Eskom notes the State Capture report, sets up a project team to deal with recommendations

Friday, 29 April 2022: Eskom welcomes the report issued by the Judicial Commission of Inquiry into Allegations of State Capture, Fraud and Corruption (the Commission). Eskom has proactively set up a project team, supported by its internal and external lawyers, to ensure that the report is reviewed, understood and appropriate actions are taken to address recommendations made therein and to protect Eskom’s interests.

Further, and as previously communicated, Eskom has already taken steps to recover funds irregularly paid out by Eskom to various suppliers.  In this regard, Eskom, working closely with the Special Investigating Unit, has been successful in recovering R1.1 billion from McKinsey, R1.577 billion from ABB, as well as several other significant cases.  Eskom has furthermore initiated civil actions to recover some of the monies lost to State Capture, including R3.8 billion in damages suffered by Eskom due to unlawful actions by those implicated in State Capture.

Eskom is studying the report to identify whether there are implicated individuals still in its employ and will take appropriate action as required in line with its policies. This is in addition to the numerous criminal cases registered with the South African Police Service over the years and disciplinary action taken against its employees implicated in the irregularities.  

Chairman of the Eskom Board, Professor Malegapuru Makgoba said: “State Capture and its agents caused immense harm to Eskom over many years.  We view the release of the Commission’s report as an important step to ensure that more of those who undermined Eskom are brought to book, and we look forward to working with the National Prosecuting Authority to ensure that the miscreants speedily face criminal charges.”

ENDS