Sapo’s business rescue plan sparks heated debate in NCOP

A VIRTUAL meeting of the National Council of Provinces (NCOP) Committee on Economic Development and Trade descended into tense deliberations this week as Business Rescue Practitioners (BRPs) overseeing the SA Post Office (Sapo) requested parts of their briefing to be held behind closed doors, citing commercial sensitivity.

The move was met with fierce resistance from legislators who demanded full transparency, given the billions in public funds at stake.

The meeting, chaired by the DA’s Sonja Boshoff, began with a procedural tussle after BRPs’ Juanito Damons and Anoosh Rooplal submitted a letter, dated May 8, but only received by the Committee on June 9, requesting confidentiality for sections of Sapo’s turnaround strategy.

They argued that public disclosure would compromise Sapo’s intellectual property and competitive edge. “The turnaround strategy is Sapo’s intellectual property. If made public before implementation, it could prejudice the entity,” Damons said.

Deputy Minister of Communications and Digital Technologies Mondli Gungubele backed the BRPs, saying: “The information is commercially sensitive. Sharing it openly could be detrimental to Sapo’s success.”

However, the DA’s Nicolaas Pienaar slammed the justification as “lacklustre”, questioning why patents weren’t sought if the strategy was groundbreaking. “This is taxpayer money funding Sapo’s rescue. The public has a right to know how it’s spent,” he argued, warning against “hiding information from the public”.

ANC members, led by Mpho Modise, pushed for a physical meeting, citing frustrations over Sapo’s repeated delays and “unacceptable conduct”. “We’ve waited a year for this briefing. Now they want secrecy? No. Everyone must account in person,” Modise declared, proposing a postponement.

His motion gained traction after ANC colleague Patrick Mabilo lambasted Sapo’s “outrageous” lack of accountability. “We’ve been lenient, but this ends now. If subpoenas are needed, we’ll use them,” he said.

Hendrik Van Den Berg of the FF+ initially opposed delaying the meeting, urging immediate access to the information. But with technical glitches disrupting proceedings — including Advocate Shamara Ally’s audio cutting out during her legal input — the Committee ultimately voted to reschedule for June 18.

Ally, the NCOP’s procedural advisor, highlighted the dilemma: “We lack the documents to assess confidentiality claims. Yet Sapo’s rescue involves public funds, so accountability is paramount.” She noted media and civil society’s intense interest in Sapo’s fate, underscoring the need for transparency.

BRPs’ Rooplal, however, defended their stance, denying accusations of evasion. “We’ve reported monthly to creditors and other committees. The turnaround strategy is separate from the rescue plan and must remain confidential,” he said.

The adjournment leaves Sapo’s future — and the transparency of its rescue — hanging in the balance. As Boshoff warned: “We must weigh Sapo’s survival against public scrutiny. But we won’t tolerate being misled.”

With Gungubele pledging to investigate the delayed letter and MPs vowing to grill Sapo’s leadership in person, the June 18 meeting promises fireworks. As Pienaar put it: “Public funds mean public accountability. No exceptions.”