R130 million meant to train security guards may have been stolen

By Anita Dangazele

  • R30 million was paid upfront to a service provider before a single lesson was delivered, a forensic investigation found.
  • Parliament has called for the suspension of PSIRA’s director and CFO after a forensic firm confirmed that paid-for services were never delivered.

More than six thousand security guards were signed up for training paid for by the Unemployment Insurance Fund. Only 118 of them walked away with a certificate.

The rest got nothing. No upgraded security grade. No R50-a-day stipend. No computer hardware that was supposed to come with the course. The training, in many cases, simply did not happen.

President Cyril Ramaphosa signed Proclamation 316 of 2026 on 3 June, authorising the Special Investigating Unit to probe the Private Security Industry Regulatory Authority and the UIF over the failed programme. The SIU can take the matter to the Special Tribunal to claw back any money lost.

The scheme targeted unemployed security guards who had previously paid into the UIF. The plan was to take them from entry-level Grade E certification up to Grades D and C, making them more employable. Between R130 million and R144 million in public funds is implicated in the scheme.

A forensic investigation by SimDar Consulting found that R30 million was paid in advance to the service provider before any training was delivered. Parliament’s Portfolio Committee on Police tabled those findings and has since called for the suspension of PSIRA’s director and chief financial officer.

No money has been recovered. That is why the SIU has stepped in.

Pictured above: Special Investigating Unit logo.

Image source: SIU

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