Johannesburg - South African advisory
firm Trillian on Friday denied it was paid for work it did not
do for state-power company Eskom, saying that it provided
various support functions.
The firm, which is being investigated over allegations of
corruption, is owned by the Gupta brothers, businessmen with
close ties to South African President Jacob Zuma including
having previously employed his son, Duduzane.
The brothers have been accused by members of the ruling
African National Congress (ANC) of using their political
connections to win government contracts. They, and Zuma, have
denied any wrongdoing.
A June 29 investigation carried out by attorney Geoff
Budlender, which was commissioned by Trillian Chairman Tokyo
Sexwale, found that Trillian had been paid 495 million rand
($39 million) by Eskom despite carrying out no work.
Trillian denied the findings and said it was paid for
providing technical expertise as well as back office support.
"Trillian maintains that work was conducted for the invoices
raised," the company said in a statement. "Trillian therefore
wishes to reiterate that it has only billed for work that it had
completed and was entitled to."
Eskom and global consultancy McKinsey have opened separate
investigations after both companies denied having a contract
with Trillian despite working with the firm.
Eskom, which previously said it never paid Trillian, said
this week it did pay the firm but as a sub-contractor of
McKinsey and at the consultancy's request.
McKinsey says it never had a contractual relationship with
Trillian although it did work alongside the firm. McKinsey says
a letter written by one of its partners to Eskom asking it to
pay Trillian as a subcontractor was inaccurate.
Eskom has paid McKinsey 900 million rand ($70 million) for
consultancy work but both parties have suspended their
relationship.
McKinsey is one of several companies to be dragged into a
scandal in South Africa involving government contracts granted
to companies controlled by members of the Gupta family.
Members of the ANC have called for Zuma to stand down over
the allegations and a judicial inquiry to be opened.