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Former Eskom senior managers and others appear in court
2019/12/19

 

Joint Media Statement from Directorate of Priority Crimes Investigation (HAWKS)
South African Police Service and the National Prosecuting Authority (NPA)

PRETORIA – Former ESKOM Group Executive: Group Capital Division Abram Abie Masango (51), former ESKOM Senior Manager: Group Capital Division France Hlakudi (48), Antonio Jose Trindade (64), Hudson Kgomoeswana (46) appeared in the Johannesburg Regional Court this afternoon for alleged fraud and corruption.

In addition, Hlakudi Translation and Interpretation CC and Bon Service Telekom CC represented by Hlakudi; Tubular Construction Projects (PTY) Ltd; Abeyla Trading (PTY) Ltd; Tubular Technical Construction (PTY) Ltd; Cosira Tubular Joint Venture (PTY) Ltd all represented by Trindade and Babinatlou Business Service CC owned by Kgomoeswana were also charged.  One suspect is still outstanding and he is believed to be in the United Kingdom. The NPA will henceforth proceed with the extradition process.

The suspects were arrested early this morning in Mpumalanga, Limpopo and Gauteng by the Hawks’ Serious Commercial Crime Investigation team in collaboration with the National Prosecuting Authority’s Investigative Directorate.

 Investigations began when suspicions were raised into the construction of two large projects at MEDUPI and KUSILE power stations.  This revealed that there was apparent gross manipulation of contractual agreements between contractors, ESKOM employees and third parties at KUSILE power station.

In-depth investigations pointed to the fact that the contract was manipulated in a number of ways including, amongst others manipulation of the ESKOM’s procurement system by officials who occupied Senior Management positions, descoping of the contract at KUSILE without justification and with conflict of interest by ESKOM employees.

In June 2015, ESKOM’s KUSILE Project management team submitted a request to ESKOM Procurement Committee for a mandate to negotiate and conclude a contract with Tubular Technical Construction (PTY) Ltd. The contract was approved on 2015 for R745 million to build two Air Cooled Condensers (ACC) units at Kusile power station.  It is alleged that from February 2015 to July 2017, the appointed companies, other related entities and individuals shared approximately R30 million amongst themselves.

The suspects were granted R300 000 bail each with a further condition to surrender their passports to the investigative officer.  The case has been remanded 25 May 2020 with a possibility of further arrests.  

Ends

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Bulelwa Makeke
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