The Herald (South Africa)

‘Koko failed to follow procedure’

While suspended Eskom chief claims he reported conflict of interest, hearing told it was not on system

- Neo Goba

SUSPENDED acting Eskom chief executive Matshela Koko has been accused of failing to follow proper internal declaratio­n procedures to alert Eskom to a conflict of interest, which has resulted in him facing disciplina­ry procedures.

However, Koko said he had told Brian Molefe‚ who was the chief executive before him‚ about the conflict of interest involving a company in which his stepdaught­er had shares.

Eskom’s acting ethics manager and head of governance‚ Alison Seckle‚ testified in Koko’s disciplina­ry hearing on Saturday and spoke about Eskom’s internal declaratio­n procedures.

Koko is facing six charges of misconduct relating mainly to his failure to declare a conflict of interest concerning contracts worth about R1-billion which were awarded to Impulse Internatio­nal‚ of which his stepdaught­er‚ Koketso Choma‚ 26‚ was a shareholde­r and director.

Choma’s company was doing business with Eskom Generation when Koko was head of the unit.

“The last documented disclosure that we have according to Eskom’s policy was on June 8 2016 – when Mr Koko became aware of the conflict of interest‚ he should have captured it on the e-form system‚” Seckle said.

“As I indicated during the testimony‚ we from the ethics office and other offices use that informatio­n.

“We go into the system and download that informatio­n so that we can check conflicts against the agenda items. He did not do so in a proper manner.

“It’s unusual because in all the other previous years he had done [disclosed], but [in] this particular interest‚ he did not do so.”

She pointed out that because it was a clear conflict of interest‚ Koko – who was more knowledgea­ble as he occupied a senior position – would have surely wanted to capture the interests on the systems to have a record of it.

During cross-examinatio­n‚ Koko’s legal representa­tive‚ advocate Louwrens Malan‚ argued that Koko had disclosed this conflict of interest to Molefe who should have been responsibl­e for declaring his interests on the system as he was his line manager.

“If there’s a conflict of interest that exists‚ you are always required to make a declaratio­n through the line manager and in this case it was Mr Molefe,” he said.

“The reason why‚ in terms of Eskom’s policy‚ the declaratio­n has to be made through the line manager is because the manager is responsibl­e for the employee.

“Once this disclosure is made‚ it would not be unreasonab­le to expect the line manager to see that it gets into the [Eskom] system.”

However‚ Seckle told Malan that Eskom’s system notified the person who had initially made the declaratio­n on the system via e-mail, so if it came back “approved”‚ it would have required Koko to capture it himself on the system. Koko is yet to testify. Meanwhile, the DA will be writing to National Assembly Speaker Baleka Mbete to demand protection for members of the portfolio committee on public enterprise­s, which is investigat­ing allegation­s of state capture at Eskom, as well as the witnesses appearing before the inquiry.

DA chief whip John Steenhuise­n said yesterday it was clear from recent media reports that those implicated in the illicit activity at Eskom would stop at nothing to hamper the investigat­ion into state capture.

“It has emerged that witnesses appearing before this committee are at risk‚ as evidenced in advocate Ntuthuzelo Vanara’s affidavit in which he alleges that State Security Minister Bongani Bongo attempted to bribe him to step down as evidence leader in the inquiry,” he said.

“However‚ committee members are now also being targeted – the DA’s member on this committee‚ Natasha Mazzone – was recently followed and her vehicle tampered with.” – TimesLIVE

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MATSHELA KOKO

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