swvoRN STATEMENT SorahJane Trent, 10 No, SN C53 wth Te No, CNN states under cath as follows: |/am an adult female Execute Director of ‘orensls for Juste’ a not for profit company, which aims to expose state sponsored crime and operates (or 0, Johannesburg. The purpose ofthis statements to open a docket aginst the folowing persons ‘is Ducuale Myen!‘Myent Mstynette Bown Brown? Mecob 2una Zuma! MrNichols Lone! (No, TT) ‘Unnet Me Tony Gupta ‘Guptat Me Sli sea ‘Esa? MrBen Ngubane ‘Ngubanet Me Thalente Myer ‘Talente" Collectively ‘the Suspects! Forthe offences of Corruption, Fraud and Racketeering = more particu st aut below. : vw dr of he ob nn he ho eee pera : tum a a Psterat te hpc Sah ea. tao he eo alee : Ln snobs ha hv i ooh nt tyes ss ret 5 ey nr ea ‘Sata inn wt sea et eons sy ne ‘orc ees hey eco pe on eto ee suncpa sso on tangent nes : Aso ef hese iti ers se wth A) te rsa taht sp then en ‘ Amen of sob nena on yee “osname eeu er et orate ao S62 [Annexure ‘IT2' a copy of an omtine newspaper article dated 09 August 205, which clear shows Linnell i assisting Myen to coverup her eiminal conduct, by helping her lay false criminal charges agnnst myself nd then suspended CEO MonwabisKalawe. note fom ths ate tat, as at that stage, Unnel had been paid more thin 850,000.00 by SAA and ye: there were no procurement procedures followed a al. That makes the payments to hi cased as feultless and ‘wasteful expenditure, 1 also note that he is purporting to carryout ‘backgaund checks’ and “investigations into both Paul O'Sulvan and Kalawe, Ihave checked with the Private Secuey Industry Regulatory Authority, PSIRA and it is apparent that Linnell is not reseed with PSIRA to cary aut investigative work which criminal offence. will eome back to ths ater. 63 Annexure ‘SIT3" is 9 copy of an ontine newspaper article dated G7 Apll 2015, which suggests that ‘nme was unlawfully ied by Eskom, ‘Gupta is» member ofthe now infamous Gupta Tomi, which was during 2016 and 2017 found to have infiltrated Eskom and through fraudulent and cocrupt practices removed zt least 3 bllon {com Eskom. In this docket, do not go into the detal ofthe R3 billon that was stolen from Eskom, ‘but merely focus on how the suspects created the enabling environment fr such thet. 7a ssa sa personal assistant to Tony Gupta and carried outa lot of his criminal actives for him. a Ngubane was tall material times, sty a non-executive director of Eskom ad thn, the Chairman of kam. ‘CONDUCT GIVING RISE TO CRIMINAL COMPLAINT 9 (on 2017-1121, at paiament in Cape Town and during parliamentary enguly into the criminal capture of Fshom, which capture predicate wholesale corruption and loting rom Eskom’ assets, 3 certain Mr Zola Anil Tots (Tt) gave evidence to the enguly. He gave that evidence under ‘oath. A copy ofthe document he presented to paament is attached hereto, as ANNEKURE ‘ST tis necessary to earful analyse what the Suspects have been up to, in respect of fecitating fraud fad corruption at Eskom, which has eun into Bills of Rand of taxpayer monies, | do this heveunder. wo ‘The sub-paragraph contained at paragraph 4 though 4.19 of Annexure ‘SIT make it estat clear thatthe suspects manipulated then board cai of Eskom todo the folowing: ‘+ Unlowfullypressurise Tots to do the bidding of Tony Gupta by threatening Tsts withthe loss of his poston as Chairman of Eskom + Unawfuly intervene and postpone aboard meeting of Eskom. + Unawfully appoint Linnell nan ‘edvisory capacity to the board chairman of Eskom. A sinilar unlawful role that Linnell had cated out, and continued to cary out for Myeni at Sa. ‘+ ‘Allow Linnell to unlawfully prepare letters of suspension for the purpose of unlawfully targeting certain named executives of Eskom. ‘+ Uniwflly and in conspiracy with Tony Gupt, a busines associat of Duuzane Zuma, and with Lynne Browne the responsible minister for Eskom, the suspects dd intimidate Zola Tots into comping withthe wishes of the suspects, n bringing about the suspension of the fournamed executes.u ‘ver and above what was contained in the document handed to parlament, Tot! was orally Avestioned and supplied certain answers. During ths question and answer session, became pparent that @ meeting tock place at Grown's house, during the peso when Tots was being ‘manipulated bythe suspects, According to Teotl, Gupta and Esa were present at that meeting with Brown, which allegation Brown attempted to deny. 2 Its clear to me now, and must be clear to the whole county, thatthe suspects acted with 3 ommon purpose in creating an enabling environment so that Gupta family businesses could ‘capture’ Eskom for ther own nefarious reasons, inudng fraud and coruption ona massive sale must be note tha Dudurane Zum (son of Zuma) wasa shareholder and decor of certain ofthe Gupta companies and therefore benefitted considerably from such criminal cnspcacy by the suspects The relationship between Zuma, hisson and the Gupta's provides the compelling motive. a Furthermore, a is lear from paragraph 4.8, Linnell was introduced to Tsoi! as a layer. This lone would be a criminal offence, a Linnell is NOT a registered lawyer in South Arica although he may have been one in Rhodesia, whist helping to prop up the illegal regime ofan Sith 1“ In respect of the testimony made by Zola Tsotsi to parliament, Including the typed note he presented (Annexure ‘SI-4), | formally request the police to obtain 2 detalled swom statement from sot, dealing with the folowing additonal points of arity: ma refered toin paragraph 44, wherethe meeting took Setting out precisely who inated the meet place and at what time M2 (Of paragraph 4.5, how was Tsots! approached by Tony Gupta, where and what tne dd they meet How long did the meeting lst and when appresched forthe meeting, what was sated as the reason forthe meetin, Also to explsn when Tzots fst met with Tony Gupta, or any oter Gupta, where, how, when and why? ma (f paragraph 4.5, at what time did Zum call Tots and what was the originating and ceceving number? Ditto of the ating Director Genera a (F Paragraph 4.7, what date did Myen call Tots, what was the originating and re:ehvng telephone numbers. How dd Myeni come toe ia contact with hin, where di she get hi umber from? Ms (F paragraph 4.8, how did Tsots wave to Durban, fights deals et, what addkess did he meet ‘Myen,Talente, Linnell and Zuma. Did Unnel ge hie business card? What tie cd he are at and leave the address in Durban, us ‘The relevant board meeting and People & Governance Committee meetings shouk also be obtained nan evidential manner. a7 The relevant e-mails, between the suspects and Tsot! should also be obtained Ina forensialy verifiable manner. Aditonal swor statements shouldbe obtained by other decors (witnesses) at Som “‘SUMMARY 1s Its therefore clear that the suspects, acting with a common purpose, aie unlowflly and Intentionally intimidate 2nd manipulate Tsots and in so doing broveht sbcut the untwfu! suspension and subsequent removal f some, for their posts, of certain executives of Eskom 16 Subsequent to the removal ofthe named executives at Eskom, Mr Gian Molee ad Mr Ano Singh and Mr Ben Ngubane, took full autocratic contol of Eskom and proceeded to cfinally strip the sets of Eskom, to the benefit ofthe Gupta controled companies, and other companies linked thereto. Dudzane Zuma personally benefited rom such uniawlaset stripping “The cretion ofthe enabling environment forthe wholesale looting of Eskom, wis created by the suspects named above acting as 2 “criminal enterprise” and in common purpose with each other. Accordingly allf the suspects should be charged, not only with racketeering, but aloof the theft of Eskom assets, aernatively as accessories before the event, in respect af the theft 18 | therefore request 2 thorough investigation into the conduct of the suspects. Fo: the purposes of registering Rand valve tothe crimes that have been commited against Eskom, | am using the purchase price of Optimum Coal of R,350,000,00 (2.15. 19 Weis lear that the modus operandi of the suspects, was to use Intimidator and criminally manipulative tactics to coerce Tsotsi into doing their bidding, by unlawful removing Eskom executives, so that Messrs Singh and Molefe, who had sucessullyleeced Trane of Bllons of Rand, could move from Transeo Eskom and cacy outa similar exercise thee, Fed they nat been ‘aught, oth Molefe and Singh would have lft Eskom a 2 skeleton, ike they ai wth Teansnet and ‘moved onto the next State Owned Enterprise to stp ito the bone, 20 Itismy contention that were tna forthe criminal conduct ofthe suspects, in creating the enabling envionment, Melee, Singh and in tur, the Guptas and Duduane Zuma, could nat have pulled off their crimes, The suspects therefore stand to be charged, nat only with the coruption and racketeering charges, but with being an accessory before the fact af al the cimes commited against Eskom, Adsitonal, Linnell should be charged with faely holding himielf out to be an attorney and carrying out work of nature that requires him to be relstered wth FIR, without being in possession of such registration FURTHER CHARGES OF CORRUPTION & RACKETEERING n 1m adaltion to the above charges of coerption and racketeering against the suspects | further request additonal investigation into the alleged conduct ofthe current State Secarty Minster, Mr Bonganl Bongo ‘Bongo’ and the curent chairman of Eskom Mr Zethembe Khoa “Khozs’. This addtional Investigation is most important and relates to the following allegations, which have surfaced recently in the media: ‘The ‘evidence leader’ inthe parlamentary enguiy into Eskom, is a certain Adweate Ntuthuzelo Vanara ‘Vanara. ts his responsibilty to lead the evidence tothe pariamentary enquiry. As sich he is 2key member ofthe enquiry.na ‘Bongo is alleged to have repeatedly telephoned Vanara between 2017-10-08 and 2017-10-10 and pursued with him with an “open-cheque’ bribe to deal the parliamentary enguy. The dering process includes suggesting that Vanara should book off sick. investigation needs to establish whether Bongo genuinely ated for and on behalf ofthe Eskam board ashe claims, or whether he ‘actualy acted on behalf of Zuma, who appointed hiro that minster postion, 2 Prior to me signing this statement, have carefully read through t and am stisledtat the facts are correctly and accurately recorded. The folowing questions were put to me la person by the ‘commissioner of oaths and | entered the answers theret in my own handwriting: ‘yoo nd ert he cove tenn? Mes ‘oyou hove any aectn oti prescribe oth?” No “Daye cote the reseed oat nin on your concen? Yes SARAIIANE TRENT | certify thatthe deponent has acknowledged that she knows and understands the contents of this statement which was sworn to before me and the deponents signature was plaed thereon in my presence at OMANNESBURG on his PVENPESEYENH day of NOMEMBER 2017 ou December MOR IGCDE SAV ON | ContTpeie enn et 03836 rans[ANNEXURE ‘SIT-1” nm reescounel ors. 2/Ruline View / dud yeni suuand feve-2267 Dudu Myeni vs. Zululand Fever Ruling by the Deputy Press Ombudsman This rug is based on the wen submistons of MD. Myen and he Zululand Fear newspaper ‘Complain, Ms Dudu Myeni the former CEO of whiatuze War (MW), complains about story the Zululand Fever, publznd on July 9, 2079 and headined Fermer CEO lathes out MW ehaipeson via patent ~ Myeni continues to compromise te tery of he Present Zuma] are ink) that ‘he s‘unstoppable, untouchable and immune’ She complains ner personal capacty and as the ‘harperson ef he MW Boar, Myon complains that the word “embattled” does not appear nae that the stor is based on; +t journalist sonsatonaizos former GEO of MW Sts Modes ai +e subheading ean be interpreted a fac nd not opin, and thatthe balance ofthe story doos ot support "te inclusion of Mbedzs satoment that she (Myon) hed anyone a ransom to get what she wanted is subjectve, comment and unsubstatted. “the ouralit probably id not get comment rom tho “numerous other persons ander enti tmenoned nthe reports ‘Shown not her anche to eaond te vowappas uate “ine statement tha boson ad SdROeN Lm abe respondtoqusion win 2 ‘weak after numerous requests by the newspaper's disingenuous; end “he sory, when seen a «whole, te story presents allegations a acs Anais ‘The story, ten by Jonathan Erasmus, says that Myen is abusing her relationship wth President Jacob Zima m deo gether oun way regarding the “embattled” water rowde called Maze ‘Water. Ths ntormation is repvtedy based on Mboa2"s 12 page wien reply to varous alogatons agaist hse, wich ne adcressed tothe charporson ofthe Nalonal Petal Cormitice on Wate, IMrvotnny De Lange inthe proces, he makes Several alagations against Myen, Te story saye Moada! wrote that Mjent ho als the charperson ofthe taco Zuma Foundaton, sought Powe, piviege and immunty”by "name repping” he elatonship with Zuma, "whe she sbeteved tobe {ose 1 She reportedly also used Zuma’ office overturn minseral decsins, atoms Suppress afrersc investigation info MW and sought prtecon fem the ANC Nort Coast Regional Executive ere a ee ee eee ee Sareea ere tara german $ ‘Stegatone of jours "who le Slay an interested party She aye: The term ederogetory and ‘nfm cortext and underscores the pereepon at he rept Is iasod™“The newspaper doesnot respond to this part ofthe complain, | nt know the MW is embatlesor nat and nether i my atk o find out My only question ‘whether the newspaper was justfed in caing kt such Given the serous nature of he alegatons agains the NW as contained in Medal slater thatthe Story reparts o, | woul think ta he word "embed was ied usted, ‘yen says atthe tone of Mbetas eter is hat of one whe is personaly aggrieved and whe = “offoadng. She argues that Erm should therefore have en more Cautous,engoring sr cbjecveim hi reporting ~ and yt the joumalst"sensatonaizes Meds opinions ‘The newspsper does nt respond to this par ofthe complain. Even it was true that Mbedz was personaly apgieve and was “oading’ the newspaper sil was usted opubtsh he contents of his tor. “Sensations” can be desorbed a a type of eo bias in which events and opis in news Stories an plces ate over ype increase vewershp or eadership numbers ‘When comparing the content of Meda’ later (edo Lang) fo the sor Ro, heres nothing to suggest that tos was seneatonai reportage Subheading ‘The sub neane reads: Myon’ continues to compromise the intgiy ofthe Preiert [Zuma] and [tinas] hat che's unstoppable, uneuchable ana mmune” !Myeni complains that while the sub-haasng i an accurate exact tom Mba lt, ts eat his ‘opinion and ola fact She argues. "Ashough report hn auoatons mas the conan oan ‘rdnary reader catia facta connotation She ages that ha balance of the sory Goes not support ‘hs comment ‘The newspaper does no respond to this part ofthe compl, Myeniis correct the sub-heading is an accurate extract trom Mees eter ants presented as ‘Ml opinion and not as fact However ks not tus that the balance ofthe story does nol suppor is ‘Comment The into already aleges hat sha wae abusing her latonahp wth Zumato gether own stay str manton thet she wa seeking power pve and uty by ‘name sopping” het ‘eaionship wit Zuma; ends off by saying tat she seomingly held everyone at arsom to gel what ‘he wants and that fore, tis abou power, pivoge andthe mmunay “These examples substantiate the subheading and therelore meat the requcement ofthe Press Code. Subjective comment unsubstantiated ‘The story says “She (yen) seems fo Nod everyone a ransom to atan her objects. For Dudut about power, privilege and the mmumty tat gs wth hese” ‘yoni complains thatthe inclusion of Mbeézs opinion is subjective, comment and usubstantiates, wich makes It derogatory, ofa ane Unbaiaced, She adds at he journal knew about The Tous nature of te acusatons ache himself ackrowiodgos is nan ema to her wnich he "aye They (he scouestoe} coud border on defamaton agalet bot yourselend the Nationa Present” Sho argues that the onus was horefore onthe newepaper to commaborte the algations| botrereporing them‘The newspaper does not respond to tis prof he complaint ‘This part ofthe complaint velous. Mbeda! i eto express his views, wich were win the ‘boundaries of the SA Constitution and au, andthe newspapers ae to pubIsh those opinions, No comment rom ohersubect ‘yeni questons whether Erasmus chained comment rom the ‘numerous the persons andlor ‘ene? mentoned inthe story to vrily te alogatons and to get the necessary balance “The newspaper does not respon to this prof te complaint However the purpose ofthe story was nolo estab if these allogations wore true ano, but to rake pu We fet of tose llogatons Net given enaugh time to respond yeni complains that he newspaper aa not give her enough in to respond. ‘She sald the Journalist wrote to heron sne 21,2011 at 20:42 This mean, she argues, that she was ‘effectively contacted on sue 22, She says ta he request for 3 reply was forte Thrsday ection land that that deadine was the ver same day (June 22). She concudes that hs wat 2n Unreasonable request, as she needed more te to respond because k would have oquted some onsderaton and consutaton ‘She says that there was an agreement between {fl andthe journals oto publeh wahout Myon utines futher corespondence between Line and Erasmus 11:27, ne 25 Erasmus fequests hen a esponce maybe foticoming: 11781, June 28~ Limo undorakos to respond by Thurecay 20 20:28 June 25~ the journalist says he requres a response by 100 on Wednesday 20; 120182 une 28 Cnt rejects the deadine and undertakes fo provide a responce by midday June 2, 00:25, June 29 the journal say that hare was @ agreement to meet the next publeaton date, ‘tating thatthe story would be publshed wih o without his comment. 17430, he 2 Une rect the Joana, atone he oul bout pba iho ‘comment, and references the complexly ofthe requred response, 11789, June 29-~ tho journalist cays that tio wl bo pubiched without his comment: and “186, June 20 the ear says tat her advaors support publishing ‘The Fover says that both NJSSTGREWAG wore notifies ofthe story and that they were gvan ample {ime reply. The newspaper say encouraged them to do co-and yet nether was wang to ‘spond toe actual sccucatonsin the arc Itsaye that Uni stead appeaec tobe using ‘Saling tats inthe fom of ly ved Uweats. argues that e fae thal Myon not espond is questonsis“areecton on he not (on the intgiy ofthe Zululand Fever “The newspaper ao says tha the matter was in tho publi introe, adding tat romaine wing interview Hien! face foface an to publeh he views My task isto establish the newspaper: *Uneriook nt to pubish before auld get comment ns * gave yen enough tie to respond. “Thar are two references to a posible agreement in the documentation at my disposal nthe fst case Linelon sine 22 sat belave | have you" Undertaking nat to pubtsh the entents of he Iotior wiht fet caning comment fem Nevahuze Water.”note at Erasmus dd not respond this statement (on Juno 2 the journait wot: “Our agreoment wa thal he response woud be rea for our next publltion” Based onthe evidence at my sposa, | have no reason to beeve that the aural went back on his ‘word there sno evidence pace that he gave his word note publish wihout Lill comment n the st place This eaves me withthe question I Meni had encugh tie to respond. For this, nea ake the amount of ie as well 3: the completly ofthe matter no aecount Ft, Erasmus put is questons to Myer in an emai dated June 21, whit the stor was pubised fn uty 1 This gave MY sul working days in wich to respond. Ths seams long creugh amo. ‘Se then: Was the mater was eo complicate that 6 day (and an extra two weekend days, which may have boon tized) were nt enough to come Up wih a consred response? ‘This leads met the questions that Erasmus pose In his email, the ounait fst summarized sight ‘ey otis contained in Mbedz's et. This leary was done fo make a response eave. Then the ural asked four questons, The last of Nese quesbone would have kept MW busy eager than he ‘thers read “Of the etre report, what do you disput.” Now the focus shits othe 12-age let. ‘Ate naving taken a hoxough lok at his document, | am convinced that a considered response ‘would have akon quite some to = MeedzTe document rasod several issues thal demanded some Trough investigation. | also tke to secount he seriousness of the allegations aginst Myen|—the more serous they ‘wer, the more atlenton they deserved. And hey wee seriaus, al ight Homeve, when | wegh vp allo hese factors, | Beeve that the ine thet has elapsed fom dune 21 to June 20 shoul have afforced MW ample mst alse Is response I therefore dot lame the newspaper fr publishing witout ts comment Fale respond! ‘The story ends by stating: “HUANG to respond tote questons win a wenk aftr rumerous requests by the Fever” Myon complains thats is dsingenuous, ast oes not convey the documented conmunicaton ‘batwean te partes. Sho argues “An ampliicaon of why ha had ald to respond would have ‘laced an entirely diferent and objective context tothe mater” ‘The newspaper des not respond to this pat ofthe complaint, Based on my argumentation above, | Bove the sentence In capute was Justified ~even though {Unnel i inte to the journal hat heed nt have encigh be to respond In context allegation presented as facts yon ays thatthe conte ofthe alegations andthe urgency fr publication (or helack hereof are fk relevant She says thet the minster reply to Parlament was elah months pra to pubcaion ‘and hat Medes allegations had Seen wel sie inthe nemspaper ovr te lst you. She argues that there was therefore "no pressingly urgent publ Interest at would ouwaigh he benef of he Juma having the facts ha woud info a balanced and fa report and important mitgate the "ak of what he termed defamation against both youre and te National Presson A‘She od tha, taking the story a a whole, three a rng of "eth oe fac in Meda allegations ‘The newspaper does nt respond to tis par ofthe complaint {agree with Myton this point. Aer having ed the sory several tines, | belee that ‘twas olanced encugh in that does nt confuse allegations wih fat andi presents tho ‘tegatone as such. ard “ths time hat was fede to MW was enough onogate the argument tat there wes no wrgency in {hi mater =the decison fo publish cannot beet nthe hands ofthe publi. General Ihe worrisome that he Fver responce to ony one parol the complaint. This creates the Impression tat he newspaper ai not take efter the complancomplinant oth fie sesouely ‘enous. Fig “The complaint is sismissed in its entirety Ssancion ‘There's no sanction, | am recommending, hough hat Myeni takes up the newspapers offer to publish her ws (wth equal prominenes. peat lease not that our Complaints Procedures lay down ta wihin seven days of ecept ofthis ‘ection, anyone ofthe partes may spel fe loave te appeal othe Charpeson of he SA Press ‘Appeal Panel, Judge Raph Zulman, ly seting out he grounds of appeaL He canbe reached at Mranyim@onbadsman org 2a Johan Rett Deputy Press OmbudsmanANNEXURE ‘SIT bnto/feis presen An67k-2.momh-adisr SAA’s R167K a month adviser ‘Sean Cois015.08.09 1730, ‘5 eharperan Dud Myen Petre: Mant inky Press Undeterred by the tines innci isi, board chal Dud lyon hired Nick Linn, whose exact ole Stuns unclear Hutt obons ws bacome SARs Ft tine $4 beng sover franca oe, Sau gerpeeerronzmaieetsatuiniscoaiam wanna SA tiresan je as angandtormuoi sr be carpeson st eppea tne wa iy ey Sotelo sane CEO Meri Kata, ut bess Snes espe a ek any ne Vas nies an bing manne nn at ren Ont, Cap Tow ‘Sted ampery, he BORE bed SA or HF hous ofwon alan owen orto ABBE how. ie ao dined back RA 764.34 for oe acer, RS 65 lr apr parking and F382. fx phone ‘hts ping, Hs cam LA Unser rat SAA romans near, Ll lt ly res tat veo car confority, be wat "rot at ery share dts spec wrk done” Numerous ents shone as tle SAA for rata poss eases are oping to medi ques This ‘espe faethe 04 sey ompoyeepokespaeen Tia aon esr ere an 100803 men ‘huh RSET SE) SWSTSRSURIE eso spss to have spent rary tous revieing ‘Grol ep pal opmone and tv, ling cae san akg wih lw fm ENS Inrespnse, Let at TSR EASES RIUSLEIGGINE. Ay pessoal eves tat we Inter ssning iy we oes omc mre ge ue te awe ns However SAA aeay aye rhe sans oo of ENSatiss ost xpronedamyes leven Powe (resr of oeni)ard George van Neto et of pute eso). ‘iy Pies sen SA a iat of dtd questone abut nna reat wet, but the atl to comment 5wort an insider wih ight ro he SAA bor std that, espe the cost Limes sptnent was {oud vai fo SAA bess new te the only pron ao get ugh yr an wae lpg tropa ‘erage etatonsips a wel at ge te chatted ere odin Tagua gue tn tm aa te Kale eter, SAABERESO LSS Iman emo several sate anes, ©Sulvan acces yen of ating lone fers suppose he rosa of earn deal nfrogn tank aczounis When Olver false bank stants were ‘eores, be wow te alegasons ard aplgbed Despite SAA aur caching an apeament wth O'Suan jn opened xin cae spe im or ‘ey ete ces gett soc March, SAA en ppg to el ENS Irie show that Line ites SAA fo varus sence, cng mtg wh ENS eam eg =a ‘ne . ‘ck choc eres acme alan ast wnt eye ae go tere seb paying fr ob ute aro hs year, SAA emaunced thal, espe numerous tal and gurantee, esti precatss {inane poetic mea att wed sede up 10% of ea (on Tursay, several ae ions wert othe abou ct yo provet SAA fom retenching ry empoyees ‘Sul hey sare ete orion abun he sine’ rans ‘enzo Walang, goer ser ofthe SA Transport and Ali Wore! Union (Saw), sal: “A we sae ror te = soya eae hs ono, jing apt alae, hone pig one ns al chy Imorovngite statin at SAA ed of cng et ow pad ar, se lh ea bo RS eth, Samael oe “Ying cnstatn curv on ackvedgrent of eencs nts ecobites itn’ alps “Inou view, SAX rela le win senor maneganert and mile management, Wet ey have Been slespg fo toolong= eve gto pam where ey Bk seagate”‘ANNEXURE ‘SIT-3" tp vo destnyman com/2035/04/07 eose-man dumped. eskom board. acpointe ney ‘Tsotsi’s man dumped as Eskom board appoints new inquiry head wil 2015 ‘NNGRILIAAE!, the man behind the investigation into Eskom's inner workings has been dumped in the latest twist of boardroom dramas that have unfolded at the power utility in recent weeks ‘According to @ Business Day repo. Eskom's board has rejected the appinimert of Linel—the business tumaround consultant selected by former Eskom chakperson Zola Teo to conduct an independent inguiy info operations atthe company. sor soso Kiki pas ite Dome na BORO TR LEC “There i nothing wrong with him [Linn or his company.” Phasive told Fin24 “The former charperson had unlatecally appointed Linnell and dal nat flow proper corporate procedures” According tothe roprt inne who headed up the inquiry ino South African Always (SAA) CEO Monwabis! Kalawe, as cose tes with Zuma's cose frend Dudu Myer, who is the SAA. chaiperson, “Teo stepped down on 31 March as chairperson, afr the board sought his rerroval for alleged Interference and for folowing incarectpopedue in implementing tre Inq. He announced the inquiry on 12 March aftr suspending four serior executives, including CEO Tshesiso Maton, “The inguin’ goa, whic sti remains the same, was to shed light on the poor performance of Eskom’s generaton plant, delays bringing the new generation plant on steam, high costs of pimary energy and cas fow challenges, Phasiwe said the board had now followed the correct tender procedure and had shosen company to conduct the inguy. {An announcement about that solction should be made vary soon, he said. Everthing else ‘bout the inquiry and the suspension ofthe four senor executives remains in place Matona's urgent application tobe restated was tue down by Labour Court ludge Banta \Wicher ist month and struck of te ral leaing ito the Commission for Cneliation, Mediation and Arbivation to make a conclusive determination on whether Matona’s suspension was fat or at -Nows2sire21 November 2017 ANNEXURE ‘SJT-4’ Statement to Portfolio Committee on Public Enterprises | eel privileged to have been afforded the opportunity fo appear before this commitiee 80 that | may make my contribution towards the unravelling ofthe issues that have, Contributed to current state of affairs at Eskom. The lapses in good corporate ‘Governance that have been occasioned by poor decision making have opened up the ‘company to exploitation by unscrupulous rent seekers, Those of us who have been ‘and continue to be at the forefront ofthese events, including any who may have even peripheral knowedge therecf, have both the responsibilty and moral obligation to ‘voluntarily provide this knowledge to this Committee and the nation. In accordance with the information | received that Eskom will make avaliable any documentation | may require in support of my preparation for my appearance before this Committe, | regret to say that, despite numerous requests, Eskom did not avail me a single document. I have therefore had to rely on my memory cf the pertinent ‘events during my tenure at Eskom. This is unfortunate as it limits my ably to support the work of this committee. Be thet as it may, | am here committed to presenting my recollections tothe best of my ability 4. The TNA Contract 11 On my artival at Eskom in 2011, there was an existing TNA contract which was in progress. It was due to expire in about June 2014, Atte time ofits ‘expiry, Colin Mala was Acting Chief Executive, 1.2. Mr Malia acceded to the request that the contract be renewed. In ¢0 doing, he faled to apply a provision in the delegation of authority that enjoined him to deal with sponsorship through a Committee that was putin place to deal with such matters thus by-passing the process and acting outside of his delegation of authority. The finance Director among others in his management : S13 14 18 16 team raised objections to his actions, contending that he used the wrong {delegation of authority, and tha the correct one would require him to make the decision on sponsorship as part of a Committee Mr Matila disputed this position and proceeded to sign the contract. A whistle blower reported this action to the chairperson of the Audit and Risk Committee, stating that the acting CE had flouted procurement regulations ‘The ARC chairperson then brought the matter to the attenton of the Board Wich duly delegated the ARC to institute an aucitinquity int the mater. ‘The ARC appointed Sizwe Ntsaluba Goboda who produced a report with finding that Mr Matila had interpreted his delegation of Authoity incorectly by Using wrong process to award the TNA contract, thereby infinging the provisions of the PFMA in that his authorised expenditure would then be irregular. Mr Matjla then requested the Board to seek a legal opinion inthis matter, to which the Board agreed. “The legal opinion was provided by the fim of Ledwaba Mazvai Atforeys who ‘upheld the SNG findings that Mr Matjla had acted outside of hie delegated authority and recommended that the Board discipline the Acting CE At this point, Mr Matjla was no longer with the company as the substantive CE Mr “Matona was then in office, s0 the Board could not institute dscipinary action after the fact. Further, the lawyers advised that cancelation of the contract ‘would result in expensive gation and serious losses to the company. They also afforded the Board advice that meant accepting the contact, i, ratifying ‘meant accepting responsiblity for Mr Majia's breach, Afterdeliberations the Board accepted this advice as an regular expenditure finding was too ghastly to contemplate. The board then resolved to let the contract rn the remaining few months ofthe extension \ X2. IT Procurement 2a 22 23 3 as 4 4a 42 43 | had established a practice of having regular weekly briefing meetings with ‘the Chiet Executive. At the time of the procurement ofthe IT services, Mr Matjla was Acting CE. Iwas in one of these meetings that | was, forthe fist ‘ime, informed that there was an T services procurement process in progress. 10 replace T- Systems contract ‘I nextleart fom the report ofthe Board Tender Committee (BTC; tothe Board thatthe process had hit an impasse in thatthe negotations withthe preferred bidders were unsuccessful. Consequently the recommendatir to the BTC \was to extend the T-systems contract fora further 2 years, ‘To the best of my recollection, circumstances of the suspension of Mr Sal LLaher were never raised atthe Board, nether before nor after the euspension. ‘The Duvha Boller ‘The procurement process ofthe Duvha Boller was started afer my time at Eskom, | therfore have no knouiedge of his matter. Suspension of 4 Executives In order to 60 justice to the matter of the cieumetances surrounding the ‘suspension of Messrs Matona, Koke, Morokane and Molefe, please indulge ‘me to sketch some of the events that ocurred prior this, which events take so the time ofthe appointment of the new Board in early Decenber 2014, uring the fst © or so wesks the now Board members were busy with inductions and only started to got to grips with Eskom business towards the end of January 2016 Im the period from the arrval of Minister Grown at Publle Enterprises Department in May 2014 tthe new Board Wasi place had been tying to44 45 46 cultivate @ working relationship with the Minister and aspired te achieve one ‘similar to how | related withthe previous Minister Gigaba It became patently clear to me that | was not succeeding in this regard when the Minister called me to meeting a day of two before the State of the Nation ‘Address (SONA) in February 2015. At this meeting, she stated as follows “Chairman, | have received complaints fiom management and Board ‘members that you are interfering in management. Please refran from doing 50, because if you don, shall have to find someone else to do your job!" My response was “Minister, most Board members hardly know what look fice, fet ‘alone not having worked with me yet. As for management, if srstnising their ‘decisions and behaviour and calling them to account constitutes interference ‘with management, hen | wil happily continue doing so. Ifyou had acceded to Im request that we have regular brifing sessions, even this meeting would not have been necessary" where upon the Minister responded by saying, “Chairman, you go and do what you have to do, | wil go and do what | have 1, there is no reason for you and Ito tak about anything.” That is how the ‘meeting ended. The very same aftemoon, | was approached by Tony Gupta (Tony) who requested that we meet, At the meeting, Tony told me “Chairman, you are not helping us with anything. We are the ones wh put you inthe poston you are in, We are the ones who can take you out” My reaponse was ‘Do what you have to do, and lt me carry on with the job thatthe Cabinet appointed me to {dol So ended that meeting tis at this time that fk that some sinister clouds are gathering because the Coincidence ofthe two events was not ost on me. Our fist Board meeting was ‘scheduled for 26 February 2015. On the evening ofthe eve of the meeting ay, {received a phone callfrom the President ofthe Republic of South Africa (the President) who informed me that he had tried to get hold ofthe Minister ‘and Deputy Minister tono eval, The President said he was able to locate the ‘Acting Director Genera and asked if she has spoken ome, wien al that pont ‘she had not. The Presiden then informed me thatthe Board meeting wil ot47 48 49 430 be taking place and that the Acting DG wil cll me to ask me to postpone it Short thereafter | received a cal from the Acting DG to say that the Minister hnas asked thatthe meeting be postponed. When | asked forthe reasons for the postponement, | was told that the Minister had not given any. | then had the postponement communicated tothe Board members. “The totality ofthese events had generated some apprehension in me about things to come. Hardly @ week later, | was called by Dudu Myeni. She said that | should avail myself for an audience withthe President, and declined to discuss any details over the phone. nor about 7 March 2015, | arved atthe Durban Presidential residence and was met by Dud Myer, her son Talent, and a certain Mr Nic Lennell, who was introduced to me as @ lawyer. Ms Myeni then proceedee to outline the Purpose of the meeting, namely, thatthe situation of Eskom's nancial stress ‘nd poor technical performance warrants that an inguity info the company be instituted. She further elaborated tht, in the course of the said enquiry, 3 ‘executives namely, Acting CE Tsedlso Matona, Group Execuive for Group Capital Dan Marokane, and Group Executive for Commercial Matshela Koko, are to be suspended. | found ths matter altogether shocking and proceeded to question the need for suspending these executives as | ¢aw this as a recipe for Inducing instabilty in the company. She retorted that even the War Room was. ‘experiencing fustation withthe dectine in performance of the Company, and that the enquiry was essential In her view, the suspension ofthe executives will not creat dficutes because i wil be explained that they ate not accused ‘of wronading, but are being asked to allow space for the enquiy to proceed ‘unencumbered by ther presence, ‘Shorty hereafter the President entered. tr some pleasanites, he requested to know what was up fr eiscussion, whereupon Ms Myeni repeated what she had previously stated. The President then enquired i( | knew who the ‘executives are who were fo be suspended, to which | responded that | would refer that consult the HR Rules of the company to check theres provision 5aa 413 44 for recusal rather than suspensions to achieve the seme objective, Ms Myeni slated that Mr Lennell had assisted her with a similar situation at SAA and is ‘being made available to assist. Mr Lennell then proposed that he draft a resolution for me to present to the Board setting out the rationale for the enquiry. The meeting ended. | convened a Board meeting on 09 March 2015 where | presented the proposed resolution, The Board expressed its discomfort with this approach {and instead proposed thatthe Minister be invited to engage on tis matter with the Boa. “The Board meeting withthe Miisterin attendance was convenedon 11 March 2016.The Minister gave her support for the inquity as well as for the suspensions of the 3 executives. The Board then resolved to proceed with both the inquiry and suspencions of the 3 executives. it also mandated the ‘Audit and Risk Commitee (ARC) to prepare the Terms of Reference forthe inguiry, as well as the People and Governance Committee (P&G)to effect the suspensions, [At the inception of the P&G Committee meeting following the Board meeting, 2 astonishing events occurred. Firstly, Dr. Ben Ngubane stated that the name of the Financial Director must be added to the Fst of executives to be suspended. | immediately raised furious objections. For one, ths executive's name was not among the names approved by the Board. More importantly, ‘suspending the FD is going to generate shock waves even inlernationaly especially with our investors and lenders because the FD is seen as the custodian oftheir investments. Dr. Ngubane responded tha the Minister had Instructed thatthe FD's name be added. | immediately called the Minister to raise my concems and objection, but she rebuffed me. ‘The second astonishing event had to do with the appointnent of the ‘executives who had to act for those suspended, Hardly an hour ater the end of the Board meeting which decided on the suspensions, Ws Chwayita Mabude was announcing the names in the P&G of the executives who were ‘Going to act. | immediately protested that nobody in the Committee, Ms ‘445 416 418 419 Mabude included, other than myself, would have known which executives ‘were sultable replacements. Once again Dr, Ngubane stated tha these names came from the Minister. ‘Mr. Lennelt assisted P&G in drafting the suspension letters, which were then individually handed out. | was at pains fo assure all the executives that had there been any provision for their recusal other than suspension, we would have preferred to apply it, and also that their suspension does not mean they have been found guity of any wrongdoing, ‘The folowing moming, 12 March 2016 at 10N00, | addressed a press conference wherein | announced the suspension ofthe 4 execitives and the Company's intention to institute an inauty. The sfiemoon of the same day | was to have the most unpleasant and humiliating experience in all my tenure @s Chairman. The head of Eskom ‘Treasury informed me that our investors and lenders from across the world Wil be caling in to ask for an explanation ofthe actions of suspending the executives. Indeed | was on line with around 52 individuals trying to defend ‘what essentaly was an indefensible position Hardly @ week went by and I was faced with having to defend myself against ‘accusations from several board members that | was not consulrg the Board in the preparatory work on the inguiry. The Board engaged law frm to trump Up charges against me that | am not fio be a drector ofthe Company. On 23 March, in the dead of night, Iwas given an ultimatum by the Bosrd to resign cor be charged with lack of finess to bee director. I resigned under duress, ‘The termination of the services of the executives who left Eskom occured ‘after | had lft In conclusion, | would lke o state here that corruption isthe scourge tha ie denying cur peopl the opportunity of @ decent and prosperous livelihood, Its the duty ofall of tus to rid our society of this evil | therefore applaud the iniiatve taken by this SHonourable House to get to the bottom of maladministration at State Owned Enterprises. | wish the committee well in this endeavour ‘Thank you.