6 July 2009

The Construction Education and Training Authority (CETA) was established in April 2000 as a public institution in terms of the Skills Development Act, No. 97 of 1998. An entity of this nature is audited by the Auditor General on an annual basis. CETA is scheduled to table the 2008/9 financials to Parliament's labour portfolio committee on Tuesday, 7 July 2009.

CETA is responding to allegations that have been brought against it for lax internal controls that have contributed towards the organisation's purported financial problems.

These allegations come at a time when CETA has been working tirelessly to upgrade and maintain its internal controls for the benefit of the organisation and its stakeholders. CEO, Petrus Maoko vehemently states that, "Controls are now in place. They are being improved upon day-by-day."

Through various mechanisms that were put in place following regrettable audit findings of the past years, CETA has managed to turn its financial challenges into a positive situation. While some of the matters raised by these past audits were genuine issues of concern at the time, they have now been rectified and appropriately addressed by the CETA.

Of the expenditure irregularities amounting to R93m noted in the 2007/8 financial statements, CETA has come out previously noting that it has paid R83 million in mandatory grants in the period covered by the financials. This payment was made in line with the Skills Development Levies Act's requirements to ensure that companies which submitted their Workplace Skills Plans and Annual Training Reports (WSP/ATR) receive their mandatory grants.

Mr Maoko maintains that past expenditure irregularities are no longer an issue at all, guaranteeing all CETA stakeholders that challenges of the past are just that. "The financials for 2008/9 are more than satisfactory. I do not foresee that CETA will have to contend with any of its past financial irregularities. We are on track to meeting all our targets and overcoming all past ills," Mr Maoko remarks. He further notes that, "We are continuing to fund projects to ensure that we meet our mandate."

He commends employer groups and all CETA stakeholders for working closely with the organisation to ensure that past mistakes are never repeated.

On 25 March 2009 the CETA saw the inauguration of a new Board under the leadership of a new Chairperson, Mr Gavin Strydom, from the Employer Association - MBSA.

"Matters of governance are a top priority currently and with the appointment of the new board and certain new managers, CETA is ready to overcome all forms of challenges and I am certain that we are capable of meeting our mandate," states Mr Strydom.

For further information contact: Badumile Duma, CETA: Senior Communications OfficerTel: +27 11 265 5900 Ext 5937; Mobile: +27 72 4185 412Email: comms@ceta.co.za