Committee briefings
25 March 2009
The Minister of Public Enterprises provided the Cabinet Committee on
Economic and Social Sectors with further information regarding consultations
between herself and the Chairperson of South African Airways (SAA) on
principles related to the termination of the contract of employment of the
former CEO, Mr Khaya Nqgula.
In particular, the Minister provided detail on the safeguards that she
demanded to ensure that SAA and/or the government's rights are reserved to
institute either criminal or civil proceedings against the former CEO should
the findings of the independent forensic investigation indicate wrongdoing.
Independent legal advice obtained by the Minister confirmed that the settlement
agreement contains such safeguards.
The Minister also advised that the independent forensic investigation is
underway and that she instructed that the investigation must be sufficiently
comprehensive and thorough to establish the nature and extent of material
systemic governance and procurement failures at the airline and not only be
limited to the allegations against the former CEO and senior Executives.
However, all the current allegations against the former CEO and senior
Executives will be investigated as a first priority.
The findings of the independent investigation will determine any further
action against the former CEO as well as any steps required to stabilise
governance at the airline.
Enquiries:
Ayanda Shezi
Tel: 012 431 1111
Cell: 079 880 2059
Issued by: Department of Public Enterprises
25 March 2009
Source: Department of Public Enterprises (http://www.dpe.gov.za)