‘I wasn't incompetent, I was scammed’ - Singh defends track record at Zondo commission
Former Transnet CFO Anoj Singh has told the commission of inquiry into state capture that he was not in cahoots with Gupta associate Salim Essa, nor was he incompetent when billions of rands were looted from Transnet.
Singh told the commission on Thursday that he believes he was scammed.
He faced some tough questions on how Essa, global consulting firm McKinsey and others were able to loot Transnet under his watch.
The evidence at the commission shows that Essa, through Regiments Capital, concluded several kickback agreements with China South Rail (CSR) regarding an electric locomotive contract at Transnet.
This contract was valued at R18 billion and was secured at a commission of 21%.
Essa also concluded a similar agreement China North Rail (CNR) for 232 diesel locomotives valued at R9.9 billion.
This was all part of the 1064 locomotive contract that was initially valued at R38.6 billion but ballooned to R54.5 billion in 2013.
Regiments Capital became a supplier development partner to McKinsey who was appointed as the transaction advisor by Singh.
"When we discussed the increase, it was completely justified and who got 21% thereof Mr Chair. I thought we were paying the justified increase to the original equipment manufacturer (OEMs). Chair, I had no knowledge of Mr Essa's dealings with CSR," Singh said.
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Evidence leader Anton Myburgh said many of the Transnet executives who appeared at the commission, including Brian Molefe and Siyabonga Gama, testified to Singh’s involvement.
They said the transactions contained complicated financial technicalities and as the CFO he was better placed to approve and advise on the transactions.
"Is it your case that you knew nothing about this, that you were really scammed by Mr Essa and the Guptas?" asked Myburgh.
Essa said in his view they followed all required policies, procedures, and internal processes of Transnet.
"These resulted in justifiable expenditure, there was value-added, worked performed and payments were made.”
The commission’s chair, Deputy Chief Justice Raymond Zondo, intervened, stating that the commission had evidence that it has acquired over a period of three years that shows that Transnet was looted under Singh's watch.
Zondo urged Singh to tell his side of the story.
"You might be able to assist me to think of another scenario, but it is difficult to think of any other scenario other than that if this is what they achieved to do, the Guptas, at Transnet while you were CFO and you were involved in these transactions, either you were party to their agenda, or you were so incompetent that you couldn't see all of this. But it may be that there is another scenario either than those, maybe you can help us," Zondo said.
But Singh remained adamant.
"Well chair, it’s neither of those scenarios. I do not advocate that I was party to any of their agendas in any shape or form.”
Singh eventually told the commission that it seemed that he was scammed and deceived.
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