KwaZulu‑Natal Premier Thamsanqa Ntuli, flanked by MEC Francois Rodgers and MEC Rev Musa Zondi, held a media briefing ton Monday, 1 December to address concerns over misconduct in the provincial public service, irregularities in the KwaZulu‑Natal Youth Empowerment Fund, and the troubled state of Ithala Bank, outlining steps aimed at restoring accountability, fairness and public confidence.
Premier Ntuli said the provincial government had implemented a coordinated monitoring and tracking programme to deal effectively with disciplinary matters. “This is a reduction strategy, a coordinated system designed to ensure matters are handled swiftly, fairly and with technical competence. We have also engaged organised labour to minimise unnecessary postponements,” he said. Specialised training has been provided for presiding and investigating officers, including those handling health‑sector cases. Since 1 November, he confirmed, a total of 474 government‑employee misconduct cases have been investigated. “Of these, 119 have been resolved, and 355 remain under investigation,” Ntuli said, highlighting the province’s “unwavering commitment to clean governance, accountability and zero tolerance for misconduct.”
Turning to youth development, Ntuli emphasised the moral and developmental imperative of supporting young people through entrepreneurship. He provided an update on the KwaZulu‑Natal Youth Empowerment Fund, which has recently come under scrutiny following allegations of mismanagement and favouritism in the beneficiary selection process. “Every application submitted during the 2023–2024 and 2024–2025 financial years has been subjected to full scrutiny to ensure fairness, integrity and due process,” the Premier said.
The investigation identified systemic loopholes in the application process and proposed measures to strengthen governance and internal controls for future cycles. Ntuli confirmed that 19 approved applicants — whose applications were found to have no issues — will receive funding before the end of December, while 36 applications are undergoing final processing and two have been cancelled because the applicants fell outside the prescribed eligibility area. “We will meet directly with all beneficiaries and affected applicants to communicate outcomes and next steps,” he said. He also warned that consequence management would be applied where appropriate to ensure accountability.
The briefing also addressed the situation at Ithala Bank, which had left thousands of depositors unable to access their funds for months. Ntuli explained that the delays were caused by interference from authorities in the bank’s operations, which halted its functioning. “Government and Italasoft took the matter to court and won. The judgment confirmed that these authorities had no business in the daily operations of Ithala,” he said.
He added that the provincial government, working with the national treasury and presidency, had resolved technical issues, paving the way for the repayment of depositors. “It is important for depositors to understand that the delays were not due to incompetence, but because we pursued legal and administrative remedies to ensure fairness,” Ntuli said. The Premier assured that instructions on accessing funds would be issued in multiple languages and through various communication channels to assist all depositors, including the elderly and those in rural areas.
Ntuli concluded by reiterating the province’s dual commitment. “Our young people are the lifeblood of KwaZulu‑Natal, and the promise of democracy must translate into tangible economic transformation. At the same time, we will ensure that public funds, whether through salaries, youth‑empowerment initiatives or institutions like Ithala Bank — are managed responsibly and transparently,” he said.
The briefing came amid heightened scrutiny of the Youth Fund, following a R100 million youth-business funding initiative announced earlier in the year, which critics had said was promised before the funds were available. The Public Protector is reportedly investigating allegations of unfair allocation and irregularities in the selection process, while opposition parties and civil society groups continue to call for transparency.
The Ithala crisis also stems from regulatory and operational challenges, with the Prudential Authority of the South African Reserve Bank previously seeking provisional liquidation due to non-compliance concerns. Premier Ntuli’s announcement signals a breakthrough, with depositors now expected to regain access to their funds ahead of Christmas, and strengthened oversight measures in place for youth-funding programmes.
