DA to refer explosive new Treasury Reports on State Capture to Zondo Commission
The Democratic Alliance (DA) will be writing to the Zondo Commission of Inquiry requesting that the three National Treasury Reports released today, be considered for evidence along with the soon to be finalised Eskom Inquiry Report.
National Treasury released three damning reports which details explosive findings of State Capture at Transnet and Eskom which also implicates McKinsey and Trillian.
These reports paint a picture of how State Capture at state-owned entities (SOE) were seemingly orchestrated by an ANC president, supported by ANC ministers and ANC-appointed executives.
While this looting was transpiring the then Deputy President, Cyril Ramaphosa, would have been privy to Cabinet meetings and discussions around the deployment of executives to essentially pillage our SOEs.
This is reinforced by the fact that Ramaphosa was in charge of reforming SOEs as part of the inter-ministerial committee responsible for overseeing public entities.
The onus is now on Ramaphosa to come clean and set the record straight when he testifies at the Zondo Commission into State Capture. He has a responsibility to play open cards and admit what role his party played in the looting of the public’s money.
Some of the nuggets that have emerged from the three Treasury reports include:
- Eskom and officials at Gupta-owned, Tegeta, contravened section 34(1) of the Prevention and Combating of Corrupt Activities Act. This is in relation to the Optimum Coal Mine purchase with a prepaid payment for coal of R659 million, the coal sampling saga at South African Bureau of Standards (SABS), the prejudice against Glencore in its negotiation and the reduction in a R2.1 billion penalty for Tegeta amongst others.
- The appointment of McKinsey for the Top Engineer Programme at Eskom was not in line with the provisions of Section 217 of the Constitution. Payments made to Gupta-linked Trillian were irregular as Trillian did not have a contract with Eskom. Transnet made irregular payments of R94 million to Trillian.
- Brian Molefe and other Transnet officials allegedly contravened Section 57 of the Public Finance Management Act (PFMA) for failing to take effective and appropriate steps to prevent irregular, fruitless and wasteful expenditure especially around the locomotive purchases. Transnet Board members failed to act in the best interest of Transnet when they ratified the increase of the acquisition of 1064 locomotives from R38.6 billion to R54.5 billion.
These reports are proof that State Capture was an orchestrated project spearheaded by the ANC.
The time to be transparent is now. Ramaphosa must take the nation into his confidence and detail the ANC’s explicit involvement in State Capture.
The DA will never shy away from holding the ANC accountable for their role in the complete collapse of our once world-class SOEs.
Statement issued by Natasha Mazzone MP, DA Spokesperson on State Capture, 16 November 2018
From the Treasury website:
Chapter I: Final Report: Forensic Investigation into Various Allegations at Transnet
Chapter II: Mckinsey, Trillian and Regiments
Chapter III: Report relating to Eskom investigations
