IDT CEO Resigns Amid Fallout from R836 Million Oxygen Plant Project

While noting that Malaka resigned before disciplinary proceedings were concluded, Minister Macpherson stressed that her resignation does not shield her from criminal or civil action.


Devdiscourse News Desk | Pretoria | Updated: 15-01-2026 19:34 IST | Created: 15-01-2026 19:34 IST
IDT CEO Resigns Amid Fallout from R836 Million Oxygen Plant Project
The Minister urged law-enforcement agencies to finalise criminal investigations without delay and to pursue prosecutions where the evidence warrants it. Image Credit: Twitter(@SAgovnews)
  • Country:
  • South Africa

South Africa’s Minister of Public Works and Infrastructure, Dean Macpherson, has confirmed the resignation of Independent Development Trust (IDT) Chief Executive Officer Tebogo Malaka, effective 31 January 2026.

Malaka had been suspended in August 2025 following the release of an independent forensic report into the failed R836 million Pressure Swing Adsorption (PSA) oxygen plant project, which was intended to supply critical oxygen infrastructure to hospitals nationwide.

Findings of the Forensic Report

The report, compiled by PricewaterhouseCoopers (PwC), recommended that Malaka face disciplinary action for failing to prevent or act on violations that may have resulted in significant financial losses to the state.

The PwC investigation also recommended disciplinary proceedings against other senior officials, including:

  • David Motsatse, in his capacity as the BEC Secretariat, and

  • Dr Molebedi Sisi, General Manager for Supply Chain Management at the IDT.

No Immunity from Accountability

While noting that Malaka resigned before disciplinary proceedings were concluded, Minister Macpherson stressed that her resignation does not shield her from criminal or civil action.

“I welcome the fact that her resignation comes without a golden handshake. Importantly, her resignation does not immunise her from criminal investigations or any civil proceedings that may arise,” Macpherson said.

He added that accountability remains a core principle of his department’s reform agenda.

“This reaffirms our position that no individual in the Department of Public Works and Infrastructure, or any of its entities, is above ethical governance, the law, or accountability. Accountability does not fall away simply because someone resigns.”

The Minister urged law-enforcement agencies to finalise criminal investigations without delay and to pursue prosecutions where the evidence warrants it.

Ongoing Reform at the IDT

Macpherson said that while progress has been made since the appointment of a new IDT board last year, serious challenges remain.

“The resignation does not end the problems at the IDT, but it is a welcome step in our continued reform agenda, which is anchored on ethical governance that puts the South African public first,” he said.

IDT Board Response

In a brief statement, the IDT Board confirmed that Malaka will exit the organisation without any exit compensation.

The Board announced that Mr Sfiso Nsibande, seconded from the Construction Industry Development Board, will continue serving as Acting Chief Executive Officer to ensure organisational stability and continuity.

The Board also confirmed that a formal recruitment process for a permanent CEO will commence and reiterated the entity’s commitment to full cooperation with ongoing investigations.

“The IDT will continue to cooperate fully with any investigations that may result in criminal and/or civil proceedings against any current or former officials or employees,” the statement said.

 

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