Werksmans questions Transnet's statement about 1 064 locomotive procurement report

16th February 2018

By: Simone Liedtke

Creamer Media Social Media Editor & Senior Writer

     

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Law firm Werksmans Attorneys on Friday said it was surprised at State-owned Transnet board's attempt to absolve anyone of wrongdoing when its report into alleged fraud related to the procurement of 1 064 locomotives, had concluded that, not only should Transnet institute appropriate disciplinary action against those individuals identified in the report, but also that law enforcement agencies should be brought in to investigate the matters identified in the report.

This follows after Transnet on Thursday said it had resolved that the report compiled by Werksmans, which had been tasked by the Transnet board to investigate the alleged fraud, was incomplete and inconclusive, based on the terms of reference provided to it.

"This conclusion is corroborated by Werksmans, who specifically alluded this in its report due to limitation expressed therein.

"The board has further resolved that there are no concrete grounds provided in the report to effect any disciplinary processes or suspensions of any officials, at this stage, owing to the inconclusive nature of the report," Transnet said in statement.

The Transnet board further  resolved that an independent forensic auditor be commissioned immediately to finalise the outstanding terms of reference in line with the investigation report.

It has also approved the recommendation by Werksmans that certain matters in the report be referred to the judicial commission of inquiry into State capture, headed by Deputy Chief Justice Raymond Zondo.

"The board has, therefore, undertaken to refer all relevant matters pertaining to this investigation to the inquiry promptly," it said.

Transnet added that it had also reported earlier media reports regarding the alleged fraud to the Directorate for Priority Crime Investigation, concurrent to the Werksmans investigation.

Transnet further stated that it would fully cooperate with the judicial commission of inquiry and that it would continue to do the same in this regard with all the law enforcement agencies of South Africa.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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