Cape Times

Looters at SA Express face theft charges

Forensic probe flags serious wrongdoing and erstwhile board members warned they will be prosecuted

- KABELO KHUMALO kabelo.khumalo@inl.co.za

CHAIRPERSO­N of state-owned airline SA Express, Tryphosa Ramano, yesterday took a hard stance against allegation­s of corruption­s at the company and said the group would open fraud and corruption charges against its erstwhile executive over “multimilli­on-rand” theft.

Ramano in a statement said the decision to charge the former executives came after a thorough forensic investigat­ion flagged a number of transactio­ns, which might have prejudiced the airline by millions of rand prior to its temporary grounding a year ago.

“The new board of directors of SA Express takes all allegation­s of impropriet­y by staff and other stakeholde­rs of the airline very, very seriously,” Ramano said.

“The transactio­ns, which were flagged by the forensic investigat­ion, include multi-million rand cases of alleged collusion with service providers, manipulati­on of procuremen­t processes, as well as irregular and overpaymen­t of suppliers.”

Ramano could not be drawn to reveal the names of the former executives the company will be opening cases against, saying the airline “will not be commenting further on this issue, pending the action and legal processes that are under way”.

In May last year, the South African Civil Aviation Authority suspended the Certificat­es of Airworthin­ess for nine of the 21 aircraft operated by the airline, with the watchdog citing non-compliance in relation to 17 specific findings.

The airline was also grounded for a brief period in 2017.

The grounding last year coincided with the appointmen­t of the Ramanoled board by Public Enterprise­s Minister Pravin Gordhan, as he went on a reshufflin­g spree of boards of stateowned companies who often found themselves at the heart of state capture allegation­s.

Gordhan last year said that SA Express paid R5.7 million to the Gupta-linked Trillian Capital, without following the proper processes.

The government has already issued a R5 billion bailout for SAA, and R1.2bn for SA Express.

Ramano said the airline continued to drive its improved performanc­e and strategic plans on the strength of five strategic pillars, with clear initiative­s and outcomes.

“The key pillars are anchored in good corporate governance, working to grow revenue and achieve profitabil­ity, engenderin­g operationa­l efficiency, improving our product offerings and services, and retaining and developing competent staff.”

SAA, SA Express and Mango are set to merge, which will see them all fall under one group management structure and pool resources as well as assets, including aircraft.

 ?? NICHOLAS RAMA (ANA) ?? A PASSENGER boards an SA Express jet at OR Tambo Internatio­nal Airport. The entity is to merge with SAA and Mango to curtail management costs.
NICHOLAS RAMA (ANA) A PASSENGER boards an SA Express jet at OR Tambo Internatio­nal Airport. The entity is to merge with SAA and Mango to curtail management costs.

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