This amounts to political interference, says Outa. From Moneyweb.
Tourism Minister Patricia de Lille’s decision to dissolve the board of South African Tourism (SAT) – the same board she appointed – has attracted backlash from industry players, the Organisation Undoing Tax Abuse (Outa), and the dismissed board members.
A key reason given for dissolving the board was an unauthorised meeting without a duly appointed chair supposedly held on 1 August 2025 – which never happened, says former SAT board member Lawson Naidoo. The previous chair had resigned in July.
Read: De Lille dissolves SA Tourism board
“That meeting she claims as a reason for dissolving the board never happened,” says Naidoo.
“Her reasons are factually inaccurate and therefore invalid. We are looking at what steps to take next, and this may involve a court challenge.”
The minister took issue with the board’s decision – made in the absence of a new chair – to place CEO Nombulelo Guliwe on precautionary suspension on 13 August for initiating steps to remove two SAT executives without following fair labour practices or consulting the board.
This follows a qualified audit opinion by the Auditor-General in 2024 over a material irregularity of R4.1 million, relating to a partial prepayment made to a service provider in 2021 when Guliwe was chief financial officer.
Naidoo says the previous SAT board ordered a forensic audit into the transaction, which was presented to the new board in April 2025.
Among its key findings was that consequence management should be initiated against Guliwe for the material irregularity. The board sought legal advice on the appropriate legal route to take and needed the consent of De Lille – but did not get it.
Allegations of minister protecting CEO
There is speculation that the minister is protecting Guliwe from the consequences of the material irregularity cited by the Auditor-General. Earlier this month, Guliwe initiated steps to suspend the company secretary and chief marketing officer of SAT.
“In any suspension process, an employee must be given a fair opportunity to respond. They were given a couple of hours and then summarily suspended.
“We saw this as a breach of fair labour practice and a serious breach of governance, and this is why we placed the CEO under cautionary suspension, pending an investigation,” says Naidoo.
There is also dissatisfaction with the handling of Africa’s Travel Indaba held in Durban in July, following complaints from both suppliers and exhibitors.
In a press statement, Outa says the dissolution of the board amounts to gross political interference and represents a direct assault on governance and accountability within a state-owned entity.
“The SAT board had acted within its mandate and in line with its fiduciary responsibilities by addressing serious governance concerns, including findings raised by the Auditor-General and a corroborating forensic investigation into irregular financial conduct,” says Outa.
“Instead of supporting her own competent board for holding executive management accountable, the minister has chosen to protect the SAT CEO by disbanding the very body tasked with oversight,” it adds.
TBCSA also disappointment
The Tourism Business Council of SA (TBCSA) also expressed its disappointment at the decision to dissolve the SAT board.
“In the last 24 hours, the TBCSA met with both the Minister of Tourism and the now-dissolved board. Following those engagements, our view was clear: the board had the right mix of expertise and leadership to help address instability within SAT,” says Tshifhiwa Tshivhengwa, CEO of TBCSA.
“The minister’s decision to dissolve it is therefore not aligned with the position we shared and raises serious concern within the sector,” adds Tshivhengwa.
He says that the SAT board had begun to bring stability and continuity at a time when this was most needed. “Industry stakeholders had confidence in its composition, and we had seen encouraging signs of progress in strengthening SAT’s credibility and focus.”
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The SAT board had apparently pressed the minister to replace outgoing chair Professor Gregory Davids, so it could carry out its functions, but De Lille reportedly delayed making a decision.
In a press statement issued on Wednesday, De Lille says she was in the process of filling the vacant positions on the board, which had nominated Naidoo as its spokesperson pending the appointment of a new chair.
De Lille stated that the board acted prematurely and unlawfully in making that appointment, as this responsibility falls to her under the Tourism Act. The minister says she had previously cautioned the board about the possible implications of failing to follow due process when convening both special and ordinary meetings.
Outa slams ‘political interference’
“This decision by Minister de Lille is disgraceful,” says Wayne Duvenage, CEO of Outa.
“Outa has witnessed many boards of state entities that have fallen short of their oversight and fiduciary duties, which gives rise to maladministration and corruption in these entities. Thus, when we witness a state entity board that is acting with integrity and diligence, we need to celebrate and support them.
“What infuriates us is when a minister such as De Lille steps in to dismantle it. Such political interference and irrational behaviour undermines accountability, emboldens misconduct, and signals to all state entities that political protection trumps governance.”
Outa has called on De Lille to immediately reverse her decision and reinstate the SAT board.
Should she fail to do so, Outa has advised the members of the dissolved board to bring an urgent interdict before the courts to challenge the legality of her decision.
