Cabin crew exposes ‘R2bn tender graft’

SAA: AIRLINE’S ‘IRREGULAR PAYMENTS’ NOT PROBED Leadership says internal reports ‘fell on deaf ears’ as entity pleads poverty.

Leadership of the South African Cabin Crew Association (Sacca) has resorted to exposing national carrier South African Airways (SAA) in connection with irregular tender payments, after the airline claimed they had no funds to pay for cabin crew allowances.

Sacca held a media briefing yesterday in Irene, Pretoria, where they claimed the airline had irregularly spent about R1.8 billion on tender contracts, which were not signed for.

The association, made up of 1 300 cabin crew members, has slammed government for not acting on the irregular expenditures after having written to former finance minister Pravin Gordhan and his successor, Malusi Gigaba.

“We tried to take these grievances to management and executives. Since 2016, we started raising these issues internally but they fell on deaf ears. We are at a place where we have tried everything. SAA’s flights are full. It is profitable. South Africa needs to know why SAA claims they have no money,” said Sacca president Zizi Nsibanyoni-Mugambi said.

In a 24-page document, Sacca tabled how 33 companies irregularly benefitted from the airline, which received payments totalling R726 911 176.26.

This included Kintetsu World Express, which received payments of R125 million for supply chain management services. Their contract, Nsibanyoni-Mugambi said, was still not signed by February, 29 months since the tender was awarded.

“We would like to know why the board is not acting on the recent media reports which are also carried regarding the R1.1 billion tender that was awarded irregularly to JM Aviation,” she said.

Treasurer Gift Bilankulu said the information was based on several investigative reports, including from Ernst & Young and PricewaterhouseCoopers that had been commissioned by the airline. But the state-owned entity failed to act on issues related to payment to companies without valid contracts, Bilankulu said.

Sacca said they would lay criminal charges against members of the SAA board and management.

Picture: Jacques Nelles TALKING. South African Cabin Crew Association chief negotiator Feroze Kader. The group yesterday exposed an internal SAA report stating irregular tender expenditure amounts to nearly R2 billion.