Committee on Public Enterprises receives responses from Minister Gordhan on allegations submitted by former DG

12 September 2023

The Portfolio Committee on Public Enterprises today received the Minister of Public Enterprise, Mr Pravin Gordhan’s responses on the allegations submitted by former Director-General (DG) of the Department of Public Enterprises

In welcoming the responses from the Minister, the Chairperson of the committee, Mr Khaya Magaxa, said the purpose of the meeting was to provide an opportunity for the Minister to brief the committee about his side of the story on the matter of the former DG, Mr Kgothatso Tlhakudi, after the committee had met with him in June.

Briefing the committee, Mr Gordhan said the allegations that have been levelled against him by the former DG on the South African Airways and Takatso deal are unfounded and unsubstantiated. He said the allegations have no foundation whatsoever and that this is all part of a political smearing campaign.

Some members of the committee said the response by the Minister is more on the history of what happened and does not address the allegations that have been made by Mr Tlhakudi.

The committee requested the Minister to provide reports or any kind of report on the preparatory work that was done before there was an agreement about the deal. Furthermore, the committee needs access to all the due diligence reports so that it has a clear understanding on how certain decisions were undertaken and done.

The committee made refence to a meeting it had with the South African Airways Board in June, where the issue of valuation was discussed. As the committee we were not satisfied with the amount, and we discussed the matter and we felt that we need to renegotiate. We were of the view that we cannot bind ourselves with the deal when the ground has shifted, the deal is not beneficial to state.

The committee will meet and discuss the matter brought before making a determination on how to proceed further.

Issued by Yoliswa Landu, Media Officer, Parliamentary Communication Services, 12 September 2023