SIU Investigates South African Airways for Corruption and Mismanagement
South Africa’s Special Investigating Unit (SIU), an independent corruption watchdog, has added South African Airways (SAA, Johannesburg O.R. Tambo) to its list of state institutions under investigation for “serious maladministration, corruption, and unlawful conduct.” The SIU did not provide further details but confirmed the investigation’s scope was expanded with amendments to Proclamation No. R.206 of 2024, authorized by President Cyril Ramaphosa. This move aims to recover financial losses incurred by the state.
In March 2024, the public enterprises parliamentary portfolio committee requested the SIU’s involvement in investigating the failed sale of a 51% stake in SAA to the Takatso Consortium. This came after allegations of wrongdoing in the deal, particularly concerning the valuation of the airline, raised by former Department of Public Enterprises director-general Kgathatso Thlakudi.
The SIU has been investigating SAA for several years, including 84 contracts and 44 aircraft leases, uncovering issues like inflated pricing, conflicts of interest, fictitious vendors, and over-payments. A notable case involved former chairwoman Dudu Myeni’s attempt to involve a third-party leasing company in a 2015 Airbus deal, which led to the “Nene Gate” scandal and the dismissal of then-finance minister Nhlanhla Nene.
Other state-owned entities under investigation by the SIU include the South African Broadcasting Corporation, Eskom, PetroSA, Transnet, Alexkor, and others.
Related News: https://suspicious-zhukovsky.67-21-117-18.plesk.page/category/air-travel-business/airline-finance/
Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com