SAA seeks clarity on BnP Capital licence
Amid the threat of legal action, SAA has asked financier BnP Capital to explain whether it’s licenced.
CAPE TOWN - South African Airways (SAA) has asked financier BnP Capital to explain whether it has a valid financial services board licence amid claims its licence has been suspended.
Red flags have been raised over the state-owned airline's decision to appoint the unknown "boutique financier" to advise it on debt restructuring and fund raising.
The deal could see the financier earning a reported R265 million.
The controversy has prompted civil rights group Organisation Undoing Tax Abuse (Outa) to threaten legal action to stop the deal from being signed.
Amid the threat of legal action, SAA has asked BnP Capital to explain whether it's licenced.
The airline's spokesperson Tlali Tlali says a response is expected sometime next week.
"SAA took steps to interact with BNP Capital in an effort to establish what the true state of affairs is in relation to the validity of the Financial service board licence. We are awaiting a response from them."
In May, the SAA's treasurer, Cynthia Stimpel, reportedly sent an email to its interim chief financial officer warning that SAA would be paying at least three times more than it needed to with the BNP agreement.
Stimpel was later suspended for misconduct, but the airline has denied her suspension is linked to her objection to the deal.