AngloAmerican-owned Kumba Iron Ore has been rocked by allegations of corruption, which have led to the suspension of six managers at its Sishen Mine in the Northern Cape.
Sunday World understands that the managers were suspended after they allegedly contravened the company’s procurement policy by awarding tenders to companies belonging to themselves and close associates.
A source, who preferred to remain anonymous, told Sunday World that the value of tenders being investigated by the company runs into millions of rands.
“I am surprised why the company has not made this investigation public because the news is talk of the town in Sishen,” said the source.
Sunday World has some of the names of the suspended employees but can’t reveal them as we were not able to contact them.
When approached for comment, Kumba confirmed the suspensions, saying they came after an investigation initiated following a tip-off.
“In this instance, management initiated an investigation following concerns including whistle-blowing through ‘Your Voice’ whistleblower line,” said Kumba corporate communication and stakeholder manager Sinah Phochana.
“Several employees were suspended to allow the investigation to proceed unhindered – as is standard practice. This is an impartial process that does not presume any outcome and will follow its course respecting the rights of all concerned.
“The company takes good governance and professionalism extremely seriously. We conduct thorough investigations whenever required and will take all appropriate action to uphold the law and our professional standards,” stated Phochana.
“We do not comment on individual staff members and respect the confidentiality and integrity of the investigation.”
National Union of Mineworkers’ Kimberly regional secretary, Mosepedi- Sanane, told Sunday World that the company is investigating the mismanagement of supply chain.
“And, there are six people who are suspended, which include a head of department, managers and supervisors. But in terms of the amount of money that is involved, we are not sure because the company has told us that it is still investigating and we are waiting for the company to give us more information.”
Sanane said that the suspended managers- allegedly removed existing contractors from the supply chain and replaced them with their own companies or those of friends and family members.