Parliament must reject application for extension for SAA financialsv
14 July 2016
The DA calls on Parliament to reject the application for a fourth extension for South African Airways (SAA) to submit its financials to Parliament. It is no secret that SAA is in complete financial meltdown squarely attributable to SAA Board Chairperson, Dudu Myeni’s close relationship with President Zuma and her refusal to appoint a functional board.
Appreciating that the Minister of Finance, Pravin Gordhan, is hamstrung by President Jacob Zuma’s close relationship with Myeni; Parliament now needs to step in pursuant to section 55(2) of the Constitution, reject this application for extension and demand all financials be tabled without delay. Failing which Myeni should face sanctions.
In any event Parliament should ultimately conclude that Myeni and her dysfunctional board be terminated and replaced by diligent management who have the best interests of the South African economy at heart.
This follows reports that Minister Gordhan has had to once again request a further extension of the deadline for the filing of SAA’s 2014/15 Financial Statements, stating that, “SAA’s Financial Statements cannot be finalised on a going concern basis”.
As the country moves ever so close to the precipice of junk status; Parliament and the South African people need to know the full extent of the financial chaos at SAA into which billions of tax rands have been plundered for almost a decade.
It is therefore imperative that Parliament exercises its oversight role and demand that all financials be made public and submitted to Parliament for inaction in this regard would likely see Parliament in dereliction of its constitutional duties.
What needs to be done is clear:
- Dudu Myeni must resign or be removed;
- A permanent and competent board must be installed; and
- The financial statements be tabled in Parliament at once.
- This is so the privatisation of the SOE can commence as the DA has long called for.
SAA has become accustomed to blank cheques from Treasury to fund an airline which shows no clear signs of recovery at the expense of funding programs to grow our economy, increase our national skills base, and ultimately create jobs.
The DA will not stand idle while the people’s money is mismanaged. The ANC in Parliament must get its priorities straight and put the people of South Africa first.
Issued by Natasha Mazzone, DA Shadow Minister of Public Enterprises, 15 July 2016
