ANTI CORRUPTION AND ANTI FRAUD POLICIES IN SOUTH AFRICAN UNIVERSITIES Freda Madungandaba A research report submitted to the Wits School of Governance, University of the Witwatersrand, Johannesburg, in partial (50%) fulfilment of the requirements for the degree of Masters in Management. Date: 28 March 2024 ii DECLARATION I Freda Madungandaba declare that this Research Report is my own, unaided work. It is being submitted for the Degree of Master in Management at the Wits School of Governance, University of the Witwatersrand, Johannesburg. It has not been submitted before for any degree or examination at any other University. _______________________________________ (Signature of candidate) Name: Freda Madungandaba 31 July 2024 iii Abstract The escalation of corruption and fraud within South Africa, as accentuated by revelations from the Zondo commission, point out a pervasive governance deficit extending beyond the public sector into the private domain. Media reports have drawn attention to concerns regarding corruption and fraud within South African universities, prompting an inquiry into the mechanisms available within higher education for managing such malpractices. Thus, this study seeks to investigate the anti-corruption and anti-fraud policies and initiatives implemented by South African universities. Employing a qualitative research methodology, the study assessed policies from 10 South African public universities and conducted interviews with university practitioners. The findings revealed that Higher Education Institutions have well-established fraud prevention processes in place, albeit with certain instances exceeding customary norms. However, the role of the Department of Higher Education and Training (DHET) in supporting universities with policy frameworks for combating corruption remained ambiguous. Additionally, communication regarding the newly proposed National Anti-Corruption Strategy to universities was found to be lacking. iv Dedication I would like to first and foremost dedicate this dissertation to my amazing boys, Amukelani Madungandaba and Minenhle Madungandaba. Your love and support have been the pillars of my inspiration and growth. Thank you for always reminding Mommy how blessed she is. My second dedication goes to my forever sunshine, my strength, and encouragement throughout my journey—my Mother, Mrs. Milo Jane Madungandaba. I simply would not have done it without your love and support. To my Father, Mr. Msiza Lot Madungandaba, your words of encouragement and ensuring I stay focused have been invaluable. Lastly, to my brothers, Godfrey Mongezi Madungandaba and Zwelakhe Madungandaba, my sister-in-law, and my wonderful niece Zinhle Madungandaba. Thank you for always supporting me whenever I needed you. Acknowledgement The journey has not been easy, and it would not have been possible without acknowledging my initial supervisor, the late Prof. Ivor Sarakinsky and to also express my deepest gratitude to Dr. Christine Hobden, who stepped into his role and did an outstanding job. Her guidance, patience, and insightful feedback have been invaluable throughout this journey. Your mentorship has significantly contributed to my growth and success. Additionally, I extend my thanks to the participants who agreed to my interview requests. Your contributions have ensured a fulfilling and enriching research experience. 1 2 Table of Content 1. Chapter One: Introduction ............................................................................. 3 1.1. Background ................................................................................................. 3 1.2. Governance of Higher Education in South Africa .................................... 4 1.3. Research Problem ....................................................................................... 6 1.4. Research Question ...................................................................................... 8 1.5. Research Purpose ....................................................................................... 8 1.6. Research Objectives ................................................................................... 9 The research objectives are as follows: .............................................................. 9 1.7. Conclusion ................................................................................................. 10 2. Chapter two: Literature Review ................................................................... 11 2.1. Introduction ............................................................................................... 11 2.2. Transition of South African Higher Education landscape post democracy ........................................................................................................... 13 2.3. The autonomy and governance of South African Universities.............. 16 2.4. Towards Conceptual Clarity: Defining Corruption and Fraud in Higher Education ............................................................................................................. 18 2.5. South African Legislation (Anti-Corruption and Anti-Fraud Acts) ........ 19 2.5.1. The Prevention and Combating of Corrupt Activities Act 12 of 2004 ... 20 2.5.2. The Protected Disclosures Act 26 of 2000 .............................................. 21 2.5.3. Prevention of Organised Crime Act 121 of 1998 ..................................... 24 2.5.4. The National Anti-Corruption Strategy 2020 – 2023 ............................... 25 2.5.5. Institutionalisation of the NACS ............................................................... 27 2.5.6. The National Anti-Corruption Advisory Council (NACAC) ..................... 28 2.6. Understanding the Influence of Ethical Norms ....................................... 29 2.7. Institutional Theory Framework ............................................................... 33 2.7.1. Institutional Theory ................................................................................... 33 2.7.2. Old Institutional Theory ............................................................................ 34 2.7.3. New Institutional Theory Framework ....................................................... 34 2.7.4. Institutional Theory Framework in Higher Education ............................ 34 2.8. Conclusion ................................................................................................. 35 3. Chapter Three: Discussion of the Research Methodology ....................... 37 3.1. Introduction ............................................................................................... 37 3.2. Qualitative approach ................................................................................. 37 3.3. Research tools and t heir application. ...................................................................................................... 38 3.4. Sampling .................................................................................................... 40 3.5. Documentation Sampling and data collection ........................................ 40 3.6. Protocol development and data collection. ............................................ 40 3.7. Data coding ................................................................................................ 41 3.8. Participants Interview ............................................................................... 41 3.9. Interview questions. .................................................................................. 42 3.10. Interview data analysis. ............................................................................ 42 3.11. Limitations, Feasibility and Positionality ................................................ 42 3.12. Ethics .......................................................................................................... 44 3.13. Validity, Reliability and Dependability ..................................................... 45 3.14. Chapter summary ...................................................................................... 47 4. Chapter Four: Presentation and Analysis of Data ..................................... 48 4.1. Introduction: University Policies.............................................................. 48 4.2. Thematic Analysis of Policies .................................................................. 48 4.2.1. Step 1: Familiarisation with the data ....................................................... 49 4.2.2. Step 2: Generating initial codes. .............................................................. 50 4.2.3. Step 3: Searching for themes. .................................................................. 51 4.2.4. Step 4: Validity and Reliability of themes ................................................ 51 4.2.5. Step 5: Defining and naming themes ....................................................... 51 4.2.6. Step 6: Interpretation and reporting ........................................................ 53 4.3. Presentation of research data: Interviews .............................................. 65 4.3.1. Introduction ............................................................................................... 65 4.3.2. Thematic analysis: Interview .................................................................... 65 4.4. Conclusion ................................................................................................. 78 5. Chapter Five: Research Findings & Discussion ........................................ 79 5.1. Discussion of Findings: Anti-Fraud and Anti-Corruption Policies in Higher Education ................................................................................................. 79 5.2. Discussion of findings: Interviews with practitioners in Higher Education ............................................................................................................. 86 5.3. Conclusion ................................................................................................. 93 6. Chapter Six: Summary, Conclusion and Recommendations .................... 95 6.1. Conclusions ............................................................................................... 95 6.2. Summary .................................................................................................... 95 6.3. Conclusion in terms of objectives ........................................................... 96 2 6.4. Recommendations .................................................................................... 99 6.5. Research limitations. .............................................................................. 101 7. Reference .................................................................................................... 103 List of abbreviations ACFE : Association of Certified Fraud Examiners CHE : Council on Higher Education DHET : Department of Higher Education and Training HEI : Higher Education Institution NACS : National Anti-Corruption Strategy 2020 – 2030 PDA : Protected Disclosures Act List of Figures / Tables Title of figure Page Number Thematic Analysis by Braun and Clarke. Source: Braun and Clarke (2006) 48 Table 1 : Final list of themes 52 Appendix Appendicitis Page Number Appendix A : Research Methodology 111 Appendix B : Laws and Regulations 117 Appendix C : Interview Questionnaire 118 3 Key words: Anti-Corruption, Anti-Fraud, Policies, South African Universities, National Anti-Corruption Strategy. 1. Chapter One: Introduction 1.1. Background Corruption and fraud have emerged as pervasive and destructive phenomena in South Africa, posing significant challenges to society (Ndlovu, 2021; Nortje, 2023). The far-reaching implications of corruption extend beyond mere financial losses but also affect democracy, service delivery, socio-economic development, job creation, public trust in government, and investor confidence in the country (Ngcamu & Mantzaris, 2022; Moeti, 2016). This issue has infiltrated both the public and private sectors, permeated key institutions and undermined national security and the rule of law. Evidently, a notable trend observed across numerous developing nations pertains to their consistently inferior performance in corruption index evaluations (Ndlovu, 2021). For instance, South Africa's position in the corruption perception ranking stands at 72 out of 180 countries included in the index, as reported by Transparency International, (2021) South African Universities, seen as crucial foundations of knowledge and advancement, have sadly been tainted by matters of corruption and fraud (Ngcamu & Mantzaris, 2023). Prominent cases, such as those at the University of Zululand (UNIZULU) and the University of Mpumalanga, have brought attention to the urgent need for enhanced vigilance and accountability within the higher education sector. During the tenure of Prof Chris De Beer as Vice-Chancellor of UNIZULU, the University faced extensive scrutiny and concerns were raised regarding corrupt practices (Dlamni, 2018). Similarly, the University of Mpumalanga has been pestered by allegations of corruption, mismanagement, and the exercise of undue authority, casting doubt on the university’s governance and management (Naidu, 2021). The recent incident involving an attempted assassination directed at the Vice Chancellor and Principal of the University of Fort Hare has further garnered significant attention, shedding light on the extent to which individuals involved in corruption and fraudulent activities at higher education institutions, are willing to push boundaries (Jansen, 2023). Thus, the incident serves as a stark reminder of the pressing imperative to 4 address and evaluate the effectiveness of anti-corruption and anti-fraud policies implemented in Higher Education Institutions. These incidents underscore the pressing need for universities to address corruption, strengthen their governance mechanisms, and ensure transparency and integrity in their operations (Ngcamu & Mantzaris, 2022b) 1.2. Governance of Higher Education in South Africa The governance and regulation of South African Public Universities are guided by the Higher Education Act 101 of 1997. The act provides a comprehensive legal framework that outlines the rights, responsibilities, and obligations of universities, their management, and other stakeholders involved in the higher education sector. The act sets out the expectations for good governance, accountability, and ethical conduct within the higher education sector (Higher Education Act 101 of 1997, 1997) Moreover, the Act grants universities the autonomy to establish their own internal policies and procedures within the framework of national legislation, enabling them to address the unique needs and contexts of their respective institutions (Bengu, 1997). The Higher Education Act,101 of 1997, as amended, mandates the establishment of the Council on Higher Education (CHE) as an autonomous statutory entity. The CHE's mission statement articulates its commitment to fostering a higher education framework characterised by principles of equity, quality, responsiveness to economic and social development imperatives, and the efficient management of provisions (Higher Education Act 101 of 1997). The CHE endeavors to fulfill this mandate by providing informed, deliberative, independent, and strategic counsel on matters pertaining to higher education to the Minister of Education. This advisory role is facilitated through the quality assurance initiatives undertaken by its Higher Education Quality Committee (HEQC). Moreover, the CHE contributes to the dissemination of knowledge and information through various channels, including publications such as annual reports to parliament, which offer comprehensive analyses of the current state of higher education and the challenges it faces (Higher Education Act 101 of 1997). Additionally, the CHE engages in broader initiatives such as conferences and workshops, aiming to facilitate dialogue and collaboration on advancements in the field of higher education. 5 Despite the existence of the Higher Education Act and other anti-corruption laws, corruption and fraud remain deeply rooted within South African universities (Jansen , 2023) Ngcamu & Mantzaris, 2022a, 2023). The prevalence of high-profile corruption incidents in Universities highlights the extensive nature of this issue (Mendelsohn, 2014; Ngcamu & Mantzaris, 2023) Government has further implemented certain mechanisms in its fight against fraud and corruption such as the adoption of the National Anti-Corruption Strategy 2020 - 2030 (NACS). The NACS was introduced as a mechanism to establish an anti- corruption framework within the context of existing legislation (National Anti- Corruption Strategy 2020-2030, 2020). The NACS emphasises prevention through good governance, transparency, integrity management, and early detection of potential corrupt practices (National Anti-Corruption Strategy 2020-2030, 2020). It provides a blueprint for anti-corruption efforts and outlines the role and responsibilities of stakeholders in meeting the objectives of the strategy National Anti-Corruption Strategy 2020-2030. However, corruption and fraud within the realm of higher education has received minimal attention and scholarly interest, resulting in a scarcity of research on this contentious subject matter (Butmalai, 2022; Singh, 2020). As a result, there is a critical gap in our understanding of the challenges and opportunities associated with combating corruption and fraud in South African Universities, particularly within the context of the Higher Education Act (1997) and the National Anti-Corruption Strategy 202-2023 (NACS). The research aim was to undertake an examination of the prevailing anti-corruption and anti-fraud policies and measures employed in South Africa Public Universities. By exploring the specific provisions and mechanisms outlined in the Higher Education Act, as well as the integration of the principles of the NACS within university governance structures, this study pursued to shed light on the mechanism that are in place in order to eradicate corruption and fraud in their institutions. Through a qualitative research methodology, an examination was conducted on a selection of ten (10) policies sourced from various Higher Education Institutions (HEI). This examination shed light on the intricacies and nuances inherent in these 6 policies, thereby facilitating a deeper understanding of their underlying principles and implementation frameworks. Secondly, interviews were conducted with Fraud Risk Specialists/Practitioners from four (4) Higher Education Institutions (HEIs). This qualitative inquiry aimed to engage with professionals who possess specialised expertise in fraud risk management within the Higher Education Sector. The interviews were semi-structured to explore a diverse range of perspectives, experiences, and insights pertaining to fraud prevention and mitigation strategies employed within these institutions. The Department of Higher Education and Training (DHET), perceived as the custodian responsible for implementing government-directed policies in universities, was invited to participate in this study. DHET's involvement was considered essential for understanding its role in ensuring universities adhere to the principles outlined in the National Anti-Corruption Strategy (NACS) and DHET's anti-corruption and anti- fraud policies within the higher education sector. The Higher Education Act 101 of 1997 provides guidelines that govern public higher education, and DHET's input would have been valuable to this study. However, DHET had not responded to the invitation at the time of publishing the report (Higher Education Act 101 of 1997). The outcome of this research has enriched the academic comprehension of corruption and fraud in higher education, more specifically the study is poised to furnish policymakers, university administrators, and various stakeholders with practical insights and policy recommendations, thereby advancing efforts to fortify anti-corruption and anti-fraud measures within the university domain. 1.3. Research Problem Universities bear the responsibility for cultivating a skilled and competitive human resource (Kasradze et al., 2019), and in nearly all societies, the university represents the apex of the national education endeavour (Kasradze et al., 2019). While the excellence of a university can be associated intrinsically to the effectiveness of its management or governance structures (Wolhuter & Langa, 2021), there is however a gap notable from a report published by the Association of Certified Fraud Examiner (ACFE) titled “Occupational Fraud 2022: A Report to the Nations”, the report 7 highlighted occupational fraud as an emerging form of fraud within Higher Education Institutions, constituting 49% of reported cases (ACFE, 2022) , and even with the best of controls in place, poor organisational governance is regarded as a major source of corruption and fraud (Singh, 2020 ; Rizky et al., 2018). There has been an increase in DHET’s interventions in Higher Education Institutions, significantly post 1994, with no fewer than 20 instances recorded. The interventions frequently involve the appointment of administrators, or, in certain instances, interim Vice-Chancellors were appointed. Administrators and interim Vice-Chancellors were tasked with taking over the governance or management functions of troubled universities (Jansen, 2023). What (Jansen, 2023) further suggests is that a more thorough understanding of chronic dysfunction in institutions can be found by delving into the origins and histories of these institutions, tracing their evolution over time. In other words, to grasp the root causes of persistent issues within institutions, it is essential to explore the historical context in which they were established and the various transformations they have undergone (Jansen, 2023). There is a wealth of literature on academic misconduct, including plagiarism, degree fraud, and misrepresenting research data, among other forms of corruption that take place in universities (Denisova-Schmidt, 2020; Hallak et al., 2007; Kirya, 2019) however, little research has been conducted on the corruption and fraud that take place in the professional function of the university. Thus, the research aim was to undertake an examination of the prevailing anti- corruption and anti-fraud policies and measures employed within South African Public Universities. By exploring the specific provisions and mechanisms outlined in the Higher Education Act, as well as the integration of the principles of the NACS within university governance structures, this study seeks to shed light on the mechanism used by universities to manage incidents of corruption and fraud. 8 1.4. Research Question The main research question of this study was as follows: What are the primary methods and mechanisms employed to address corruption and fraud within South African Higher Education Institutions ? The secondary research questions were: o Are there notable differences in the implementation of anti-corruption and anti- fraud measures among various South African HEIs? o To what extent do the policies and practices implemented by South African universities in preventing fraud and corruption align with and reflect interventions by the Higher Education Act and other legislations, as well as the integration of the principles of the NACS within university governance? 1.5. Research Purpose The research aimed to examine the policies, measures, and strategies adopted by South African Universities to combat corruption and fraud. It scrutinised the influence of these university policies on improving corporate governance standards within the realm of South African Higher Education Institutions. Through an examination of corruption and fraud prevention policies, the study sought to evaluate their alignment with the principles outlined in the National Anti-Corruption Strategy 2020-2030, while also identifying instances of conformity with established best practices in the field, such as those outlined in the King IV Report on Good Corporate Governance 2016. To deepen comprehension of the implemented policies and mechanisms, a series of interviews were conducted with experts and practitioners specialising in fraud and corruption prevention at four distinct universities. By examining the University policies, the study aimed to discern any disparities or similarities in the approaches taken, thus shedding light on the broader context shaping anti-fraud and anti- corruption efforts within the Higher Education Institution, 9 while simultaneously examining the extent to which these measures align with established guidelines and frameworks outlined by relevant institutional or regulatory bodies. And to further assess the alignment of such policies to the National Anti- Corruption Strategy 2020 – 2023 (NACS) within the context of South African Universities. 1.6. Research Objectives The research objectives are as follows: 1.6.1. Identify the range of policies implemented by South African Universities to prevent and address incidents of fraud and corruption. This objective aim was to examine the specific policies and guidelines established by Universities to promote integrity, transparency, and accountability in their operations. 1.6.2. Explore the measures and strategies employed by South African Universities to proactively prevent fraud and corruption. This objective pursued to investigate the proactive measures implemented by universities, such as internal controls, risk assessments, and fraud detection mechanisms, to mitigate the risks associated with fraudulent and corrupt activities. 1.6.3. Examine the challenges faced by South African universities in implementing anti-fraud and anti-corruption measures. This objective aimed to identify the obstacles, barriers, and limitations that universities encounter when implementing policies and strategies to prevent and address fraud and corruption, including cultural, organisational, and resource-related challenges. 1.6.4. Examine the role of the Department of Higher Education and Training’s (DHET) involvement in developing and disseminating policies, guidelines, and frameworks related to the National Anti-Corruption Strategy (NACS) implementation within South African Universities. 10 1.7. Outline of the Report o Chapter 1 – Chapter 1 furnishes an introduction and a comprehensive overview of the study. It details the research problem statement, research questions, research purpose, and objectives. Furthermore, it highlights the motivation behind the study and the research methodologies employed. o Chapter 2 – This chapter explores the key literature relevant to the study. It analyses past and current literature that forms the theoretical foundation for the research. o Chapter 3 – This chapter outlines the research methodology utilised to fulfill the study. It encompasses the research tools and their applications, the sampling procedures, the analytical process, research limitations, feasibility and positionality considerations, the ethical approach, and the validity, reliability, and dependability of the methodology. o Chapter 4 – The collected data is presented, analysed, and discussed in relation to the literature review and research objectives. o Chapter 5 – In this chapter, we will comprehensively present and analyse the findings derived from our research. The discussion will interpret these findings in the context of existing literature and the NACS Strategic Pillars. o Chapter 6 - In this final chapter, we draw the conclusion of the research, and recommendations are provided based on the findings from Chapter Four, which universities may consider. Additionally, the chapter addresses the limitations of the current study and suggests directions for future research. 11 2. Chapter two: Literature Review 2.1. Introduction The integrity of the global higher education system is presently under heightened threat due to a rare convergence of challenges faced by those working in higher education institutions (Barac et al., 2011; Chapman & Lindner, 2016); The extend of corruption and fraud in universities cannot be measured with accuracy (Shore, 2018), because the complexity arises from the fact that ethical conduct in higher education is regarded as undetermined (Denisova-Schmidt, 2020). Until relatively recently, most corruption estimates relied on perception surveys. These surveys offer the advantage of broad coverage, as it is considerably simpler to inquire about individuals’ perceptions of corruption than to directly quantify instances of corruption (Olken, 2012). Governments, educators, students, and other stakeholders around the world had raised concerns with corruption in higher education (Shore, 2018). Shore (2018) went on further to suggest that “despite the plethora of indicators for measuring and ranking universities by the quality of their research and teaching, credit ratings, reputation, and other factors—such as impact, innovation, graduate employability, and the student experience— “no one has developed a world-wide academic corruption index, not yet at least” (Shore, 2018, p 92). The challenges within higher education are deeply interwoven within larger institutional and cultural contexts and may be seen from different angles by both insiders and outsiders (Denisova-Schmidt, 2020). In the context of South African Universities, institutions are allocated annual subsidy from the Department of Higher Education and Training (DHET), which is primarily based on their research publication output (Harley et al., 2016). A significant portion of this subsidy is allocated to journal article publications. The calculation of the journal article subsidy is determined by the number of journal output units generated by the university, which is derived from the quantity of research publications in DHET-approved journals and the proportional contribution of authors affiliated with the university (Harley et al., 2016). 12 This subsidy serves as a financial incentive to encourage an increase in research output among universities. However, it is essential that the allocation of this subsidy aligns with strategies aimed at maintaining or enhancing the impact of South Africa’s research endeavours (Harley et al., 2016). Ideally, university researchers should strive to produce high-quality research that makes a substantial impact within their respective scientific fields. Collaboration with other research groups can further augment the value of studies and facilitate the continued development and translation of research findings for societal benefit (Harley et al., 2016). Furthermore, academic experts theorise that the pressures on universities to increase revenue streams, raise tuition fees, and require faculty to secure external funding, commercialise their research, or undertake other non-profit initiatives, may create conditions conducive to unethical behaviour. (Barac et al., 2011; Sityata et al., 2021). The reforms undertaken by the higher education sector in a form of marketisation of universities has introduced a raft of new forms of accountability and control based on principles of financial accountability and new public management (Shore, 2018). The attention directed towards governance concerns within South African universities, stemming from various media and government reports has been raised as a concern (Jansen, 2023). The University of South Africa (UNISA) received an official recommendation to undergo administrative intervention, and a suggestion of relieving Senior Management and Council members from their duties (Naidu, 2021). This course of action is based on the findings of an independent assessor’s report, highlighted substantial matters of instability, mismanagement, and financial irregularities within the institution (Naidu, 2021). Likewise, in response to allegations of governance irregularities and mismanagement of resources, an independent report commissioned by the Minister of Higher Education and Training proposed the implementation of administrative measures at the Mangosuthu University of Technology (Dlamini, 2023). The reports indicate that individuals entrusted with fiduciary duties have compromised essential components of good governance. This compromise, in turn, has eroded effective and ethical leadership roles and responsibilities, thereby leading to inefficiencies and instability within the Higher Education Institutions (Tondi, 2019a). 13 The various reports issued by the Council of Higher Education indicate that despite variations in the nature, extent, and complexity of corruption across universities, a common modus operandi is identifiable (Ngcamu & Mantzaris, 2022b). This observation suggests a systemic issue characterised by a deliberate paralysis of internal control mechanisms aimed at detecting and combatting corruption within university settings (Ngcamu & Mantzaris, 2022a). Furthermore, another study by Ngcamu & Mantzaris, (2023) underscores a significant aspect of corrupt practices in universities, highlighting the lack of enforcement of rules and regulations by the institutions themselves. This lack of enforcement contributes to the perpetuation of corrupt behaviors and undermines efforts to foster transparency and integrity within academic institutions (Ngcamu & Mantzaris, 2022b). Therefore, the forthcoming literature review will explore the legislative framework that has defined the transition of the South African Higher Education Landscape as well as how this change affected the autonomy under which institutions of higher education function, establish scholarly definitions of the terms “corruption” and “fraud”, contextualised within the evolution of various legislative frameworks addressing corruption and fraud. The expansion of the legislative framework would further consider the recently approved National Anti-Corruption Strategy 2020 – 2023 (NACS) as well as the proposed implementation plan. Additionally, the academic delineation of these terms will be meticulously examined, complemented by an exploration of diverse scholarly perspectives and insights concerning potential remedial measures. 2.2. Transition of South African Higher Education landscape post democracy The current Higher Education system in South Africa bears the indelible marks of its historical legacy. Centuries of colonialism and exploitation have left an enduring imprint, fostering a deeply unequal society (Kulati, 2000). The apartheid era, characterised by extreme forms of segregation and discrimination, further exacerbated these inequalities (Kulati, 2000). Within the realm of higher education, racial differentiation and discrimination have perpetuated a divided and fragmented system. Furthermore, during the apartheid era in Higher Education, governmental 14 regulation of higher education institutions exhibited a complex blend of approaches. Historically, white institutions experienced relatively weak state supervision, whereas historically black institutions were subject to more authoritarian state control (Kulati, 2000). Public universities in South Africa are required to govern, manage, and structure themselves in accordance with the Higher Education Act 101 of 1997. The Higher Education Act 101 of 1997, was promulgated in order to: “Regulate HE; to provide for: the establishment, composition, and functions of a Council on Higher Education (CHE); the establishment, governance, and funding of public HEIs; the appointment and functions of an independent assessor; the registration of private HEIs; quality assurance and quality promotion in Higher Education” (Higher Education Act 101 of 1997). The Act further stipulates the establishment of a unified and coordinated Higher Education (HE) system, aimed at fostering cooperative governance and implementing program based HE. Additionally, it mandates the restructuring and transformation of programs and institutions to redress historical discrimination, ensure representativity, and promote equal access (Moodly & Skae, 2022). Moreover, the Act endeavors to provide optimal opportunities for learning and knowledge creation while advancing the values of an open and democratic society grounded in human dignity, equality, and freedom. It underscores the importance of respecting freedom of religion, belief, and opinion, as well as fostering democracy, academic freedom, freedom of speech and expression, creativity, scholarship, and research (Moodly & Skae, 2022). The Act advocates for the pursuit of excellence, the realisation of every student and employee’s potential, tolerance of diverse ideas, and appreciation of diversity. It emphasises responsiveness to the needs of the Republic and the communities served by the institutions, as well as contributing to the advancement of knowledge and scholarship in line with international academic quality standards (Moodly & Skae, 2022). 15 However, it became evident that the Higher Education Institution (HEI) environment is critically dependent on the principles of good governance, as well as the presence of ethical and effective leadership roles and responsibilities (Tondi, 2019b). The legislative framework had largely overlooked issues concerning institutional governance and management processes. Consequently, many institutions were struggling to translate the overarching governance framework outlined in the legislation into tangible strategies for institutional transformation. This led to considerable debate surrounding institutional governance centers and the role of leadership, or the perceived absence thereof, in driving institutional change (Kulati, 2000). Thus, in support of the Act, the publication of White Paper on Education 3 – A Programme for Higher Education Transformation, marked a significant shift in the higher education landscape, aiming to align the sector with the evolving societal dynamics and reinforce the principles of the new democratic order (Bengu, 1997) (Gray, 2017). The White Paper on Education fostered the need for transformation, acceptance of cooperative governance and institutional autonomy (Moodly & Skae, 2022). This White Paper on Education outlines a framework for reform, emphasising the need for the higher education system to be strategically planned, governed, and funded as a unified national entity. Such a holistic approach was envisioned to address historical legacies of fragmentation, inequality, and inefficiency, while fostering a learning society that harnesses the creative and intellectual potential of all citizens toward national reconstruction and development goals (Bengu, 1997; Gray, 2017; Kulati, 2000). Chapter 3 of the Education White Paper delves into the governance model for Higher Education, advocating for governance structures that reflect core values concerning the distribution and exercise of authority, responsibility, and accountability. Accordingly, Higher Education Institutions were entrusted with the management of their internal affairs (Bengu, 1997). Central to this governance framework are institutional Councils, serving as the apex decision-making bodies within Higher Education Institutions. These councils bear the responsibility of ensuring an effective governance, mission alignment, financial 16 stewardship, performance, quality assurance, and reputation management of their respective institutions (Bengu, 1997; Kulati, 2000), and to further ascertain that the executive management carries out its functions responsibly and effectively (Kulati, 2000). Thus, the White Paper on higher Education Transformation and the Higher Education Act, no 101, serve as the cornerstone of the transformation agenda for higher education institutions in South Africa (Kulati, 2000). 2.3. The autonomy and governance of South African Universities In recent years, governments worldwide have pursued the alignment of accountability and control in higher education by granting Higher Education Institutions (HEIs) increased autonomy in managing their inputs and resources (Barac et al., 2011). This autonomy entails the freedom to conduct their own pursuits in teaching, research, and other endeavors, without external interference from government or civil society (Wolhuter & Langa, 2021). Institutional autonomy refers to the independence and self-governing capacity of an institution, allowing it to make decisions regarding its internal affairs, academic programs, policies, and operations without undue external interference (Salmi, 2007). What autonomy further encompasses is the institution's ability to determine its strategic direction, manage its resources, hire faculty and staff, design curriculum, and establish internal governance structures, among other aspects (Nguyen et al., 2022). In the context of Higher Education, institutional autonomy is particularly crucial as it enables universities to preserve academic freedom, uphold quality standards, foster innovation, and respond flexibly to the evolving needs and challenges of the educational landscape (Le Grange, 2014). While enjoying autonomy, institutions are expected to operate within legal and regulatory frameworks and maintain accountability to stakeholders, ensuring responsible and transparent governance (Le Grange, 2014). The emergence of neo-liberal governmentality, representing an evolution of liberal governance, has correlated with the restructuring of the public higher education sector on a global scale (Gray, 2017). This transformation stems from a widespread trend of reducing social expenditures and the increasing demand for public institutions to transition into financially self-sustaining entities (Gray, 2017; Enders et 17 al., 2013) Following the dawn of democracy in South Africa, the higher education environment underwent significant reforms, notably in the empowerment of University Councils. These Councils, established in accordance with the Higher Education Act, Regulations, and University statutes, have become the paramount decision-making bodies (Marx, 2007). They bear the responsibility for overseeing governance, quality, integrity, financial affairs, performance, and reputation within their own institution (Marx, 2007). While acknowledging the autonomy granted to South African Universities, it is essential to recognise that these institutional frameworks are largely shaped by political, social, and economic dynamics (Kirya, 2019). These external factors exert influence on the standards and operational practices adopted by universities in conducting their affairs (Kirya, 2019). The environment in which higher education institutions operate relies in its entirety on good governance, ethical and effective leadership with clear roles and responsibilities (Tondi, 2019a). Thus, numerous Higher Education Institutions (HEI) have adopted corporate model of operation, with C-suite executives being part of the governing board and reporting to Council and or Trustees (Barac et al., 2011; Tondi, 2019b). Supporters of this model contend that universities should be managed by professionals with expertise in corporate policy, strategic planning, leadership efficiency, cost-effectiveness, and cost reduction (Trakman, 2008). This expertise is deemed essential in navigating challenges such as declining government funding, reduced fee-paying enrollments, and the necessity for alternative income streams (Gray, 2017; Trakman, 2008). Therefore, the adoption of corporate governance practices by Higher Education Institutions (HEIs) in South Africa have necessitated the demand for effective management of these institutions and a commitment to sound governance practices (Marx, 2007). Institutional autonomy is generally regarded as a fundamental concept within higher education, divergent perspectives exist among scholars. Some authors express apprehension, contending that the Higher Education and Training Laws Amendment Act imposes significant constraints on institutional freedom and autonomy (Gray, 2017). While Enders et al., (2013) was of a view that autonomy should be re-defined 18 as the ‘new organisational autonomy’ of universities, acknowledging both strategic actors and as an addressee of governmental control. 2.4. Towards Conceptual Clarity: Defining Corruption and Fraud in Higher Education In the research conducted by Goto and Ogunnubi (2014) title “Corruption and Development in Africa: Critical Reflection from Post-apartheid South Africa” the authors recognise corruption as a multifaceted concept that poses challenges when attempting to assign a precise definition. However, the authors argue that there may be contextual factors that need to be considered when defining actions perceived as corrupt. Similarly, Chapman & Lindner (2016) shared a similar perspective, acknowledging the difficulty in defining corrupt behaviours despite a common theme observed in literature, while Shore, (2018) went on to suggest that corruption isn't a fixed or universal concept. The meanings of corruption and what could be considered as "corrupt" often differ across cultures. This makes it challenging to define and even more challenging to measure or compare (Shore, 2018). Nevertheless, corruption is regarded as a highly complex issue and encompasses an umbrella term for many different forms of dishonest behaviour. It is considered to arise at several levels being government, institutional as well as personal level (Schuetze, 2021). Seemingly, most scholars have endorsed the Transparency International’s definition of corruption, which encompasses the notion of corruption as the exploitation of delegated authority for personal benefit (Chapman & Lindner, 2016; Denisova-Schmidt, 2020; Osipian, 2008; Schuetze, 2021.; Shore, 2018; Transparency International, 2021). In Chapter 2, of the Prevention and Combating of Corrupt Activities Act, 2004 (Act 12 of 2004) corruption is defined as; “any person who gives or accepts or offers to give or accept any gratification amounting to an unauthorised or improper inducement to act or not to act in a particular manner is guilty of the offence of corruption” (PRECCA, 2004, p. 32). The Act itself does not provide for the definition of fraud but rather places a duty on a person who holds a position of authority to report incidents of fraud (PRECCA, 2004). 19 Akers et al., (2006) further implied that the dilemma is fraud detection starts with understanding what exactly constitutes fraud. While the Law Dictionary defines fraud as “consisting of some deceitful practice or willful device, resorted to with intent to deprive another of his right, or in some manner to do him an injury” (www.thelawdictionary.org, 2023). The Association of Certified Fraud Examiners (ACFE) defines fraud as “any activity that relies on deception to achieve a gain. Fraud becomes a crime when it is a known misrepresentation of the truth or concealment of a material fact to induce another to act to his or her detriment” (Jackson et al., 2010). Jackson et al., (2010) suggest a conceptual distinction between two primary categories of fraudulent activities, namely financial statement fraud and occupational fraud. Financial statement fraud pertains to the deliberate misrepresentation or manipulating of an organisations financial position, while occupational fraud primarily involves illicit actions carried out by the employees with the intention of unlawfully acquiring assets or funds from a business entity (Jackson et al., 2010). This definition places emphasis on a comprehensive interpretation of the term, encompassing the qualities of being "deceitful" or employing "dishonest tricks or stratagems." Consequently, it becomes apparent that there exists an intersection in the conceptual understanding of the term fraud (Maulidi & Ansell, 2020). While both corruption and fraud involve unethical or illegal behavior, corruption is often associated with acts committed by individuals in positions of power or authority, and while fraud can occur in various contexts and may involve individuals at different levels of an organisation or society (ACFE, 2022). Corruption and fraud are frequently seen as interchangeable, and they continue to be regarded as colossal counterparts (Erbuğa, 2022). 2.5. South African Legislation (Anti-Corruption and Anti-Fraud Acts) Subsequent to South Africa's attainment of independence, the Constitution was formulated as the cornerstone governing all legislative enactments within the republic (Ndlovu, 2021). To further emphasise the commitment towards good governance, section 195 of the Constitution specifies that public administration should be 20 governed within the realm of promoting high standards or professional ethics, ensure efficient, economic, and effective use of resources, transparency in dealing with the public and providing accurate information, while at the same time being accountable (Naidoo, 2012). In the realm of anti-corruption measures, a suite of pivotal legislative instruments are employed to deter and address illicit practices. Among these statutes are the Promotion of Access to Information Act (PAIA) No. 2 of 2000, the Promotion of Administrative Justice Act (PAJA) No. 3 of 2000, the Protected Disclosures Act (PDA) No. 26 of 2004, the Public Finance Management Act (PFMA) No. 1 of 1999, the Municipal Finance Management Act (MFMA) No. 56 of 2003, the Public Audit Act No. 25 of 2004, the Financial Intelligence Centre Act (FICA) No. 38 of 2001, the Prevention of Organised Crime Act, No. 121 of 1998, alongside foundational legislation associated with institutions reinforcement of constitutional governance (National Anti-Corruption Strategy 2020-2030, 2020, p. 21). Therefore, the subsequent section will explore several key legislative mandates, outlining their historical trajectory and interpreting the purpose of each act. 2.5.1. The Prevention and Combating of Corrupt Activities Act 12 of 2004 The promulgation of the foundational document precipitated the emergence of additional legislative instruments, notably those pertaining to the regulation of corruption and fraudulent activities (Ndlovu, 2021).The Prevention of Corruption Act 6 of 1958, has been regarded as the main piece of legislation in South Africa, governing crimes relating to corruption and fraud. The Prevention of Corruption Act 6 of 1958 Act was however repealed by the Corruption Act 94 of 1992. The repeal was initiated as a result of certain challenging aspect such as the lack of definition of corruption itself as well as other terms used in the legislation (Milton, 1993). Following the change in democracy, various proposals were made in relation to the amendment of the Corruption Act 94 of 1992. The primary motivation behind amending the law was to ensure that government measures for creating a comprehensive anti-corruption strategy were taken into consideration, as well as to further consider developments in international law. The proposed amendment further 21 included a variety of distinct clauses regarding various forms of corruption (Government Gazette No 23336 of 18 April 2002). Following the approval of the above Bill, The Prevention and Combating of Corrupt Activities Act 12 of 2004 came into law in 2004, and was legislated in order to: “Provide for the strengthening of measures to prevent and combat corruption and corrupt activities, to provide for the offence of corruption and offences relating to corrupt activities, to provide for the establishment and endorsement of a Register in order to place certain restrictions on persons and enterprises convicted of corrupt activities relating to tender and contracts, to place a duty on certain persons holding a position of authority to report certain corrupt transactions” (PRECCA, 2004). 2.5.2. The Protected Disclosures Act 26 of 2000 The Protected Disclosures Act 26 of 2000 was promulgated with the aim of encouraging and protecting responsible whistleblowing (Naidoo, 2012). The act was promulgated in order to: “Make provision for procedures in terms of which employees in both private and the public sector may disclose information regarding unlawful or irregular conduct by their employers or other employees in the employee of their employers, to provide for the protection of employees who make a disclosure which is protected in terms of this Act, and to provide for matters connected therewith” (Protected Disclosures Act 26 of 2000, 2001, p. 1). The legislation safeguard individuals who expose information regarding illicit or fraudulent activities from facing workplace-related disadvantages (Lubisi & Bezuidenhoudt, 2016; Naidoo, 2012; Protected Disclosures Act 26 of 2000, 2001). Whistleblowing constitutes the act of revealing instances of fraudulence, any manifestation of unlawful behaviour, as well as all morally reprehensible actions and activities that pose a threat to the institution and its various stakeholders. This includes but is not limited to unethical conduct, mismanagement of resources, breaches of legal regulations, and any other behaviour that undermines the integrity and trustworthiness of the institution (Pratolo et al., 2020). Accordingly, the author went on further to allude that whistleblowing can either be internal whistleblowing or 22 external whistle blowing. The distinction between the two is that the internal whistleblowing is reported within the organisation itself, while external whistleblowing is reported to external authorities (Pratolo et al., 2020). Whistleblowing is often considered as an effective mechanism to eliminate unethical conduct (Dorasamy, 2012; Lubisi & Bezuidenhoudt, 2016; Nortje, 2023)(). Nevertheless, it can be argued that the efficacy of this approach relies on the acknowledgment and resolution of challenges that have the potential to undermine its implementation as an anti-corruption tool. Identifying and addressing these obstacles is crucial to ensuring the successful execution and impact of the anti- corruption measures in place (Dorasamy & Pillay, 2011). Nortje, (2023) affirms that it is widely recognised that a whistleblowing mechanism should incorporate robust measures for witness protection and confidentiality. The inclusion of such rules and regulations serves to enhance the likelihood that whistleblowers will feel secure and protected when coming forward with information (Dorasamy, 2012). By ensuring confidentiality, individuals may be more inclined to report wrongdoing without fear of retaliation while witness protection measures not only safeguard the identity of the whistleblower but also contribute to creating an environment where individuals are more willing to disclose information about unethical or illegal activities, ultimately fostering a culture of transparency and accountability within the organisation (Dorasamy, 2012). Indeed, the effectiveness of whistleblowing as an anti-corruption tool cannot be undermined (Nortje, 2023). Even with the protection provided to whistleblowers under legislation such as the Protected Disclosures Act 2000 in South Africa, potential whistleblowers are often deterred from speaking out due to the pervasive fear of retaliation (Dorasamy, 2012). This assertion finds reinforcement in statistical data, which suggests a decline in the number of whistleblowers. Despite the enactment of numerous legislations intended to safeguard whistleblowers, there appears to be a notable scarcity in the effective implementation of such legal frameworks. The findings of the 2018 Global Economic Crime and Fraud Survey, conducted by PricewaterhouseCoopers, emphasise this observation. The survey revealed that a mere seven percent of all instances of corrupt activities were reported by whistleblowers on a global scale, indicative of 23 potential reluctance among whistleblowers to report instances of corruption (Nortje, 2023). This fear underlines the significance of not only having protective legal frameworks in place but also fostering a culture within organisations that actively discourages reprisals and ensures the genuine safety of those who come forward with information about misconduct. Addressing this fear is crucial to creating an environment where individuals feel secure enough to report wrongdoing without apprehension of negative consequences (Dorasamy & Pillay, 2011). Against this notion, the PDA was further amended to consider the term “Occupation detriment”, which in defined in the Protected Disclosure Amendment Act 2017 (PDA), “as all adverse effects including any disciplinary action, dismissal, civil claim, transfer, threats, harassment, retention, or acquisition of contract to render services among others, to a worker who made a protected disclosure in good faith”(Osiki, 2022, p. 145) The absence of a culture supporting whistleblowing in higher education governance may hinder valid practices, thus cultivating a culture encouraging whistleblowing through institutionalised policies positively influences potential whistleblowers (Dorasamy, 2012). Such policies signal commitment to transparency, accountability, and ethical conduct. This environment reduces fear of reprisal, fostering trust and confidence among employees (Dorasamy, 2012). Institutional frameworks are crucial for upholding integrity in higher education institutions and emphasise whistleblowing as an essential mechanism to ensure a sound and ethical governance approach (Dorasamy, 2012). Recognising the significance of an efficient whistleblowing mechanism within organisations, as reinforced by the Protected Disclosures Act 26 of 2000 (PDA), concerns were raised during the Judicial Commission of Inquiry into Allegations of State Capture, Corruption, and Fraud in the Public Sector Including Organs of State (the Zondo Commission). The commission highlighted deficiencies in the PDA, noting its lack of a clear procedure for whistleblowers to follow and inadequate assurance of protection for disclosures. Additionally, the act was criticised for its failure to provide proactive physical protection, offer incentives to whistleblowers, or ensure that disclosed information reaches entities equipped with specialised skills for 24 investigation and utilisation (Department of Justice and Constitutional Development, 2023). Echoing the observations of the Zondo Commission, it became apparent that whistleblowers often face severe consequences for their disclosures. These repercussions may include financial and reputational ruin, loss of housing and custody of children, harassment, intimidation, criminal prosecution, and unwarranted civil litigation. Furthermore, following blowing the whistle against wrong doing, individuals may have trouble securing employment, personal threats, threats against family members, and mental health challenges such as anxiety and depression. Regrettably, instances of retaliation against whistleblowers typically go unpunished (Department of Justice and Constitutional Development, 2023). Against this backdrop, the Proposed Reforms for the Protected Disclosures Act in is currently under review, highlighting the urgent need to reforms the protection whistleblowers and address the shortcomings of existing legislation. 2.5.3. Prevention of Organised Crime Act 121 of 1998 The Prevention of Organised Crime Act 121 of 1998, was promulgated in order to.” “To introduce measures to combat organised crime, money laundering and criminal gang activities; to prohibit certain activities relating to racketeering activities; to provide for the prohibition of money laundering and for an obligation to report certain information; to criminalise certain activities associated with gangs; to provide for the recovery of the proceeds of unlawful activity; for the civil forfeiture of criminal assets that have been used to commit an offence or assets that are the proceeds of unlawful activity; to provide for the establishment of a Criminal Assets Recovery Account; to amend the Drugs and Drug Trafficking Act, 1992; to amend the International Co-operation in Criminal Matters Act, 1996; to repeal the Proceeds of Crime Act, 1996; to incorporate the provisions contained in the Proceeds of Crime Act, 1996; and to provide for matters connected therewith” (POCA, 1998). 25 The Prevention of Organised Crime Act (POCA) represents a concerted effort by the South African Government to combat organised crime, money laundering, and criminal gang activities within the country. This legislation empowers law enforcement agencies to impose significant penalties, including hefty fines, and to issue orders such as confiscation and forfeiture of assets implicated in criminal activities (Neì, 2003). To further strengthen the application of the anti-corruption legal framework and to align South African laws with international treating, the National Anti-Corruption Strategy: 2020-2023 (NACS) was developed and approved in 2020. The strategy was developed in response to the need for coordinated anti-corruption initiatives across various sectors and to address what is being regarded as a corruption pandemic in the country (National Anti-Corruption Strategy 2020-2030, 2020). 2.5.4. The National Anti-Corruption Strategy 2020 – 2023 South Africa, as indicated by various scholarly sources (Argandoña, 2007; Nortje, 2023), is a signatory to numerous international conventions and treaties. These agreements include the United Nations Convention Against Corruption (2003), the Organisation for Economic Cooperation and Development’s Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (1997), the African Union’s Convention on Preventing and Combating Corruption (2003), the Southern African Development Community’s Protocol against Corruption (2001), and the United Nations Convention against Transnational Organised Crime (2000) along with its associated protocols. These commitments impose an obligation on South Africa to undertake preventive and combative measures against corruption (National Anti-Corruption Strategy 2020-2030, 2020, p. 8).(National Anti-Corruption Strategy 2020-2030, 2020, p. 8) The development of the National Anti-Corruption Strategy 2020-2030 was initiated following an urgent need to amalgamate efforts directed at combating corruption across various sectors, amidst a context marked by numerous judicial commissions of inquiry and the erosion of governance and integrity frameworks within governmental bodies and institutions (National Anti-Corruption Strategy 2020-2030, 26 2020). This initiative highlighted the collective dedication of governmental, corporate, and civil societal entities towards realising the objectives outlined in the National Development Plan 2030 (National Anti-Corruption Strategy 2020-2030, 2020). The foundational tenet of the National Anti-Corruption Strategy (NACS) resides in prioritising proactive measures aimed at thwarting corruption, underpinned by robust governance frameworks, transparent processes, effective integrity management, and stringent accountability mechanisms within societal structures. This approach advocates for the timely identification of nascent corrupt activities to complement the responsive strategies undertaken by law enforcement entities and allied anti- corruption institutions within the societal framework (National Anti-Corruption Strategy 2020-2030, 2020). The process and methodology that guided the development of the NACS framework included a review of the existing literature on corruption, international best practice, stakeholder engagements and public engagement. The conceptual framework as adopted, focused on pillars that will guide the implementation of the strategy across all sectors. Henceforth, all sectors are required to take ownership of the implementation of the National Anti-Corruption Strategy (National Anti-Corruption Strategy 2020-2030, 2020). A set of principles and objectives were created to provide instructions for preventing corruption in institutions. The key components of the strategy were presented as follows: • Strategic Pillar one: Citizen participation and mobilisation, The focus will be on promoting and encourage active citizenry, whistleblowing, integrity, and transparency in all spheres of society, • Strategic Pillar two: Professional conduct The focus on the strategy will be on the advancement of professionalisation of employees in all sectors to optimise their contribution to create corrupt-free workplaces. • Strategic Pillar three: Ethical governance with oversight and consequence management 27 The focus of this strategy is to enhance governance, oversight, and consequence management in organisations. • Strategic Pillar four: Credible, Transparent procurement system The focus will be on improving the integrity and credibility of the public procurement system. • Strategic Pillar five: Strong anti-corruption agencies The focus will be on strengthening resourcing, coordination, transnational cooperation, performance, accountability, and independence of dedicated anti- corruption agencies. • Strategic Pillar six: Protection of vulnerable sectors The focus will be on protecting vulnerable sectors that are most prone to corruption and unethical practices with effective risk management. (National Anti-Corruption Strategy 2020-2030, 2020) Over the course of several years, many countries have established anti-corruption initiatives in response to the challenges posed by fraud and corruption. These efforts often place significant reliance on legal frameworks, financial institutions, the judiciary, and financial auditors to enforce accountability and bolster integrity within the public sector (Mccusker, 2000). However, it's important to note that while these proposed measures are essential, addressing corruption comprehensively also necessitates a multifaceted approach that encompasses cultural, societal, and institutional dimensions beyond mere legal and financial mechanisms (Mccusker, 2000). 2.5.5. Institutionalisation of the NACS The NACS is championed by the President supported by the social compact already established through the National Economic Development and Labour Council (NEDLAC). The necessity for sustained commitment in effectively executing the strategy, the recommendations was put forth to establish a National Anti-Corruption Advisory Council (NACAC), whose mandate will be to: • Oversee the initial transitional implementation of the NACS. • Conceptualise and draft legislative proposals for the establishment of the permanent overarching body. 28 • Engage in public consultations and advocacy around the NACS. • Engage with all stakeholders in line with the whole-of-society approach. • Liaise with existing anti-corruption structures, including referrals of cases/complaints. • Act as an interim interface for the coordination of anti-corruption. • Initiatives with existing anti-corruption operational structures. • Arrange and facilitate an anti-corruption summit. (National Anti-Corruption Strategy 2020-2030, 2020) 2.5.6. The National Anti-Corruption Advisory Council (NACAC) The National Anti-Corruption Advisory Council (NACAC) was formally established in August 2023. The representatives from civil society, business and government were nominated to serve on the Council. The aim of the Council is to advise the President with matters relating to fighting corruption in line with the NACS Strategy 2020-2023. The Council's key roles will be to provide guidance to the President on how to effectively put into action the anti-corruption strategy across different sectors, including government, civil society, and the private sector (Magwenya, 2023). Through the recommendations that will be coming from various judicial inquiries, the Council will be tasked with providing advisory to the responses and ensuring implementation of remedial actions. The recently formed body will provide recommendations to the government about crucial steps to prevent the recurrence of state capture. It will focus on suggesting measures, enhancing institutional capabilities, and ensuring necessary resources are in place to actively curb fraud and corruption in South Africa (Magwenya, 2023). The critical role of the Council in their advisory role will be to offer guidance on how to effectively put the National Anti-Corruption Strategy into action. This advice is for the government, civil society, and the private sector (Magwenya, 2023). Additionally, it will provide recommendations on reinforcing South Africa's anti-corruption framework. In addition, the Council is tasked with interacting with different stakeholders in specific sectors, such as businesses, labour organisations, academic institutions, and community or faith-based groups. This interaction aims to enhance 29 the country's efforts against corruption, develop the anti-corruption plan further, and assess how well the strategy is being put into action (Magwenya, 2023). 2.6. Understanding the Influence of Ethical Norms The separation between behaviors classified as "corrupt" and "non-corrupt" may not be readily discernible, particularly in contexts characterised by an absence of clearly defined rules and regulations (Hallak et al., 2007). While certain acts may be perceived by society as embedded within socio-cultural relationships and unrelated to corruption, authors argue that individuals possess a distinct awareness of what should be deemed acceptable or unacceptable, even in instances where the system or regulatory framework is deficient or non-existent (Hallak et al., 2007). Corruption and fraud are seen as parts of a social system that are intertwined with politics, the economy, science and technology, ethics, and aesthetics. The challenge in conceptualising arises from the diverse and intricate manifestations that corruption and fraud may assume, infiltrating both the internal and external systems, processes, and structures of the university context (Ngcamu & Mantzaris, 2022b). The implication as stated by (Harahap & Isgiyarta, 2023) is that corruption is shaped by community values and norms. These factors can influence individual officials, potentially fostering corrupt behavior (Harahap & Isgiyarta, 2023). Certainly, we concur with Dorasamy (2012) in asserting that an organisational culture characterised by zero tolerance for unethical conduct can wield significant influence over employees' perceptions of the severity of such misconduct. In such a culture, the explicit stance against unethical behavior communicates a strong commitment to ethical standards, thereby shaping the organisational ethos and reinforcing the gravity attached to any breaches of ethical norms (Dorasamy, 2012). This not only establishes clear expectations but also contributes to fostering a workplace environment where ethical considerations are paramount, potentially deterring individuals from engaging in unethical conduct due to the perceived seriousness of such actions (Dorasamy, 2012). 30 There are different views when it comes to remediating the impact of corruption and fraud, the role of culture in deterring corruption and fraud is deep-rooted within the solution itself and seems to lie in enhancing "ethical education" "maintaining transparent regulatory systems" and "strengthening management capacities for greater accountability" — all of which will help to build a "virtuous triangle" cultural and behavioral issues rather than systemic problems(Hallak et al., 2007; Harahap & Isgiyarta, 2023; Shore, 2018). Similar comments were expressed by (Lloyd Bierstaker, 2009) who referred to business culture as the primary factor in directing ethical behavior and forming attitudes about fraud and thus, both authors share a similar perspective regarding the role the culture in preventing corruption. This argument strongly aligns to the NACS pillar of good governance. In order to constitute significant advances in assuring the ongoing integrity of universities, authors appear to concur that universities should grasp the risks and mechanisms of corrupt activity and take measures to remedy them (Chapman & Lindner, 2016; Lloyd Bierstaker, 2009; Shore, 2018), what they further propose is a technical response combined with a political response in implementing anti- corruption efforts (Chapman & Lindner, 2016). Lloyd Bierstaker, (2009) further suggests that more measures be taken, such as creating an anti-corruption/anti-fraud policy. The creation of anticorruption policies is essential to closing the loopholes that allow corruption in universities (Lloyd Bierstaker, 2009). A similar approach was proposed by (Akers et al., 2006) when it came to how various Universities handle issues with fraud and corruption. According to the author, such policies should explicitly state the kind of behavior they aim to deter and consider making operational risk management easier. While Denisova- Schmidt, (2020) underlined that the absence of codes of conduct and clearly outlined procedures was a significant contributing factor to the issue. Authors seem to agree that Higher Education Institutions ought to implement ethical guidelines for both students and staff, alongside incorporating systems for reporting corruption through whistleblowing channels. This approach aims to promote the disclosure of unethical practices without the apprehension of reprisals (Ojo et al., 2020). Yet, in a study conducted by (Hapsari & Supriyono, 2020), titled "Fraud and 31 Whistleblowing in the Management of Student Funds”, indicated a reluctance from informants on whistleblowing. All those interviewed recognised the potential fraud incidents but were hesitant to reveal or report it to the university. This reluctance stemmed from an assumption that it would be better to address it within a more informal or familial setting (Hapsari & Supriyono, 2020). Given the above-mentioned challenges, there is however consensus among various authors that whistleblowing is an effective approach for reducing the potential of corruption fraud (Dorasamy & Pillay, 2011; Hapsari & Supriyono, 2020; Lubisi & Bezuidenhoudt, 2016; Nortje, 2023). Even moreover whistleblowing emerged as a mechanism aimed at mitigating instances of academic dishonesty (Radulovic & Uys, 2019). Furthermore, the authors extended the argument by suggesting that employees who engage in whistleblowing should be regarded as loyal (Dorasamy, 2012). Moeti (2016) placed certain recommendations following a study titled “Quality Higher Education Needed for Development: A Case Study of Perceptions on Ethics and Corruption in South African Higher Education Institutions”, the author proposed the development of training interventions specific to ethics and corruption that all employees within the HEI sector should attend. The second proposal was for top management and the DHET to issue a strong narrative of “zero tolerance” towards corrupt and unethical conduct within HEI. A third proposal was for the extension of the existing institutional policies to consider aspects of unethical and corrupt practices within the education sector (Moeti, 2016). Putri et al., (2021) seem to suggest that perhaps the solution in fraud prevention lies with the usage of probity audits, specifically when it comes to the procurement of goods and services. Probity audits entail a real time procurement audit for goods and services that are considered high risk, the audit provides a reasonable assurance that procurement procedures were followed in accordance with regulation (Putri et al., 2021) while recognising the pivotal role that audits play in preventing fraud and corruption, it's important to note that probity audits, focusing primarily on procurement processes, have a limited scope in overall prevention efforts. This view 32 challenges the notion that probity audits are solely effective in procurement and neglect other processes vulnerable to fraud and corruption. The function of auditors was also explored by (Umar et al., 2022). The author acknowledged that auditors should gather proof connected to different components known as "fraud stars." These components involve factors like opportunity, pressure, rationalisation, ability, and lack of integrity (Umar et al., 2022). However, Shore, 2018) presented a contrasting perspective in his research, revealing that the big four audit firms were discovered to be producing reports that highlighted the risks of fraud and corruption, then subsequently claiming to offer solutions charging fees for their services. This underscores how these firms collaborate with organisations in the risk and corruption they purport to alleviate, showcasing the influential role of anti- corruption discourses in shaping the market. The author went on further to suggest that universities should question the independence of the big four audit firms and their role in being the watchdog and guardian function to protect the organisation against corruption and fraud (Shore, 2018). This view aligns with (Brooks, 2012), who proposed that organisations should consider expanding their in-house fraud investigative capabilities and not so much place reliance on the audit firms. Within the scholarly discourse, there emerges a prevailing perspective underscoring the pivotal influence of culture as a determinant factor in combatting instances of corruption and fraud. This perspective posits that fraud and corruption manifest primarily as cultural and behavioral phenomena rather than systemic issues. Conversely, alternative scholarly viewpoints advocate for responses of a technical or political nature in addressing fraud and corruption, exemplified by the formulation of anti-corruption/anti-fraud policies. One proposed strategy involves the establishment of an anti-corruption workforce tasked with delineating the expected code of conduct for employees. Additionally, advocates suggest the formulation of ethical guidelines applicable to both faculty and students, alongside the implementation of a whistleblowing mechanism to facilitate the reporting of wrongdoing. While assurance mechanisms, notably audit processes, are recognised for their efficacy in detecting instances of corruption and fraud, scholars contend that the establishment of an in- house capacity holds significance as a determining factor in ensuring the effective handling of reported matters. 33 2.7. Institutional Theory Framework According to (Maphiri, 2020), theory is defined as a collection of ideas aimed at explaining a phenomenon, while a theoretical framework serves as the framework that underpins a theory by introducing and interpreting its fundamental concepts. In the subsequent section, institutional theory will be examined, bolstered by the Old Institutional Theory and the New Institutional Theory. 2.7.1. Institutional Theory Institutional Theory examines how formal and informal rules, norms, and structures shape behavior within organisations and institutions. It explores the influence of external pressures and institutional environments on organisational practices, decision-making, and responses to social issues (Osburg & Schmidpeter, 2013). While (David et al., 2019) views institutional theory as a framework employed to explain the process by which formal organisational structures, such as written policies, standard practices, and novel forms of organisation, are adopted and disseminated. This theory examines the influence of institutional forces, including regulations, norms, and societal expectations, on the adoption and diffusion of these organisational structures (David et al., 2019). According to (Coates et al., 2023) institutional theory is regarded “as a theory, that can be utilised when investigating the processes by which social and political structures of organisations are established. It is also a way to examine what causes them to evolve, adapt or fall behind” (Coates et al., 2023, p. 6). The author further suggested that institutional theory can be broken down into three stages being, Old Institutional Theory, New Institutional Theory and New Perspective (Coates et al., 2023). The two theories, Old Institutional Theory and the New Institutional Theory will further be explored. 34 2.7.2. Old Institutional Theory The Old Institutional Theory posits that organisations should be viewed as institutionalised "social organisms" deeply integrated within their local communities. This perspective is influenced by the work of (Selznick & Carlston, 1957), who distinguishes between organisations and institutions, asserting that organisations become institutionalised when common patterns emerge across similar entities. One notable characteristic of Old Institutional Theory is its capacity to analyze the socio- cultural frameworks of organisations at a macroscopic level (Coates et al., 2023). It is evident that the examination of institutions originated as a response to structural sociology and its deterministic, macro-sociological outlook (Braga & Bataglia, 2022). What can be established is that the studies of institutions were initiated in response to structural sociology and its deterministic and macro-sociological perspective (Braga & Bataglia, 2022). 2.7.3. New Institutional Theory Framework According to Coates et al. (2023), New Institutional Theory directs its attention towards the stability and uniformity of organisations, emphasising the necessity for organisations to adhere to the institutional environment in which they operate. However, while New Institutional Theory acknowledges the significance of an organisation's stability and legitimacy within its institutional context, the authors argue that the New Institutional Theory overlooks the inter-societal systems of organisations, which play a crucial role in shaping institutional change (Coates et al., 2023). 2.7.4. Institutional Theory Framework in Higher Education The landscape of a Higher Education Institution is regulated by the Higher Education Act as the key legislation (Higher Education Act 101 of 1997), and this is supported by the Regulations for Reporting by Public Higher Institutions. The proposal of the Education White Paper further advocated for a governance structure within HEI’s that would reflect the core values of the Institution, concerning the distribution and exercise authority, responsibility, and accountability. 35 The Higher Education Act further authorise for a uniform structure within Higher Education Institution, in terms of establishing the University governance structure and offices. At the heart of this governance framework lies institutional Councils, acting as the principal decision-making entities within public institutions. These Councils shoulder the crucial responsibility of guaranteeing effective governance, alignment with mission objectives, prudent financial management, performance oversight, quality assurance, and reputation maintenance for their respective institutions (Bengu, 1997; Kulati, 2000). Additionally, they are tasked with ensuring that executive management fulfills its duties responsibly and efficiently (Kulati, 2000). When it comes to the formulation of university policies, considerable autonomy is vested in the Council, allowing them to craft policies that shape the organisational culture (Le Grange, 2014). This autonomy empowers the Council to tailor policies in alignment with the unique values, objectives, and ethos of the institution. By exercising this discretion, the Council plays a pivotal role in sculpting the institutional identity and fostering a conducive environment for academic excellence, innovation, and inclusivity (Le Grange, 2014). This delegated authority enables the Council to respond effectively to evolving challenges and opportunities within the higher education landscape, thereby ensuring the institution's relevance and resilience in an ever-changing world. Institutional autonomy is particularly regarded as crucial as it enables universities to preserve academic freedom, uphold quality standards, foster innovation, and respond flexibly to the evolving needs and challenges of the educational landscape. While enjoying autonomy, institutions are expected to operate within legal and regulatory frameworks and maintain accountability to stakeholders, ensuring responsible and transparent governance (Le Grange, 2014). 2.8. Conclusion The chapter outlined the evolving landscape of Higher Education as it undergoes transition, examining the influence of proposed governing legislation and its impact on reshaping the narrative of transformed higher education. Additionally, the chapter delved into the implementation of anti-corruption and anti-fraud legislation within 36 Higher Education, while also elaborating on the National Anti-Corruption Strategy 2020-2023 and its ramifications for higher education. Scholarly perspectives were sourced to enrich the discourse with insights from literature. Finally, the proposed institutional policy framework was elucidated as a lens through which to define the research scope. 37 3. Chapter Three: Discussion of the Research Methodology 3.1. Introduction This chapter furnishes a detailed account of the research methodology employed in the study. The research aims to determine the prevalent corruption and fraud policies and measures implemented within South African Universities. Consequently, the chapter establishes the framework for the methodology and outlines its structural components. Subsequently, the chapter discusses the research paradigm, design, and methodologies utilised by the researcher. Further elaboration is provided on the study setting, population, and rationale behind the chosen research tools. Additionally, the researcher expounds upon the development of the research instruments, comprising an analysis of existing policies and interviews with corruption and fraud specialists/practitioners. The latter segment of the chapter discusses the reliability and validity of the study, along with considerations of research bias. Finally, ethical considerations are deliberated upon, culminating in the chapter's closure with pivotal reflections and a summary of the research methodology employed throughout the study. 3.2. Qualitative approach The study embraced a qualitative research approach, aiming to address a distinct gap in existing literature analysis of the prevailing anti-corruption and anti-fraud policies, practices, and measures implemented within South African Universities. This encompassed an examination of the policies, procedures, and internal controls instituted by universities to mitigate and uncover instances of corruption and fraud. Secondly, through a series of interviews, the research delved into various mechanisms aimed at identifying both exemplary practices and hurdles encountered in combatting corruption and fraud. The primary objective was to gain insight into the efficacy and limitations of current approaches in addressing these critical issues within the academic landscape. Garner, et al., (2012:126) states that “Qualitative research is concerned with understanding the processes and the social and cultural context which shape various behavioural patterns”. Thus, to uncover the causes behind observed patterns, 38 particularly those that are unseen or unexpected, qualitative designs are essential (Busetto et al., 2020). Aspers & Corte (2019) further elaborated by expanding on the definition of a qualitative research as an iterative endeavor wherein enhanced comprehension within the scientific community is attained through the clarification of novel, significant distinctions arising from a closer examination of the phenomenon under study. Accordingly, qualitative research, as expounded herein, is characterised by two primary criteria: (i) procedural aspects involving the generation and analysis of empirical data in an iterative manner aimed at refining distinctions, and (ii) the resultant outcome, which entails the advancement of fresh insights relevant to the scholarly community (Aspers & Corte, 2019). 3.3. Research tools and their application. 3.3.1. Review of University policies There were two distinct research tools that were employed for the study to gather data. The first being document analysis and second being interview with participants. In qualitative research, scholars frequently prioritise employing methods such as interviews over document analysis due to their inclination toward active engagement in fieldwork (Morgan, 2022). In addition, researchers in qualitative studies employ a range of data collection techniques, which may involve generating data themselves or utilising existing datasets (Bowen, 2009; Morgan, 2022). According to Bowen (2009), “document analysis is a systematic procedure for reviewing or evaluating documents—both printed and electronic (computer-based and Internet-transmitted) material” (Bowen, 2009, p. 27). Thus, the qualitative research pulled upon the multiple sources of evidence to not only seek convergence but to further corroborate information through the use of the different data sources and methods (Bowen, 2009). The first part of the assessment was to analyse the university policies through a document analysis process. Using the key words “Fraud and Corruption Prevention Policy”, “Anti-Corruption and Anti-Fraud Policies”, “Anti-Corruption and Anti-Fraud Procedures / Guidelines”, “Code of Conduct”, “Whistle-blowing policy” and any other documents that is noted as seeing to be addressing the management of fraud and 39 corruption in universities, a document search was initiated. The yielded multi documents as expected and those were used as the basis for documents that were analysed for the research. 3.3.2. Qualitative document analysis: Altheides’ vs Braun and Clarke In the study titled "A qualitative document analysis of policies influencing preeclampsia management by midwives in Ghana," (Garti et al., 2022), the researchers employed Altheide's five-step process for qualitative document analysis methodology to scrutinise national and hospital policies. Following this methodological approach, the authors outlined a systematic procedure for sourcing and analysing the content of written documents. The prescribed steps encompassed sampling, data collection, data coding and organisation, data analysis, and report writing. However, certain articles suggest that the methodology proposed by Altheide and Schneider is particularly effective when analysing media content such as newspaper articles and video sources (Mattson et al., 2021; McGannon et al., 2015, 2017; Popović et al., 2022; Semuwal, 2019; Smith, 2019). In contrast, Braun and Clarke (2012) advocate for thematic analysis, which entails systematically identifying recurring patterns or themes inherent in qualitative data. Thematic analysis aims to uncover and emphasise significant or noteworthy patterns within the data, encapsulating themes that hold importance or interest to the research inquiry (Maguire & Delahunt, 2017). As such, the authors propose a six- step approach to thematic analysis being, Step 1: Familiarisation with the data, Step 2: Generate initial codes, Step 3: Search for themes, Step 4: Review themes, Step 5: Define themes, Step 6: Write up. Both Altheide and Schneider's qualitative content analysis and Braun and Clarke's thematic analysis aim to identify patterns or themes within qualitative data. However, they differ in their specific approach and steps involved in conducting the analysis. Therefore, for this research, Braun and Clarke’s thematic analysis was deemed suitable as a document analysis process to be applied in the study. 40 3.4. Sampling The study was based on the analysis of the existing anti-corruption and anti-fraud policies and to gain a deeper understanding of the environment relating to the research topic, a non-probability purposive sampling approach was adopted. 3.4.1. Documentation Sampling and data collection The policies under examination were acquired through comprehensive searches of university websites. Among the ten policies reviewed, nine were readily accessible online. One policy was obtained directly from the university due to a recent policy review, which had not yet been published on their website.. The sampling process was conducted with Universities within South Africa. The initial pool for the study encompassed 26 South African Public Universities. According to the Department of Higher Education and Training (DHET) Higher Education is classified as 12 Traditional Universities, 8 Universities of Technology, and 6 Comprehensive Universities. However, for the purpose of this research, only 10 University policies were selected for analysis. The sampling strategy aimed at a Traditional University and Universities of Technology. Policies from these universities were systematically downloaded between November 1, 2023, and January 31, 2024, to ensure a comprehensive representation of the sampled universities' policies and practices. 3.4.2. Protocol development and data collection. A protocol development to guide the data collection outlined the search terms, databased and other sources. A protocol was created to guide the data collection process. The protocol outlined the search terms, databases and other sources, inclusion and exclusion criteria and data analysis procedures. Websites were searched to locate a comprehensive set of policies from universities and the key words selected for the search were: • Fraud and Corruption Prevention Policy • Anti-Corruption and Anti-Fraud Policies. • Anti-Corruption and Anti-Fraud Procedures / Guidelines. 41 • Code of Conduct. • Whistle-blowing policy. • Other documents related to the management of corruption and fraud. 3.4.3. Data coding Inductive coding was employed, wherein codes were developed directly from the data without relying on preconceived categories from prior literature reviews or theoretical frameworks. This methodological approach enabled the emergence of new themes and categories directly from the data itself, rather than imposing predetermined codes onto it. By allowing the data to dictate the coding process, the researcher was able to capture the distinctions and complexities inherent in the policies under examination, thus ensuring a more nuanced and comprehensive analysis of the anti-corruption and anti-fraud measures implemented within the sampled universities. 3.5. Participants Interview The second research methodology employed in this study involves a purposive sampling approach, which focuses on selecting individuals or groups with relevant knowledge and experience pertaining to the research topic (Etikan, 2016). Garner, et al., (2012) further defines purposive sampling as a type of non-probability sampling technique, whereby using experience the researcher can find participants who will be representative of the population by using certain selection criteria. Unlike probability sampling methods that aim to ensure every member of the population has an equal chance of being selected, purposive sampling involves selecting participants who are believed to provide the most relevant or informative data for the study. This method is often used when researchers seek to target a particular subgroup or when specific expertise or characteristics are required for the research objectives (Campbell et al., 2020). This method considers factors such as availability, willingness to participate, and the ability to articulate experiences and opinions clearly (Etikan, 2016). Homogeneous sampling, a technique concentrating on individuals sharing similar characteristics, was chosen for participant selection (Etikan, 2016). This signified that interview 42 participants were primarily individuals engaged in employment within the Higher Education Sector, currently fulfilling the role of anti-corruption/anti-fraud specialists or practitioners within universities. However, it is noteworthy that among those interviewed, individuals were identified as directly accountable for overseeing these fun