Press Releases for the Transport Sector, 2009

DPE statement following Cabinet Committee briefings

The Minister of Public Enterprises provided the Cabinet Committee on Economic and Social Sectors with further information regarding consultations between herself and the Chairperson of SAA on principles related to the termination of the contract of employment of the former CEO, Mr Khaya Nqgula.  In particular, the Minister provided detail on the safeguards that she demanded  to ensure that SAA and/or the Government’s rights are reserved to institute either criminal or civil proceedings against the former CEO should the findings of the independent forensic investigation indicate wrongdoing.  Independent legal advice obtained by the Minister confirmed that the settlement agreement contains such safeguards. 

The Minister also advised that the independent forensic investigation is underway and that she instructed that the investigation must be sufficiently comprehensive and thorough to establish the nature and extent of material systemic governance and procurement failures at the airline and not only be limited to the allegations against the former CEO and senior Executives.  However, all the current allegations against the former CEO and senior Executives will be investigated as a first priority.  

The findings of the independent investigation will determine any further action against the former CEO as well as any steps required to stabilise governance at the airline.  

Issued by the Department of Public Enterprises:

Ayanda Shezi
012 431-1111
079 880 2059