Hooray, state action at last on Eskom and Transnet

President Ramaphosa has ordered the SIU to investigate Eskom’s coal contracts, new power station projects and the McKinsey-Trillian-Regiments Capital contracts.

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06/04/2018 08:07:18

Hooray, state action at last on Eskom and Transnet

This is long overdue.

The Organisation Undoing Tax Abuse (OUTA) welcomes the new Special Investigating Unit (SIU) investigation into Eskom and Transnet, as it will help expose state capture and enable strong action to be taken on the abuse of state funds.

The proclamations for three new SIU investigations were gazetted today: investigations into Eskom and Transnet, into the Department of Correctional Services and into Mbhashe Local Municipality. All are signed by President Cyril Ramaphosa, as the President must authorise all SIU investigations.

The investigation into Eskom and Transnet is for actions since January 2010, including coal and diesel contracts and maladministration in the Medupi, Kusile and Ingula power station projects. It includes the appointment of controversial contractors McKinsey, Trillian and Regiments Capital to do work for Eskom and Transnet, and investigating “any undisclosed or unauthorised interests” which Eskom and Transnet employees had in service providers contracted to their employers.

OUTA believes that these matters are at the heart of state capture of Eskom and Transnet, so urgently need effective and in-depth investigation.

“We welcome this initiative which is long overdue,” says Wayne Duvenage, OUTA CEO.

OUTA trusts that the SIU has sufficient capacity and expertise assigned to these investigations, so they can go deep and wide on the many issues they will encounter, and that there will be no political interference or meddling.

“We hope that they engage with various civil action organisations and political parties who have done so much work in exposing and gathering the facts related to many of the cases they will be looking into,” says Duvenage. 

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