McKinsey: We've no ties with Gupta company Trillian

McKinsey says it was concerned about Trillian’s ownership and informed Eskom that it was inaccurately characterised that it had a contract in place with Trillian.

FILE: Eskom offices at Megawatt Park in Johannesburg. Picture: EWN

JOHANNESBURG – Consultancy firm McKinsey says it was a mutual agreement to suspend the contract with Eskom but maintains it has no ties with Gupta-linked company Trillian.

On Wednesday, Eskom’s new acting chair Zethembe Khoza and acting CEO Johnny Dladla admitted that the utility paid Trillian almost R500 million despite denying this in May.

On further investigation, Eskom discovered that it had paid Trillian because it was subcontracted to McKinsey which was doing work for the power utility.

McKinsey has denied this, saying it was concerned about Trillian’s ownership and informed Eskom that it was inaccurately characterised that it had a contract in place with Trillian.

Dladla says he’s commissioned an independent review of the transactions and has suspended McKinsey’s contract.

“There was work that was done in terms of confirming that Trillian did deliver work under McKinsey but they were not contracted to Eskom. So the exercise that I have engaged on it would help me to understand that relationship and what value did Eskom get out of it.”

Meanwhile, Khoza says he’s unaware how the utility paid Gupta linked company Trillian almost R500 million and says an inquiry will be instituted into the matter.

“And because they are further questions that are coming up and further interest from the media, we said it’s better for us to take a step back and do an inquiry into the matter again.”

WATCH: Eskom explains why it paid Trillian R500m

(Edited by Leeto M Khoza)