Persistent vacancies and outdated frameworks prompt calls for justice minister to intervene in the leadership crisis
Despite acknowledging the deficiencies and challenges facing the offices of the Master of the High Court a year ago, it appears that Kala Pillay – who is Acting Chief Master and Acting Director-General (DG) of Justice and Constitutional Development – has made little headway in addressing the concerns.
In fact, some stakeholders who deal with Master’s offices on a daily basis feel the situation has deteriorated considerably since last year.
One of the busiest offices, Johannesburg, has been without a head of office for almost two months.
This prompted the Johannesburg Attorneys’ Association (JAA) to issue Pillay’s office with an ultimatum: if an appointment is not made within seven days of its letter, it intends approaching the minister of justice for an explanation and an appointment.
The letter was sent on Friday (11 September).
Katherine Gascoigne, who heads the Master’s Office portfolio at the JAA, says in her letter to Pillay they do not have to explain the crucial role of a head of office, or the instability it creates if the position remains vacant.
“It is surprising and disappointing that the vacancy of this position was not considered upon renewal of the previous Acting appointment, six months prior to the expiry of this appointment, especially as the Johannesburg Master’s Office is one of the busiest offices in South Africa,” she writes.
The Master’s functions include the administration of deceased estates and insolvent persons, the protection of the interests of minors and legally incapacitated persons, the supervision of the administration of companies and close corporations, the Estate Duty Act, the Trust Property Control Act, and the appointment of executors, trustees, curators and liquidators.
A matter of urgency
Gascoigne points out that this is the second time in less than a year that the Johannesburg office has been without a Master. It is “imperative” that the appointment of an acting Master is resolved as a matter of urgency, she stressed.
It appears that at least eight Master’s offices have no permanent head of office, including the Chief Master’s Office.
Moneyweb sent questions to Pillay’s office and the department and is awaiting a response.
Pillay has been Acting Chief Master for slightly more than a year and also became Acting DG after Doctor Mashabane resigned following allegations that he had abused his power and delayed the Madlanga Judicial Commission of Inquiry.
The DG is responsible for the administrative, financial, human-resources, operational and service-delivery framework within which the Master’s offices operate. It is therefore within her power to create an enabling environment for the offices under her charge.
Outdated legislation
According to Gascoigne, stakeholders have been waiting for directives from the Chief Master’s Office for more than a year. Directives are official administrative instructions issued to regulate procedures across all Master of the High Court offices.
They have also been waiting for legislation to be finalised for more than two years. “We are dealing with an Act that is no longer viable and helpful. It frustrates the process,” Gascoigne adds.
During last year’s Annual Conference of the Fiduciary Institute of Southern Africa (Fisa), Pillay acknowledged that the outdated legal framework under which the Master’s offices operate has shaped how the offices are structured and managed.
“The legal framework does not meet the demands of our post-democratic and constitutional state,” she acknowledged.
The Master’s Office is responsible for administering several pieces of legislation, most of which date back to before 1994. The Companies Act is the only post-1994 legislation.
One of the biggest concerns relates to the broken and outdated information and communication technology system.
Pillay also acknowledged this a year ago.
“The mostly paper-based system leads to the loss of records, the incorrect storage of information, the inability to find records, and the challenge with fraud and corruption, where records are easily manufactured and changed according to who wants to beat or cheat the system,” she said.
Ongoing challenges
Jan du Plessis, CEO of Fisa, says network problems are among the biggest challenges facing Master’s offices. If these can be fixed, it would make a significant difference to the flow of work at the offices.
The time it takes simply to capture an estate on the system is inordinately slow, particularly in more rural areas.
Another critical Master’s Office is Pretoria, which is also headed by an acting master. It continues to face challenges despite relocating to upgraded premises in May.
The absence of functioning telephone lines and a proper communication system have left insolvency practitioners unable to order files or consult with estate controllers, says René Bekker, head of operations at the South African Restructuring and Insolvency Practitioners Association.
“This situation is causing significant disruption to the administration of insolvent estates. While we remain committed to being part of the solution, we are not being kept informed of proposed changes that directly affect our members and the public,” she notes.
In a stakeholders’ WhatsApp group, Gascoigne says attorneys and other stakeholders are more than prepared to engage. “Unless the Minister and the Chief Master show a real interest in stabilising this branch of the Department of Justice, this relationship is going to continue to deteriorate.”
This article was republished from Moneyweb. Read the original here.