Governance showdown at SA Tourism

Tourism Minister Patricia de Lille has warned that she may dissolve the SA Tourism Board due to its decision to place CEO Nombulelo Guliwe on precautionary suspension. Her spokesperson, Aldrin Sampear, said De Lille has given the Board an opportunity to explain why it should not be dissolved and is currently reviewing the submissions.

At the centre of the dispute is alleged misconduct linked to “fruitless and wasteful expenditure” of R4.18 million incurred by Guliwe alongside two other former SA Tourism executives.

A forensic investigation, commissioned by the Board after the Auditor-General flagged the payment as a “material irregularity” in 2024, found that an advance payment to service provider WWP Group for Dubai Expo Dome activities on July 12, 2021 was made without contractual provision or clear justification. The investigation could also not confirm that SA Tourism received any value for the funds.

The report, received on April 29 this year, recommended consequence management against the CEO as well as recovery of the funds from those implicated.

The Board says a resolution was adopted to proceed with disciplinary action and it repeatedly sought ministerial concurrence from June but did not receive a response. The Minister’s office says all documents received from the Board in this regard were submitted to a legal team for advice.

Concerns about further suspensions

The Board says the decision to suspend the CEO became urgent after learning that, in the past two weeks, the CEO placed two senior staff members – SA Tourism’s Chief Marketing Officer, Thembisile Sehloho, and Bernadetta Tabane, Head: Governance, Risk, Compliance, Legal and Company Secretary, on precautionary suspension. According to the Board, both had lodged grievances against the CEO.

The Board is investigating these actions to determine whether they comply with SA Tourism’s grievance procedure, which prohibits retaliatory conduct.

Minister disputes the legality of suspension

In the meantime, De Lille’s office has described the suspension as unlawful, citing legal advice that the Board is not “properly constituted” following the resignation of its Chairperson, Gregory Davids, on July 31.

However, the Board does not agree with this interpretation, pointing to provisions in the Tourism Act, which allow it to continue functioning and making valid decisions if quorum requirements are met. It says the resolution to provisionally suspend the CEO was unanimous among the nine appointed members and a departmental representative.

It maintains that its decision was “lawful and necessary to uphold its statutory and fiduciary duties” and dissolution at this stage could “undermine the stability and oversight needed to address current governance and operational priorities”.

Association response

Industry bodies have also weighed in on the governance crisis. SATSA CEO, David Frost, said the association would engage both the SA Tourism Board and the Minister to establish the facts, adding that SATSA “has confidence in the private sector professionals appointed to the SA Tourism Board to guide South Africa's tourism marketing efforts”.

Frost pointed out that SATSA’s 1 250 members contribute a significant portion of the Tourism Levy, which directly funds SA Tourism’s operations. “This substantial private sector investment gives our members a legitimate interest in ensuring that South Africa’s tourism marketing is conducted with the highest standards of governance and accountability. We urge the Minister to meet urgently with the Board to resolve this matter in the appropriate way.”

The TBCSA described the suspension of the CEO, the resignation of Board Chair and the threat of board dissolution as “highly concerning” developments at a time when the sector is still in recovery. TBCSA Chairperson, Jerry Mabena, also called on Minister de Lille to urgently address the situation, saying the Council would engage stakeholders in the coming week to explore ways to support SA Tourism during this period.