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Eskom To Take Disciplinary Action Over Matshela Koko's Alleged Corrupt Activities

It is around irregular activities regarding contracts which were awarded to his step-daughter Koketso Choma.

19/07/2017 17:10 SAST | Updated 19/07/2017 17:11 SAST
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Matshela Koko.

Eskom's former acting CEO Matshela Koko will face a disciplinary hearing following allegations of corrupt activity involving millions of rands.

"The board has taken a decision to pursue disciplinary action against Mr [Matshela] Koko", Eskom's board chairperson Zethembe Khoza said on Wednesday.

Khoza was addressing media at Eskom's financial results presentation in Johannesburg on Wednesday.

Koko was alleged to be involved in irregular activities regarding contracts which were awarded to his step-daughter Koketso Choma.

At the time, Choma was a director at Impulse and owned 35 percent of shares in the supplier company.

He was placed on special leave since May pending the outcome of the investigation into allegations of conflict of interest by law firm Cliffe Dekker Hofmeyr.

He has also been fingered in former Public Protector, Thuli Madonsela's State of Capture Report. In his previous position as Eskom Group Executive, he was alleged to have signed a document approving a prepayment of almost R600 million prepayment to Gupta-owned Tegeta. The amount is said to have enabled the company to purchase Optimum Coal.

It was also reported this week that Eskom is sitting on its last R20 billion but still wants to pay bonuses to axed CEO Brian Molefe and Koko. However, the power utility maintains it's not cash-strapped and will be able to continue operations and paying salaries.

Meanwhile, Public Enterprises Minister Lynne Brown has asked the interim board to conduct short-term investigations into corruption, saying that she's skeptical about the utility's truthfulness. Brown says allegations of corruption and maladministration have damaged Eskom's integrity.