Litigation: Holomisa takes legal action on SAA deal

UDM leader Bantu Holmisa explains in a Moneyweb report why the party has instructed its legal representatives to send lawyers’ letters to two Cabinet Ministers and the Public Investment Corporation (PIC) regarding the proposed deal to allow the Takatso Consortium to acquire a 51% stake in SAA. Holomisa said the UDM had formally instructed its lawyers to write to Finance Minister Tito Mboweni, Public Enterprises Minister Pravin Gordhan, and the PIC demanding to see the proposed shareholder agreement, valuation report, partnership agreement, and management agreement for the proposed deal.

‘We have also asked the PIC and the Minister of Finance how the proposed agreement tallies with the implementation of the findings of the Mpati Commission of Inquiry into the affairs of the PIC. We would like to know from Minister Gordhan in particular, why government would spend millions of rands on a commission and then reward some of those implicated in the findings with running SAA,’ said Holomisa. Earlier, the UDM said in a statement that the entire SAA deal is nebulous and that it is unclear how the government prioritized Harith as a partner after the negative things the Mpati Commission had to say about it. The UDM has therefore decided to challenge Gordhan’s decision in court.