Cape Town - The Democratic Alliance has asked Public Protector Thuli Madonsela to broaden the scope of her pending investigation into “state capture” to include the “dubious relationship” between Eskom and Gupta-owned Tegeta Exploration and Resources which involves a string of contracts for the supply of coal.
“This follows today’s [Sunday] front page story in the City Press which reveals that Gupta-owned company Tegeta Exploration and Resources was awarded a more than R564 million contract by Eskom for the supply of coal in order to financially resuscitate the ailing private company. It is alleged that the contract significantly inflated the paying price for the coal provided, unduly benefitting the Guptas and the Zumas,” DA leader Mmusi Maimane said on Sunday.
President Jacob Zuma’s son Duduzane is co-owner of Tegeta.
“It is highly suspicious that a company that was just a few months ago projected to lose R100 million per month – and placed in business rescue – has now been saved by a more than questionable contract with a state-owned company,” Maimane said.
“This is yet another development in the string of ‘under the table’ relations between the state, the Gupta family, and the Zuma family. For the sake of completeness the public protector’s investigation into the wealthy Gupta family and its relationship with President Jacob Zuma ought to include the long-standing and complicated relationship between Gupta-owned companies and Eskom,” he said.
Maimane added that the South African people deserved to know whether Zuma and his family were using state resources and taxpayers’ money to line their own pockets while putting at risk the stability of the country’s energy supply.
South Africa could not afford to have the Gupta family using the South African government to further their own business interests, Maimane said.
“It cannot be that President Zuma’s close ties to one family are overlooked when these ties result in undue influence over government business. It is therefore imperative that the public protector investigates all elements of this relationship,” Maimane said.
African News Agency