Zakes Mnisi, IT head of the 2010 World Cup Local Organising Committee (LOC), has been suspended with immediate effect, amid allegations of financial impropriety.
This morning, Tumi Makgabo, outgoing spokesman for the 2010 LOC, confirmed Mnisi's suspension, but would not comment on allegations by well-placed sources that the IT head had misappropriated funds in the execution of his duties.
"We cannot confirm or deny this," said Makgabo. "Mnisi has, however, been suspended subject to an internal enquiry."
Makgabo would also not comment on whether tenders or contracts awarded by Mnisi are being investigated, and could not provide a timeline for when the investigation into the matter is to be completed.
However, Dr Irvin Khoza, chairman of the LOC, subsequently confirmed that a forensic investigation into the LOC's finances revealed irregularities, resulting in Mnisi's suspension.
He says the decision to suspend Mnisi was taken "in order to protect the LOC against future damages", but he would not expand on this or the nature of the irregularities.
According to Khoza, the forensic findings into Mnisi's activities were "very unexpected" and the LOC had accepted Mnisi "on face-value" as far as his integrity was concerned.
"However, allegations of this nature are very serious," he adds.
Makgabo says the LOC's ICT work is "ongoing" and, while no one has been appointed to act on Mnisi's behalf, the LOC's COO, Nomfanelo Magwentshu, has taken over his responsibilities in the interim, as per the "standard reporting line".
Attempts to contact Mnisi directly this morning were unsuccessful. Danny Jordaan, CEO of the LOC, could also not be reached, as he is overseas.
Exodus?
Mnisi's suspension comes in the wake of a string of resignations at the LOC, although both the organising body and government are adamant there is no reason to panic.
Recently, head LOC spokesman Tim Modise was reported as being on the brink of resignation, although he subsequently said he would stay on. Makgabo has resigned and will leave the organisation in June.
The LOC head of human resources Nomzamo Kasana, senior marketing staffer Emy Casaletti, head of the African Legacy Programme Eddie Maloka, and Sandile Ndzekeli, who was head of Fifa marketing in the LOC, have all left the body. Kasana faced disciplinary action related to alleged incompetence and insubordination, but resigned before this could take place.
As recently as last week, deputy president Phumzile Mlambo-Ngcuka said there is no crisis in the LOC and that all its preparations are proceeding as planned. Khoza confirms this is still the LOC's view and says Mnisi's suspension will not have a negative effect on staff morale.
"The LOC prides itself on upholding vales of integrity and excellence," he says, adding that any move to suspend someone accused of not upholding such values "can only improve morale".
Getting the job done
According to Makgabo, Mnisi's duties include the oversight of all ICT activities related to the 2010 World Cup. This means that, while he is not directly responsible for implementing systems like an electronic booking system for foreign visitors, or cables between stadiums and the national backbone (referred to as last mile connectivity), he does have to oversee all these projects.
Government recently revealed it is spending more than R1.5 billion on ICT, out of its total budget of R30 billion for the World Cup, with this figure potentially still escalating as the event nears.
"All work from the organising committee's perspective continues as normal," insists Makgabo.
However, commentators say Mnisi's potential exit from the 2010 LOC could be a good thing.
Theo Venter, a political commentator affiliated to the University of North West, says that had it been the case that Mnisi had to implement 2010 ICT projects, his suspension would have been a huge crisis. However, as things stand, it could offer some opportunities.
"Perhaps his suspension is a good thing in that the ICT function can then be outsourced to the private sector and something can actually get done," says Venter.
Econometrix economist Tony Twine adds that if the allegations of financial mismanagement are true, it is much better for Mnisi to have been removed from his post now.
"Given the size of the web of people who must support ICT processes, I don't think the big chief is that critical to the operations of ICT at this stage," he says. "If it had happened closer to the event, it would have been more problematic, but now it will not make or break the delivery of ICT services."
According to Twine, it is a good sign that Mnisi has been suspended, "rather than the matter being swept under the carpet".
Richard Hurst, programme manager for communications in Africa for the International Data Corporation, says everything related to ICT and the World Cup seems to turn into a "money-grabbing endeavour".
This, he says, is highlighted by the dismissal last year of the industry body that was advising government on its 2010 ICT plans, due to individuals on the advisory panel allegedly trying to enrich themselves.
"There is a lot of money to be made in 2010 - people just need to be patient to access it," he says. "Hopefully, the whole ICT process will just carry on regardless - if one manages the whole [suspension] process, work should proceed normally."
Khoza is adamant the LOC has a "depth and breadth" of skilled personnel that will allow it to continue its ICT, and general 2010 work, unabated.
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