Gordhan, Mufamadi to face Scopa grilling over Eskom

Public enterprises minister Pravin Gordhan and Eskom board and presidential security adviser Sydney Mufamadi are to be called before parliament next Wednesday to answer allegations of crime and corruption at the utility publicised by former CEO André de Ruyter.

De Ruyter has conservatively estimated that corruption at Eskom is costing the company at least R1bn a month.

De Ruyter, who appeared before the standing committee on public accounts (Scopa) on Wednesday, frustrated MPs by refusing to answer questions on the identity of a senior politician whom he alleges was involved in Eskom corruption. He also refused the divulge the name of a minister who, on being told of the graft allegedly replied that “in order to pursue the greater good you have to enable some people to eat a little bit”.

De Ruyter said his refusals were based on legal advice that doing so could affect his security and expose him to civil and/or criminal action. Public disclosure could also compromise ongoing investigations and defeat the ends of justice, he added.

Gordhan and Mufamadi will be asked about the identity of the senior politician. De Ruyter told Scopa he had revealed the person to both of them.

Scopa chairperson Mkhuleko Hlengwa said if Mufamadi had been informed he should have notified president Cyril Ramaphosa. Hlengwa said Gordhan will also be asked about De Ruyter’s claims that he had been micromanaged while CEO, which he said had made his job difficult.

Scopa also plans to ask the Auditor-General, the Special Investigating Unit, the Hawks, and national police commissioner Fanie Masemola to appear on May 9 to provide an update on investigations into corruption at Eskom. Hlengwa noted that law enforcement agencies had been made aware of the allegations about a year ago. A further engagement with De Ruyter is also planned at some point.

Replying to a question by DA MP Alf Lees, De Ruyter said Gordhan is known for being closely involved in operational details, which included speaking to low-ranking employees in the organisation, and bypassing senior executives. “It made life as the responsible accounting officer quite difficult,” he said.

De Ruyter also said that the new board getting involved in operational matters could be described by some people as a form of “overreach” for a non-executive committee. Meetings had been held with subordinates without his knowledge, he said, which had disempowered him and played a role in his decision to leave Eskom.

While insisting that he was willing to co-operate with Scopa, De Ruyter refused to take an oath or make an affirmation that would have given him protection under the Powers, Privileges and Immunities of Parliaments and Provincial Legislatures Act, insisting that his concerns about his security would still apply.

De Ruyter repeatedly insisted that he had reported the allegations of crime and corruption to the SAPS at the highest level, including Masemola.

He said he had also taken steps to strengthen internal controls in a bid to stem the corruption and assumed action had been taken on his reports of criminality to SAPS since there had been a number of arrests.

ensorl@businesslive.co.za