DA wants McKinsey to appear before Eskom inquiry

File photo: Reuters

File photo: Reuters

Published Sep 14, 2017

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Johannesburg - The DA on Thursday said it would call for global consultancy firm McKinsey to appear before the Public Enterprises Committee’s inquiry into state capture.

This follows revelations that the consultancy firm allegedly ignored suspicions raised over several years by local senior staff that companies it worked with were set up to steer state contracts to Gupta-linked companies.

According to reports, the firm was warned of possibly dodgy deals with Trillian, Eskom and other Gupta-linked companies as far back as 2013.

It further emerged that the company, along with Trillian, received a massive R1.6 billion payout for “turnaround” advice given to Eskom.

Trillian is a financial services company which was owned by Salim Essa, a close business associate of the Guptas.

McKinsey has since denied any wrongdoing and said it will cooperate with the authorities if evidence of any impropriety emerges.

ALSO READ: McKinsey ignored warnings about Guptas and Trillian to get Eskom deal

The DA's Shadow Minister of Public Enterprises Natasha Mazzone said she would write to the acting chairperson of the portfolio committee Zukiswa Rantho to request that McKinsey, as well as their US based representatives, be called before the committee.

"The web of state capture is being increasingly exposed, along with all those involved. Those implicated in the exploitation of our country’s resources and complicit in the Guptas’ corruption will be held accountable.

"The DA and the South African public took on Bell Pottinger, and we will not hesitate to take on McKinsey."

Mazzone added that the party would also request that Advocate Geoff Budlender's report into the relationship between Eskom and McKinsey be made part of the evidence that the committee will be investigating. 

Budlender was appointed by the former chairman of Trillian Tokyo Sexwale to investigate the company’s role in state capture. 

In his report, which was released in June, he found that Eskom paid Trillian R266 million for services without contracts in 2016.

"The Budlender report is damning and in fact, classifies these dealings as a scam," Mazzone said.

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