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Roundup: Re-appointment of Gupta-linked Eskom CEO sparks outcry in S. Africa

Xinhua, May 12, 2017 Adjust font size:

South Africans were outraged on Friday by the re-appointment of electricity utility Eskom CEO Brian Molefe who is embroiled in a corruption scandal in relation with the Indian Gupta family.

The Eskom Board confirmed on Friday that Molefe will return to his previous job at the power utility next week.

This came after Minister of Public Enterprises Lynne Brown declined a 30-million-rand (2.3-million-US-dollar) pension pay-out to Molefe.

Molefe, now an MP of the ruling African National Congress (ANC), resigned from Eskom last November after then Public Protector Thuli Mandonsela named him in the State Capture report as having contacts with the influential Guptas over Eskom tenders.

The report, while still under review, made observations against Molefe which, at the time, he had deemed serious and significant enough to warrant his resignation.

The report details the close relationship between Molefe and the Guptas and how key decisions were taken by Molefe, as the head of Eskom, for the ultimate benefit of the Gupta's and at the expense of the South African people.

The re-instatement of Molefe drew immediate condemnation from the ANC which called the decision "unfortunate and reckless".

None of the observations against Molefe have been conclusively set aside and his own commitment to fully clear his name is still pending, ANC national spokesperson Zizi Kodwa said.

"The decision therefore to reinstate him in his former position without these matters being resolved is tone-deaf to the South African public's absolute exasperation and anger at what seems to be government's lackluster and lackadaisical approach to dealing decisively with corruption - perceived or real," Kodwa said.

He said the ANC will seek an engagement with the Minister of Public Enterprises, under whose authority Eskom falls and under whose direction the entity should operate on this matter.

Meanwhile, the opposition Democratic Alliance (DA) said the return of Molefe to Eskom, which provides more than 95 percent of electricity consumed in South Africa, "is a monumental disaster" for the power utility, which is currently in a dire state of affairs and is surrounded by a swirling cloud of Gupta-linked corruption allegations as a result of Molefe's tenure.

The Guptas are accused of exerting undue influence on President Jacob Zuma in the appointment of cabinet ministers and CEOs of state enterprises, a charge denied by the family.

"The return of Molefe to Eskom will see the Gupta hand return to the power utility, and most likely to the forthcoming nuclear procurement deal," the DA claimed.

"This is something which South Africa cannot accept," the party said.

The DA has filed criminal charges against Molefe and the South African Police Service (SAPS) is currently investigating his alleged involvement in corruption.

"South Africa deserves to know the truth behind the many scandals currently engulfing Eskom. It is imperative that Parliament conducts an inquiry as a matter of urgency to ensure that those who are responsible for abuses are held to account, not least, Brian Molefe," DA Shadow Minister of Public Enterprises Natasha Mazzone said.

Civil group Save South Africa said it is determined to do all in its power to stop Molefe's return.

The group said it will work with others to mobilize protests to show the nation's outrage.

Save South Africa has campaigned for Zuma to resign due to allegations of State Capture related to the Gupta family.

Also on Friday, Parliament confirmed that Molefe, who had become a MP following his resignation, has resigned from the job.

"Parliament wishes to confirm the resignation of Mr Brian Molefe as a Member of Parliament effective from Sunday, 14 May," a parliamentary statement said. Endit