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Special Investigating Units And Special Tribunals Act, 1996 (Act No. 74 of 1996)

Proclamations

Referral of Matters to Existing Special Investigating Units

Eskom Holdings SOC Limited

Proclamation No. 178 of 2024

 

Proclamation No. 178

30 August 2024

GG 51131

PROCLAMATION NO. 178 of 2024

by the

PRESIDENT of the REPUBLIC of SOUTH AFRICA

 

WHEREAS allegations as contemplated in section 2(2) of the Special Investigating Units and Special Tribunals Act, 1996 (Act No. 74 of 1996) (hereinafter referred to as “the Act”), have been made in respect of the affairs of Eskom Holdings SOC Limited (hereinafter referred to as “Eskom”);

 

AND WHEREAS Eskom or the State suffered losses that may be recovered;

 

AND WHEREAS I deem it necessary that the said allegations should be investigated and civil proceedings emanating from such investigation should be adjudicated upon;

 

NOW, THEREFORE, I hereby, under section 2(1) of the Act, refer the matters mentioned in the Schedule to this Proclamation, in respect of Eskom, for investigation to the Special Investigating Unit established by Proclamation No. R. 118 of 31 July 2001 and determine that, for the purposes of the investigation of the matters, the terms of reference of the Special Investigating Unit are to investigate as contemplated in the Act, any alleged—

(a) serious maladministration in connection with the affairs of Eskom;
(b) improper or unlawful conduct by the employees or officials of Eskom;
(c) unlawful appropriation or expenditure of public money or property;
(d) unlawful, irregular or unapproved acquisitive act, transaction, measure or practice having a bearing upon State property;
(e) intentional or negligent loss of public money or damage to public property;
(f) offence referred to in Parts 1 to 4, or section 17, 20 or 21 (in so far as it relates to the aforementioned offences) of Chapter 2 of the Prevention and Combating of Corrupt Activities Act, 2004 (Act No. 12 of 2004), and which offences were committed in connection with the affairs of Eskom; or
(g) unlawful or improper conduct by any person, which has caused or may cause serious harm to the interests of the public or any category thereof,

which took place between 1 March 2006 and the date of publication of this Proclamation or which took place prior to 1 March 2006 or after the date of publication of this Proclamation, but is relevant to, connected with, incidental or ancillary to the matters mentioned in the Schedule to this Proclamation or involve the same persons, entities or contracts investigated under authority of this Proclamation, and to exercise or perform all the functions and powers assigned to or conferred upon the said Special Investigating Unit by the Act, including the recovery of any losses suffered by Eskom or the State, in relation to the said matters in the Schedule to this proclamation, and the performance of such functions which are not in conflict with the provisions of the Act, as the President may from time to time request.

 

Given under my Hand and the Seal of the Republic of South Africa at Johannesburg this 6th day of May Two thousand and twenty-four.

 

 

President

 

By Order of the President-in-Cabinet:

 

RO Lamola

Minister of the Cabinet

 

SCHEDULE

 

1. The procurement of and contracting for—
(a) coal from Tegeta Exploration and Resources (Pty) Limited for coal supplied by Optimum Coal Mine (Pty) Limited and the Brakfontein Colliery Mine;
(b) information technology services in terms of a master services agreement concluded with T Systems International GmbH;
(c) information technology services related to software licence and support agreements concluded with SAP South Africa (Pty) Limited;
(d) services in respect of Task Order SM008 for “capital scrubbing”;
(e) security services from Combined Private Investigations (Pty) Limited, with registration number 2021/838939/07;
(f) forensic investigation services from Kapditwala Incorporated trading as Dentons South Africa; and
(g) information technology services from Cutting Edge Commerce (Pty) Limited, with registration number 2004/005321/07, (formerly Leonardo Business Consulting),

by Eskom, and payments made in respect thereof in a manner that was—

(i) not fair, equitable, transparent, competitive or cost-effective; or
(ii) contrary to applicable—
(aa) legislation;
(bb) manuals, guidelines, circulars, practice notes or instructions issued by the National Treasury; or
(cc) manuals, policies, procedures, prescripts, instructions or practices of or applicable to Eskom,

and any related unauthorised, irregular or fruitless and wasteful expenditure incurred by Eskom.

 

2. Serious maladministration in connection with the affairs of Eskom relating to a pre-payment by Eskom of approximately R1.68 billion for coal from Optimum Coal Mine to Hendrina Power Station, which pre-payment was later changed to a guarantee.

 

3. Serious maladministration in connection with the affairs of Eskom relating to a pre-payment by Eskom of approximately R659 million to Tegeta Exploration and Resources (Pty) Limited.

 

4. Any irregular, unlawful or improper conduct by officials or employees of Eskom or any other person or entity, in relation to the allegations as set out in paragraphs 1, 2 and 3 of this Schedule.