NEWS
18/01/2018 09:41 SAST | Updated 18/01/2018 09:41 SAST

'Secret' Golden Handshake Talks Underway For Matshela Koko

Eskom is reportedly talking to Koko about his possible resignation.

Mike Hutchings / Reuters

Secret talks are reportedly underway to reach a termination of contract deal with embattled Eskom executive, Matshela Koko, according to Business Day. The "sensitive" talks are reportedly centred on the conditions, and possibly a golden handshake, that would see Koko agreeing to walk away.

Talks with Koko started last week, three sources told Business Day. But giving Koko a golden handshake would reportedly be in contravention of the Public Finance Management Act, and would have to be approved by Treasury and the public enterprises minister.

This is because Eskom did not take disciplinary and criminal action against Koko, as recommended by independent forensic investigations, Business Day reported.

Three forensic investigations reportedly recommended criminal action against Koko and others for their role in facilitating a R1.6-billion unlawful payment to McKinsey and the Gupta-linked firm Trillian. This week, the Asset Forfeiture Unit obtained preservation orders against the assets of those companies.

Eskom reportedly "skirted questions" on the talks.

Koko was reinstated in December after being suspended by Eskom pending the outcome of a disciplinary hearing into allegations that he did not declare a conflict of interest when his stepdaughter's company was awarded an Eskom contract.

Eyewitness News (EWN) reported this week that a group of Eskom employees raised concerns about his reinstatement. In a letter, the employees reportedly say they believe he poses a "real risk" to Eskom. Eskom reportedly said it was reviewing the letter.

Meanwhile, the Parliamentary inquiry into state capture at Eskom is set to continue next week, and Koko is set to testify, according to Fin24. Koko will appear on January 24.