The agency reportedly planned to spend R270 million to revamp an office block in Pretoria, which it intended to rent as its head office for the next 10 years.
Finance Minister Enoch Godongwana replaced the suspended CEO of the Government Pensions Administration Agency with an acting head and launched a probe into procurement following allegations of serious misconduct concerning high-value procurement transactions.
After allegations surfaced about a suspect property transaction, Godongwana placed the CEO, Kedibone Madiehe, on precautionary suspension with full pay, effective immediately on 22 August.
According to a press statement from the Ministry of Finance, the disciplinary action was implemented according to President’s Minute No 191 of 2025 and the applicable Disciplinary Code for Senior Management Services, which delegates authority to the finance minister to institute disciplinary processes concerning these allegations. This includes precautionary suspension, as well as any subsequent steps.
The statement points out that it is important to note that precautionary suspension does not in any way constitute a judgment of guilt or innocence but rather will allow investigations into the matter to be carried out without prejudicing any of the current employees at the Government Pensions Administration Agency (GPAA).
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New acting CEO for Government Pensions Administration Agency
Godongwana seconded Job Stadi Mngomezulu, deputy director-general for corporate services at National Treasury, to GPAA and appointed him as acting CEO from Monday this week to ensure continuity of operations and effective leadership during this period.
Mngomezulu joined Treasury more than two decades ago as a director of financial management before being promoted to chief financial officer. He later served as a chief risk officer before taking up the role of deputy director-general for corporate services.
He has a Bachelor of Commerce degree in Accounting and a Master’s in Business Leadership (MBL) from Unisa, the National Treasury chief directors’ programme at GIBS, as well as a certification in board effectiveness for pension funds from the International Centre for Pension Management at the Rotman School of Management, University of Toronto.
Godongwana said he is confident in Mngomezulu’s ability to lead the organisation during the transitional period. “Under his leadership, GPAA will continue to deliver on its mandate while we work to resolve these matters as soon as possible.”
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Services at Government Pensions Administration Agency will continue
He also assured pensioners specifically and the public more broadly, that:
- All pension services will continue without interruption
- The investigation will be conducted promptly and thoroughly
- There will be minimal disruption to GPAA’s critical operations and
- The highest standards of governance will be maintained.
According to the release, Treasury started a detailed forensic investigation through the Office of the Accountant General (OAG) into all allegations against implicated individuals, as well as contracts awarded.
The preliminary focus of the investigation will focus on the GPAA Head Office Lease, African Mobility Bus Lease, Jicho Consulting Contracts and the LCS Biometric System Lease.
Godongwana, mindful of the need to act quickly while ensuring that the matters under investigation are addressed through proper legal channels and the rights of all parties are respected, is confident that the investigation and related disciplinary measures can be completed within the next 60 days.
“We deeply appreciate the importance of maintaining the trust and confidence of pension holders and broader society in GPAA’s operations. Treasury remains committed to transparent governance and will provide updates as appropriate while respecting the integrity of the ongoing processes,” Godongwana said
