A change of tune from Transnet over Gama issue

Despite denials earlier this year to FTW from a Transnet spokesman about Transnet Freight Rail (TFR) CEO Siyabonga Gama’s alleged responsibility in the recently botched procedure for the R6.5-billion tender for 212 locomotives, the parastatal has now issued a new story. In March this year we reported that there had been quite a major dispute going on between the SA press and Transnet about the affair. At the time, Transnet had cancelled the R6.5-bn tender, it said, because a “whistleblower” led it to believe there was a corrupt relationship between one of its officials and one of the directors of EMS, the preferred bidder. Also, Transnet admitted that it made a mistake when rating the black economic empowerment (BEE) status of the EMS SA-US joint-venture. The point made by a major daily newspaper was that Gama should possibly have noted the discrepancies in the bid in TFR’s review of the tender procedure, and that this failure might jeopardise his chances of becoming Maria Ramos’s successor as CEO of the Transnet group. This was vehemently denied by Transnet spokesman, John Dludlu, who issued a press statement refuting any talk that Gama could have been involved in the loco deal and that it was affecting his chances to become CEO. But now there seems to have been a change of tune. Gama, said a release from Dludlu, “has been suspended, pending the outcome of an internal disciplinary process. “Gama has been requested to attend a disciplinary hearing relating to an alleged serious breach of governance requirements in respect of two procurement contracts. “Transnet is committed to ensuring that due process in relation to the disciplinary matter is followed, and the process, which enjoys the Board’s unanimous support, will be adjudicated by an independent and external arbitrator.” Further investigation by FTW has been fruitless. “During this process,” said Dludlu, “we will not be commenting on this labour relations matter to enable due process to take its course and the reputation of all role players to be preserved.”