission.

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