B-BBEE Commissioner agrees to investigate fake Gupta B-BBEE certificates

5 March 2018

Today, the DA’s Shadow Minister of Trade and Industry, Dean Macpherson MP, accompanied by his deputy, Ghaleb Cachalia MP, met with B-BBEE Commissioner, Ms Zodwa Ntuli, to lay an official complaint and present evidence of possibly fake B-BBBEE certificates, used by Gupta companies to secure contracts from Eskom.

Commissioner Ntuli has agreed to investigate these certificates used by Tegeta Resources and Exploration, Optimum Coal Mining and Trillian Consulting to get access to contracts with Eskom.

The investigation will also be expanded to focus on Eskom’s internal procurement procedures, especially as it relates to enforcing B-BBBEE compliance with external suppliers.

The B-BBEE Commission is empowered, in terms of the B-BBEE Act 46 of 2013 to investigate complaints received on any matter concerning broad-based black economic empowerment.

The Commission committed to provide the DA with regular updates on the progress of the investigation in line with provisions of its complaints procedure as regulated by the Act.

An analysis of Tegeta and Trillian B-BBEE certificates reveals that their annual turnover meant that they may have deliberately misrepresented themselves as micro-enterprises, leading to an undue benefit on the 0% black ownership waiver ascribed to micro-enterprises.

Eskom’s willingness to overlook what was obviously a deliberate misrepresentation by the Gupta companies, potentially constitutes criminal behavior. Should criminal behavior be uncovered, the B-BBEE Commission is able to refer a matter for prosecution to the National Prosecution Authority or the appropriate division of the South African Police Services.

The allegedly fake B-BBEE certificates are yet more evidence that the Gupta state capture project was not only confined to corrupting politicians and public servants, but was a deliberate plan to undermine the law in order to benefit unlawfully from the state.

In addition to the complaint we filed today with the B-BBEE Commissioner, the DA will also ensure that this evidence is brought before the State Capture inquiry to be headed by Deputy Chief Justice, Judge Raymond Zondo.

For far too long, the Guptas have undermined our institutions and the law with impunity. It has become urgent that they are held accountable for their acts of brazenness in capturing the state with the assistance of former President Jacob Zuma.

Issued by Dean Macpherson, DA Shadow Minister of Trade and Industry, 5 March 2018