Bain ‘crippled’ the litigation unit at Sars
Consultancy’s diagnostic report said to be fraught with misleading and inaccurate statements
Consulting firm Bain & Co is said to have failed to consult primary officials when remodelling critical units at the SA Revenue Service (Sars). And its diagnostic report, which led to a dramatic overhaul of customs, was fraught with misleading, inaccurate and outdated statements. This emerged in evidence during the second day of the public hearings of the commission of inquiry into governance and administrative issues at Sars, when five officials detailed how the Bain restructuring had neutralised crucial units dealing with enforcement, litigation and customs. The management of Sars, which collects tax to finance government spending, has come under increasing scrutiny as alleged mismanagement contributed to a revenue shortfall of R100bn over the past four years. The second round of evidence focused on how Bain, which was paid R200m, conducted its work. Bain is expected to appear before the commission next week. The units under scrutiny dealt with sensitive and complex cases, such as...
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