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Eskom, SAA & Transnet Lost Billions To Corruption, Bribery In Past 5 Years – Gordhan

Public Enterprises Minister Pravin Gordhan said the country’s biggest state entities have lost billions due to corruption and bribery in the past five years.

Gordhan was responding to a written question in Parliament about Eskom, South African Airways (SAA) and Transnet, and how much corruption had cost the entities.

But he said they had managed to recover some of the lost money at the likes of Transnet, totalling R1.6 billion.

Gordhan said a state capture initiative resulted in a civil litigation strategy to recover funds associated with losses sustained during the state capture era and administrative corruption.

His reply showed how Transnet seemed to have suffered the most losses due to corruption.

The total value of matters referred by Transnet to law enforcement for further investigation is R2.1 billion.

On Transnet’s actual losses, Gordhan said these could only be determined once the outcome of the criminal investigation concluded, where the extent of the losses could be quantified.
 
Eskom’s losses due to corruption, though not as high as Transnet, stands at R203 million.

Since 2019, SAA has lost a total of R23 million due to corruption, fraud, and bribery. 

Gordhan said recoveries from Transnet stood at R1.6 billion and they managed to recover R870 million from consulting firm, McKinsey, alone.