#StateCaptureInquiry hears how Tegeta got R600m prepayment deal

Published Feb 25, 2019

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Johannesburg - The Zondo commission has heard about leading up to Gupta linked Tegeta being paid R600 million in a prepayment deal without the supply of coal.

Eskom board chair Jabu Mabuza went through the email exchanges between Eskom executives, Anoj Singh, Matshela Koko, with Gupta linked officials Salim Essa and Eric Wood. 

The exchanges showed how Eskom bent over backwards to accommodate Tegeta and ensure that they had the money to buy coal mines. He said in total Tegeta received R2.2 billion with the prepayment and the coal guarantee. 

Mabuza also shared details about how Eskom's board figured out that an email suspicious email address, [email protected], belonged to Essa. 

Former Eskom employees like Susan Daniels and Koko shared confidential company documents to this email address. 

Mabuza said that an exchange between Essa and Koko showed that Essa helped fund Koko's family trip to Dubai. Essa was in a possession of visa documents for the Koko family. 

He went through a string emails shared by Koko to the infoportal email. The largest trove was sent in 2015. 

Mabuza said Eskom board was never able to discipline Koko for his actions as he had resigned an hour before his disciplinary hearing was set to begin. 

Mabuza also touched on Daniel's charges. She was accused of sharing a draft statement from the board with the infoprotal.zoho.com email address, which is said to belong to Essa. 

Daniels had also signed off on Eskom paying former board chair Ben Ngubane's legal fees worth R800 000 which were related to SABC hearings and unrelated to Eskom. She was also charged regarding her role in the McKinsey matter. 

Daniels was later fired after being found guilty by at a disciplinary hearing. 

Earlier, Mabuza said Koko was brought back to Eskom in July 20, 2015, after being suspended for a few months. 

Mabuza says on that date of his return, Koko immediately started sending confidential Eskom documents to the businessman1infoportal email address. The Eskom chair said this demonstrated Koko's devotion to capturers and showing them the business opportunities at Eskom. 

"Their intention was to create business opportunities for certain people. The email attachment was an Eskom document titled 'directives for the implementation of Treasury cost containment instruction and government gazette'. This document is a directive from National Treasury advising government departments on how to save costs," he said. 

Mabuza concluded his testimony saying there were issues with some of Eskom's procurement, especially regarding the McKinsey deals. 

He said there are a number of executives that were involved in the capturing of Eskom that need to come forward and speak up. 

Mabuza advised that former Eskom CEO Brian Molefe should be investigated for his involvement in the Tegeta/Optimum deal. 

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