The African Congress for Transformation (ACT) says it welcomes the announcement by Minister of Public Enterprises Mr. Pravin Jamnandas Gordhan, “but not without reservations”, that the Takatso Consortium deal to acquire a 51% stake in South African Airways (SAA) has been terminated.
In a statement, ACT noted that Gordhan’s announcement comes on the back of his failure to account to parliament, and his refusal to disclose the documents about the deal to members of parliament.
The Minister of Public Enterprises confirmed on Wednesday, during a media briefing in Cape Town, the collapse of negotiations for the dodgy transaction to sell 51% of SAA to the Takatso Consortium.
Gordhan explained that while three years ago, a valuation of SAA’s business and assets had been reached, circumstances have now changed, thus prompting a disagreement on the revised transaction structure.
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In ACT’s view, the conduct of Minister Gordhan compels the party “to infer and deduce that the Takatso Consortium deal was doomed for failure from the onset,” suggesting that the negotiations were not in the best interest of South Africa.
“It is the ACT’s view that the deal was intentionally shrouded in secrecy to hide the malicious and nefarious intentions of those behind the deal. We commend the members of parliament, particularly those on the opposition benches who were steadfast in their resolve and determination to hold Minister Gorhan accountable, even in the face of Minister’s attempt to manipulate the committee by invoking a non-disclosure clause that contradicts the Parliament’s Privileges Act,” the party stated.
In addition, ACT said the collapse of the deal is yet another victory for South Africans who were alert to the “deceitful motives of the ANC government to auction [SAA] to their friends and families, masquerading as entrepreneurs”.
The party urged parliament to keep exercising oversight and safeguard all State assets including the Post Office, Transnet, Eskom, and Denel.
