The Financial Sector Conduct Authority has opened an investigation into the Public Investment Corporation, increasing scrutiny of governance, leadership stability and transparency at the state-owned asset manager.
The probe follows the precautionary suspension of PIC chief executive Patrick Dlamini over allegations contained in a whistleblower report.
“Events over recent months raise serious questions as to whether these standards are being consistently upheld,” the regulator said.
External scrutiny widens
The FSCA is conducting the investigation under section 135 of the Financial Sector Regulation Act.
The PIC is an authorised financial services provider and reported R3.516 trillion in assets under management at 30 September 2025.
The whistleblower complaint reportedly alleges that Dlamini authorised PwC to investigate the concluded Lanseria Airport dispute without a board resolution and failed to manage related conflicts of interest.
The PIC previously told the Mail & Guardian that Dlamini had acted within his delegated authority when commissioning the forensic review.
It said the investigation aimed to determine whether reasonable steps had been taken to protect the PIC’s investment and the interests of the Government Employees Pension Fund.
The competing claims have not been tested. The FSCA has made no finding of wrongdoing.
Leadership changes at the PIC
Dlamini was appointed with effect from 1 June 2025 after spending a decade as chief executive of the Development Bank of Southern Africa.
He had led the PIC for just over a year when he was suspended.
At the same board meeting, August van Heerden ceased serving as acting chief investment officer after the board considered a resolution by the GEPF, the PIC’s largest client.
Leon Smit was appointed acting chief investment officer.
Suspension is not a finding
The PIC said Dlamini’s precautionary suspension would give him time to respond while allowing for a fair and independent investigation.
It stressed that the decision did not constitute a finding against him.
The latest scrutiny follows an earlier period of governance turmoil examined by the Mpati Commission of Inquiry.
Its recommendations led to changes in leadership structures, oversight and internal governance at the PIC.
The FSCA has not disclosed the expected duration or detailed scope of its investigation.
Read SA Business Integrator online
