SAA Chairperson should be suspended immediately - Natasha Mazzone

DA says poor financial management cannot be tolerated during difficult economic times

SAA Chairperson should be suspended immediately

The DA will request that the Minister of Public Enterprises, Lynne Brown, immediately suspend South African Airways (SAA) Chairperson, Dudu Myeni, in light of reports today that she flouted the Public Finance Management Act, by disregarding agreements made with the National Treasury, and ignoring the turnaround plan which the board had undertaken.

Indeed, the Sunday Times reported today that Myeni has effectively scuppered a deal with Airbus – which was brokered by Finance Minister, Nhlanhla Nene - following her insistence on pursuing the purchase of R5 billion worth of new aircraft. The fact that Myeni would be pursuing such a purchase, when SAA has already been bailed out by nearly R7 billion this year alone, and remains a financial mess, is ludicrous to say the least.

I will also be asking that the Portfolio Committee on Public Enterprises summon both Minister Browne and Minister Nene so that they can account for what steps they will be taking to ensure that this sort of brazen behaviour does not repeat itself.

During difficult economic times, when every cent should be spent wisely, this sort of poor financial management cannot be tolerated. South Africa is fast approaching a fiscal cliff, and SAA cannot be allowed to continue these irresponsible antics at the expense of our economy, and ultimately job creation.

Issued by Natasha Mazzone, DA Shadow Minister of Public Enterprises, 8 November 2015