No hope for SA Ex­press

Business Day - - Opinion - Nathan Cheiman North­cliff

Siza Mz­imela, act­ing CEO of state-owned air­line SA Ex­press, has said that the air­line “will break even by April and will not re­quire fur­ther state sup­port” I do not be­lieve one word. State-owned en­ti­ties (SOEs) never pull them­selves out of their fi­nan­cial woes, be­cause their man­age­ment is cus­tom­ar­ily in­com­pe­tent.

The Gov­ern­ment Em­ploy­ees Pen­sion Fund, whose job it is to in­vest and safe­guard gov­ern­ment em­ploy­ees’ pen­sions, has lost more than R7bn in bad in­vest­ments; Stein­hoff and VBS Mu­tual Bank (R5bn) and R1bn writ­ten off in loans and in­vest­ments in com­pa­nies con­trolled by Iqbal Survé’s In­de­pen­dent News and Me­dia.

Given that the ANC and the gov­ern­ment have an in­fes­ta­tion of mis­cre­ants that are de­ployed to po­si­tions that re­quire acu­ity and ex­per­tise, it is dif­fi­cult to see past the in­ep­ti­tude, cor­rup­tion and malfea­sance per­me­at­ing SOEs. For in­stance, SA must be the only coun­try in the world that has load-shedding in sum­mer. Our na­tional air­line is bank­rupt and trad­ing in in­sol­vent cir­cum­stances — a crim­i­nal of­fence in terms of the In­sol­vency Act.

For a while we were a coun­try with­out a postal ser­vice. The list of de­part­ments, mu­nic­i­pal­i­ties and en­ti­ties bro­ken beyond redemp­tion is end­less.

In all, the ANC is a kinder­garten, mas­querad­ing as a po­lit­i­cal party, over­stretched in­tel­lec­tu­ally.

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