DA files an urgent court application to interdict Mboweni’s SAA bailout using “emergency” powers
17 July 2020
The Democratic Alliance (DA) has filed an urgent interdict application at the North Gauteng Division of the High Court to stop the bailout of South African Airways (SAA). Our court papers are available here and here.
Our application seeks to interdict the use of Section 16 of the Public Finance Management Act (PFMA), which gives Finance Minister Tito Mboweni “emergency” powers to spend money not budgeted for in “exceptional” and “unforeseen” circumstances.
Yet another public bailout of SAA does not meet the definition of an unforeseen emergency. To use this as a pretext to bail out SAA again would be unlawful.
We asked the Minister yesterday to confirm in writing that he would not invoke Section 16. He did not reply, and so now we are approaching the Court.