20°C / 22°C
  • Tue
  • 23°C
  • 9°C
  • Wed
  • 20°C
  • 6°C
  • Thu
  • 23°C
  • 6°C
  • Fri
  • 25°C
  • 9°C
  • Sat
  • 24°C
  • 8°C
  • Sun
  • 25°C
  • 9°C
  • Tue
  • 18°C
  • 10°C
  • Wed
  • 25°C
  • 9°C
  • Thu
  • 19°C
  • 12°C
  • Fri
  • 19°C
  • 12°C
  • Sat
  • 20°C
  • 9°C
  • Sun
  • 18°C
  • 11°C
  • Tue
  • 24°C
  • 10°C
  • Wed
  • 21°C
  • 8°C
  • Thu
  • 25°C
  • 8°C
  • Fri
  • 27°C
  • 8°C
  • Sat
  • 26°C
  • 9°C
  • Sun
  • 25°C
  • 8°C
  • Tue
  • 23°C
  • 8°C
  • Wed
  • 22°C
  • 7°C
  • Thu
  • 24°C
  • 7°C
  • Fri
  • 25°C
  • 6°C
  • Sat
  • 26°C
  • 7°C
  • Sun
  • 27°C
  • 8°C
  • Tue
  • 21°C
  • 14°C
  • Wed
  • 21°C
  • 14°C
  • Thu
  • 24°C
  • 14°C
  • Fri
  • 24°C
  • 14°C
  • Sat
  • 26°C
  • 14°C
  • Sun
  • 25°C
  • 17°C
  • Tue
  • 18°C
  • 11°C
  • Wed
  • 19°C
  • 9°C
  • Thu
  • 24°C
  • 13°C
  • Fri
  • 18°C
  • 12°C
  • Sat
  • 21°C
  • 13°C
  • Sun
  • 26°C
  • 13°C
  • Tue
  • 22°C
  • 6°C
  • Wed
  • 27°C
  • 9°C
  • Thu
  • 23°C
  • 10°C
  • Fri
  • 23°C
  • 9°C
  • Sat
  • 23°C
  • 13°C
  • Sun
  • 19°C
  • 9°C
  • Tue
  • 20°C
  • 10°C
  • Wed
  • 23°C
  • 13°C
  • Thu
  • 20°C
  • 12°C
  • Fri
  • 20°C
  • 11°C
  • Sat
  • 21°C
  • 13°C
  • Sun
  • 17°C
  • 11°C
  • Tue
  • 26°C
  • 12°C
  • Wed
  • 23°C
  • 10°C
  • Thu
  • 26°C
  • 9°C
  • Fri
  • 27°C
  • 9°C
  • Sat
  • 26°C
  • 10°C
  • Sun
  • 26°C
  • 10°C
  • Tue
  • 21°C
  • 5°C
  • Wed
  • 22°C
  • 5°C
  • Thu
  • 24°C
  • 5°C
  • Fri
  • 25°C
  • 5°C
  • Sat
  • 24°C
  • 5°C
  • Sun
  • 25°C
  • 9°C
  • Tue
  • 19°C
  • 10°C
  • Wed
  • 21°C
  • 11°C
  • Thu
  • 22°C
  • 9°C
  • Fri
  • 25°C
  • 6°C
  • Sat
  • 26°C
  • 7°C
  • Sun
  • 29°C
  • 6°C
  • Tue
  • 18°C
  • 6°C
  • Wed
  • 23°C
  • 8°C
  • Thu
  • 24°C
  • 11°C
  • Fri
  • 19°C
  • 10°C
  • Sat
  • 23°C
  • 10°C
  • Sun
  • 26°C
  • 11°C

Zondo Inquiry: Company contracted to SAA admits FSB suspended licence

BNP Capital was demanding almost R50 million in cancellation fees after their contract with the state-owned airline was scrapped when it emerged that proper tender processes were not followed.

A YouTube screengrab shows Daniel Mahlangu, the sole director of BNP Capital, at the state capture commission on 28 June 2019.

JOHANNESBURG - Businessman Daniel Mahlangu has admitted at the state capture commission of inquiry that his company and its associates failed to provide South African Airways (SAA) with proof that their trading licence was suspended with the Financial Services Board (FSB).

The FSB suspended BNP Capital’s licence in 2016 while they were contracted to SAA.

However, Masotsha Mngadi - business partner to Mahlangu and personal adviser to former SAA board chair Dudu Myeni - submitted information containing Mahlangu’s signature without his knowledge.

BNP Capital was demanding almost R50 million in cancellation fees after their contract with the state-owned airline was scrapped when it emerged that proper tender processes were not followed.

Mahlangu said the company had failed to provide SAA with the information when they signed their contract.

“With regards to the information that actually came from FSB to SAA, I took a position that they're only going to be giving us a couple of days to rectify our position otherwise they were going to cancel the contract. This was despite us having a partner to assist us as far as this exercise is concerned,” he said.

When SAA was looking for a transactional adviser to help it source R15 billion in loans in 2015, Mahlangu’s company BNP Capital was one of the bidders. BNP Capital was in a joint venture with Inline Trading owned by Mngadi.

The company would have been paid over R256 million in service fees but SAA asked the companies to produce a trading licence, which was suspended at the time.

ASKING FOR CANCELLATION FEE FOR WORK NOT DONE

Mahlangu admitted to the inquiry that his company demanded a 50% cancellation fee from South African Airways even before the work they were contracted for began.

Pushed by evidence leader Advocate Kate Hofmeyr, Mahlangu conceded that they demanded millions after their contract was cancelled.

Hofmeyr asked: “On 26 May 2016, you had not been mandated in doing any work insourcing funds for SAA?”

Mahlangu responded and said that was correct.

Hofmeyr further asked how he could motivate for a cancellation fee on the same day he was given the award on the basis of the work he had done but he had done no work.

(Edited by Mihlali Ntsabo)

Comments

EWN welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

- Racism (including offensive comments based on ethnicity and nationality)
- Sexism
- Homophobia
- Religious intolerance
- Cyber bullying
- Hate speech
- Derogatory language
- Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the EWN community a safe and welcoming space for all.

EWN reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

EWN is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

comments powered by Disqus