IRREGULAR SPENDING
Former SA Express CEO paid R700,000 to leave after millions wasted on his watch
The airline's acting CEO told MPs it had sold two aircraft to a Lesotho company and is leasing them instead
Struggling airline South African Express (SAX) sold two aircraft to a Lesotho-based company and leased the same aircraft at a cost of millions, MPs on the standing committee on public accounts heard on Wednesday. Public Enterprises Minister Lynne Brown and the airline’s management appeared before the committee to respond to concerns, including its dismal finances and high levels of irregular expenditure. The auditor-general raised the flag about irregular expenditure at the airline in his 2015-16 report. MPs heard that former CEO Inati Ntshanga was paid more than R700,000 when he left abruptly at the end of March. Chairman George Mothema told Scopa on Wednesday that Ntshanga was paid out the balance of his contract. “The CEO left because we decided not to renew his contract and to end it early. He was paid the remainder of his contract which is five months. We moved as a board and consulted our shareholder on the matter,” he said. SAX is due to table its financial statements on Thur...
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