How the Department of Defence is tackling irregular expenditure investigations

The Department of Defence (DOD) is grappling with irregular, wasteful, and inefficient expenditure (IFWE) investigations. As of now, the DOD has 63 concluded cases, 72 ongoing cases, and 125 pending cases. The Directorate for Priority Crime Investigation (DPCI), colloquially known as the Hawks, Special Investigations Unit (SIU), and the Public Protector, is responsible for examining R1.7 billion in cases.

The DOD has presented a progress report to the Portfolio Committee on Defence and Military Veterans, outlining the status of Board of Inquiry (BOI) proceedings and procurement unit activities.

Six incidents, worth R106 million, have been reviewed by the National Treasury, and their financial records have been updated accordingly. Of the 31 submissions, valued at R47 million, 30 are awaiting departmental review for National Treasury consideration. The DOD oversees approximately 78 procurement units, deployed across the Army, Airforce, Military Health Services, and its own Logistics Division, which has the two biggest procurement centers in Pretoria and Cape Town.

When irregularities are detected, a BOI must be convened to investigate the cause and provide recommendations based on the findings.

To address the backlog and improve turnaround times, five members have been appointed to assist since August 1, 2026. However, nine members received disciplinary action (reprimands) for procurement-related irregularities, with a combined value of approximately R5.45 million. These cases involve non-compliance with supply chain management rules, including irregular bidding processes, tax non-compliance, and improper procurement practices.

Eleven staff members are currently involved in court proceedings due to fraud and corruption allegations linked to procurement, amounting to an estimated R273.5 million. Additionally, eight members have been arrested for financial misconduct cases.

The DOD faces limited investigation capacity, as investigators handle inquiries beyond their primary duties, leading to competing priorities and delays. Missing or unavailable documentation is another issue, with procurement and supporting files sometimes unaccounted for, archived, or held by other investigative authorities. Historical findings often lack procurement file references and sufficient supporting information.

Older cases are particularly challenging due to unavailable records and officials who may have transferred or left the organization.

Despite these challenges, the logistics division acknowledges progress. There has been an increase in investigations, improved finalization of inquiries, a reduction in the uninvestigated backlog, and a strengthened investigative capacity. The DOD's commitment to accountability, consequence management, and sound financial governance is evident.

The focus is not merely on closing historical cases but on strengthening the system that allowed these weaknesses to occur. Through enhanced oversight, preventative controls, and dedicated investigation capacity, the DOD aims to create a culture where non-compliance is identified early, investigated decisively, and followed through to its appropriate conclusion.