Transnet could be linked to first state capture prosecution

Deputy chief justice Raymond Zondo, who heads the Commission of Inquiry into State Capture. Picture: Karen Sandison/African News Agency (ANA).

Deputy chief justice Raymond Zondo, who heads the Commission of Inquiry into State Capture. Picture: Karen Sandison/African News Agency (ANA).

Published Nov 27, 2019

Share

Parliament - The first criminal prosecution in the state capture scandal is likely to relate to the financial looting of Transnet, the board of the state rail freight company said on Wednesday.

"The first test case on [the] prosecution of state capture will emanate from Transnet's side," Transnet board member Oupa Motaung told Parliament's portfolio committee on public enterprises.

Motaung said Transnet has seconded a team of board members to the National Prosecuting Authority (NPA) to help it with preparing the case because it had a wealth of forensic evidence accumulated in the course of its own investigations into corruption linked to the state capture scandal.

"We said to them 'Look, we have the information because we have done forensic work so that they don't have to invent the wheel.'"

He added that a number of charge sheets on illicit dealings were "already sitting with the NPA waiting to be validated so that action can happen".

Motaung and Transnet chairman Popo Molefe declined to disclose which contracts they expect to the subject of the first criminal prosecution because it would allow those charged to claim that they were prejudiced in public.

Molefe said he was encouraged by the NPA's apparent appetite to prosecute corruption, evidenced in several arrests last week.

He said Transnet has recovered hundreds of millions that were fleeced from the company through irregular contracts, notably from Regiments Capital, and had an obligation to continue to do so to curb the losses the public purse during the long-running, rent-seeking scandal.

"Money that was taken from treasury of Transnet for services that were never provided but they were paid, so those sorts of money irregularly paid to them and you are of course aware that we did recover some money from China South Rail, over R618 million. We are still waiting to sort out the VAT related to that."

"We now have to follow the money," he said and singled out billions that flowed to the businesses of Salim Essa, one of the chief lieutenants of the Gupta family at the centre of the scandal.

African News Agency (ANA)

Related Topics: