Company fronting continues to be a challenge in South Africa, with more than 100 complaints allegedly made in just four months.
The Broad Based Black Economic Empowerment (BBBEE) Commission was recently established to investigate fronting and bring the culprits to account.
Ntuli said the commission will not hestitate to take a hardline as company fronting is more than just an ethical issue, but a criminal matter that impedes the government from developing and transforming the country's economy.
She said the elements to BBBEE were the following:
- advancing black ownership to transform the economy
- composition of management to readicate tokenism through black executives
- skills development through training and learnerships to gain BEE points
- investment in black business and transforming the supply chain through suppliers
702's John Robbie spoke to Commissioner of the BBBEE Commission, Zodwa Ntuli, on some of the challenges they are faced with.
Listen to the interview below:
Fronting is now a criminal offence. Just in simple terms, fronting is pure fraud and corruption.
— Zodwa Ntuli, Commissioner of BBBEE Commission
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