Finance minister Enoch Godongwana has suspended Government Pensions Administration Agency (GPAA) CEO Kedibone Madiehe amid serious allegations of procurement misconduct linked to high-value contracts worth more than R1bn.
The suspension, which took effect on Friday, is precautionary and comes with full pay.
Godongwana has since assigned Job Stadi Mngomezulu, deputy director-general for corporate services at the Treasury, to the role of acting CEO of the GPAA.
Mngomezulu brings more than two decades of financial oversight experience from the National Treasury, having served in roles ranging from CFO to chief risk officer. He holds a BCom in accounting and a master’s in business leadership from Unisa, and is certified in pension board governance by the University of Toronto’s Rotman School of Management.
“Under Mr Mngomezulu’s leadership, GPAA will continue to deliver on its mandate while we work to resolve these matters expeditiously,” Godongwana said in a statement.
The GPAA administers the payment of pensions to government pensioners on behalf of the Government Employees Pension Fund (GEPF). It runs an operational budget of R1.1bn, of which 93% is funded by the GEPF.
According to the GEPF’s 2023/24 Annual Report, the fund manages assets totalling R2.34-trillion and serves almost 1.3-million state employees, making it the largest pension fund in Africa.
The agency is required to adhere to rigorous procurement and governance standards.
According to the Treasury, the disciplinary action was carried out in line with President’s Minute No 191 of 2025 and the Disciplinary Code for Senior Management Services, which gives the finance minister the authority to initiate disciplinary proceedings.
This includes precautionary suspension and any follow-up actions.
The Treasury’s office of the accountant-general has launched a forensic investigation into a number of contracts, focusing on the lease of the GPAA head office, an African Mobility bus lease, consulting services rendered by Jicho Consulting and a biometric technology contract with LCS.
According to Godongwana, the investigation would be finalised within 60 days.
He reaffirmed that all pension services would continue without interruption and that disruptions to GPAA’s operations would be minimised.
In a statement last week , the DA announced that the portfolio committee on public service and administration, which it currently chairs, would summon the GPAA and the Public Investment Corporation (PIC) to appear before it in the coming weeks.
Updated: August 26 2025
This story has been updated with additional information.
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