NPA: Gama among those who facilitated unlawful tender worth R93m to Trillian
Former Transnet group CEO Siyabonga Gama is among five suspects who appeared in the Palm Ridge Specialised Commercial Crimes Court on Friday.
JOHANNESBURG - The National Prosecuting Authority (NPA) on Friday said three former Transnet officials arrested together with two businessmen, facilitated a R93.4 million services contract which another firm had already been paid for.
Former Transnet Group CEO Siyabonga Gama is among five suspects who appeared in the Palm Ridge Specialised Commercial Crimes Court on Friday.
Gama and his co-accused face charges of corruption, fraud, money laundering and contravention of the Public Finance Management Act.
In 2012, Transnet issued a tender for consultation services in a bid to secure R30 billion funding to purchase 1,064 locomotives.
Consulting firm JB Morgan was awarded the tender in May 2015.
It is alleged that between July and October that year, the suspects colluded to facilitate the cancellation of the JB Morgan contract.
In October of that year, Trillian was then awarded the contract. It received R93.4 million two months later for services that Transnet lost money in.
The court heard that the payment was approved by Gama and former chief financial officer Garry Pita.
Prior to that, Transnet had paid R189 million for the same services to consulting firm Regiments in June 2015.