Presidency officials flagged in alleged graft in sale of SAA

Director-general (DG) in the Presidency Phindile Baleni and President Cyril Ramaphosa’s political adviser, Bejani Chauke, have been dragged into allegations of corruption surrounding the sale of a majority stake in South African Airways (SAA) to private players.

Suspended Department of Public Enterprises DG Kgathatso Tlhakudi said he was iced from his role after he alerted Baleni and Chauke of allegations of impropriety against Public Enterprises Minister Pravin Gordhan over the SAA deal.

In May last year, Gordhan said the state had sold 51% stake in embattled national carrier SAA to Takatso consortium. The deal, he said at the time, would see Takatso take 51% ownership of SAA, with the government retaining a 49% stake. Gordhan said Takatso would inject R3-billion into a new SAA.

Takatso consists of Global Airways, which owns low-cost airline lift, as technical partner, and infrastructure investment firm Harith. The equity partner in Global Airways is Gidon Novick, who will serve as Takatso’s CEO.

Tlhakudi, in a “protected disclosure” document leaked to Sunday World said the SAA deal reeked of corruption and alleged Baleni and Chauke knew of the allegations he had made against Gordhan – yet did nothing about it after his suspension.

“I need to make the following protected disclosures in terms of the Protected Disclosures Act 26 of 2000 against my Minister Mr Pravin Jamnandas Gordhan … I was labouring under the impression that since I disclosed this to the Presidency DG even before charges were formulated against me that it would take a form of protected disclosures,” the document reads in part.

Tlhakudi said he first made the protected disclosure to Baleni at a meeting at the Union Buildings on May 24 and to Chauke “before June 2”.

Sunday World understands the document became a bone of contention in a drama-filled hearing held on Friday in Pretoria. Advocate Mahlape Sello, who is leading evidence on behalf of the employer, tore into the document, saying it was full of hearsay and lacked evidence, according to people who were in the meeting.

However, Tlhakudi’s attorneys are said to have insisted that the contents of the document be considered as they reveal why he was charged. The chairperson of the hearing is scheduled to make his judgment on the admissibility of the document tomorrow. This paper understands that should the chairperson rule in favour of Tlhakudi, the matter will be heard at the bargaining council but if he throws it out, it will spell trouble for him.

Tlhakudi’s hearing on Thursday got off to a rocky start after he and his attorney were allegedly denied access to the venue the sitting was held in. His lawyers put it to the chairperson of the hearing that his rights were being violated.


Tlhakudi’s supporters claim Sello’s role as evidence leader and her appointment to the independent panel looking into allegations levelled against Ramaphosa over Phala Phala puts her in a conflicted position.

In the document, Tlhakudi alleges that around January 26 2021, Novick contacted him, indicating he had had engagements with Gordhan on providing interim management expertise to SAA. Around that time, Gordhan also contacted him, “impressing upon me the credentials of Mr Novick”.

He said Gordhan then introduced Novick to Harith. He added that Harith boss Tshepo Mahloele referred to Novick and Global as his “white economic empowerment” partners.

Gordhan’s spokesperson, Adrian Lackay, did not respond to the allegations, while Takatso dismissed them as “malicious and defamatory”.

It said the relationship between Novick and Mahloele pre-dated the SAA transaction. They were introduced to each other by an adviser who was asssisting Mahloele with his business interests. “During this time, Mr Novick was looking to attract an investor to his newly launched airline, Lift. When the adviser established synergies between the two parties, owing to Harith’s vast investments in the transport and aviation sectors, a business relationship was kindled between the two parties. Any assertion to the contrary is false.”

The presidency did not respond to questions.

 

Timeline of events

May 25: Gobodo Forensic and Investigative Accounting issues a report on a case of alleged corruption against Tlhakudi, finding he had interfered in the appointment of a senior manager in the security and facilities department. The report recommends that disciplinary action be constituted against him.

June 6: Gordhan informs Tlhakudi that the Gobodo report was presented to him and he has forwarded it to the Presidency.

June 14: Ramaphosa’s office informs Tlhakudi that the president had delegated Lamola to deal with the matter.

June 23: Lamola informs Tlhakudi he is suspended.

August 12: Lamola sends Tlhakudi a charge sheet.

August 22: A hearing is convened but proceedings do not progress beyond discussions on the exchange of documents.

October 11: Tlhakudi’s urgent application to resume work is heard.

October 12: His application is dismissed with costs.

 

 

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