Leaders within the BEE Verification Industry such as Andile Tlhoaele, the former Chairperson of the industry verification body ABVA and currently the deputy chair person of the ICT Charter Steering Committee on BEE and the ICT Sector skills training authority Isett SETA, have long indicated to government that Fronting is a one of the key challenges in implementing BEE.

 

Through our investigations, Inforcomm has found that fronting is now more sophisticated than ever. While many people still imagine fronting to simply be about appointing a black face to a director position  regardless of their skills or lack thereof in order to secure tenders,  it has now become a more complicated and common practice.  Even high leveled BEE beneficiaries are now structuring deals that when stripped down to their essentials are simply fronting deals.

 

In order to combat this situation, we have long called for fronting to be criminalised and treated in the same manner as corruption because, simply stated, fronting is as much a criminal act as is corruption. By criminalizing fronting in this manner the courts can use the same legislation used for corruption to prosecute fronting cases.

 

About Inforcomm

 

Inforcomm is accredited to certify compliance to BEE and provides valued added BEE verification services such as BEE Bid evaluation, fronting investigations and compliance reporting.

Their vision is to one day see a transformed South African economy that reflects the demographics, racial and gender profile of the country.

 

 

 

Kind Regards

Grace Kadzere

Public Relations Manager

+27 11 447 8283

+27 73 317 6581

50 Keyes Avenue, Rosebank, Johannesburg

grace@redflag.co.za

www.redflag.co.za