Corruption Probe at South African Airways Expanded to SAA Technical

South African Airways has confirmed that a proclamation signed by President Cyril Ramaphosa in December does not launch a new corruption investigation, but formally expands an existing probe by the Special Investigating Unit (SIU) to include the airline’s maintenance subsidiary, South African Airways Technical (SAAT).

The airline said Proclamation No. 303 of 2025, published in the South African Government Gazette on December 19, amends an SIU investigation first authorised in 2020. While SAAT had previously fallen outside the formal scope of the inquiry, the amended proclamation now explicitly brings the unit under investigation without requiring any work already completed to be restarted.

The SIU has been probing South African Airways for alleged serious maladministration, corruption, and unlawful conduct spanning multiple years. In November 2023, the unit presented preliminary findings to Parliament’s Standing Committee on Public Accounts (SCOPA), detailing widespread procurement irregularities and governance failures dating back to 2015. Anti-corruption group Organisation Undoing Tax Abuse (OUTA) described the findings as exposing “horrifying details of state capture and grand corruption” that contributed to SAA entering voluntary business rescue in December 2019.

SAA later emerged in April 2021 as a significantly smaller carrier following a ZAR10.5 billion (USD632.6 million) state bailout. In March 2025, the airline was formally added to the list of institutions under SIU investigation, paving the way for the latest expansion to include SAAT.

Under the amended mandate, the investigation period now runs from January 1, 2002, through December 19, 2025. The scope has been broadened to cover selected procurement, operational, and governance matters across both South African Airways SOC Limited and South African Airways Technical SOC Limited. This includes scrutiny of any irregular, improper, or unlawful conduct, as well as undisclosed or unauthorised interests involving employees, board members, vendors, or third parties.

A separate government statement said the expanded probe also specifically covers the supply of transportation services for SAA cabin crew at various outstations. Any evidence of criminal conduct uncovered will be referred to the National Prosecuting Authority, while the SIU is authorised to pursue civil recovery through the High Court or a special tribunal to recover losses suffered by the state.

The SIU’s preliminary findings highlighted multiple cases of non-compliance with public finance and supply chain regulations, including a ZAR375 million tyre contract that breached procurement laws, aircraft ground power units sold below market value and leased back, and nearly ZAR953 million in irregular expenditure linked to extended security services contracts. Overpricing and unauthorised payments were also identified across aircraft parts, catering, and legal services.

Much of the alleged misconduct occurred during the tenure of former SAA chair Dudu Myeni, who was declared a delinquent director for life by the Pretoria High Court in 2020 and died in 2024.

SAA said it supports the expanded investigation and will continue to cooperate fully with the SIU and other authorities, framing the move as part of ongoing efforts to improve governance and accountability within the airline group.

Related News: https://airguide.info/category/air-travel-business/airline-finance/

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com