Daily Maverick has obtained intelligence reports linking two senior members of President Cyril Ramaphosa’s Cabinet to four criminal cartels operating inside Eskom. The organogram was the size of the boardroom table and, looking at it, it was clear that the country was facing an entirely different situation. The four cartels, called the Presidential Cartel, the Mesh-Kings Cartel, the Legendaries Cartel, and the Chief Cartel, are believed to be behind the sabotage of Eskom’s power stations and the programme of political destabilization.
The intelligence reports further detail the “illicit procurement process” by which the cartels were stealing from Eskom. It involved an “end-user” in cahoots with the cartels, who would receive a substantial amount of cash, including extra funds to bribe other employees in the supply chain. This person would then approach the store manager of a power station to verify how much of a specific type of equipment was available in inventory to be covered in a purchase order. The end-user would then approach the procurement manager, or an employee referred to as a “Mphati” in collusion with the cartel, who would receive an upfront inducement to issue a purchase request. Three compulsory quotes would then be obtained all from the same cartel, and a pre-chosen company would be appointed as the final vendor. Finally, Eskom’s security staff, in the secret employ of the cartels, would sign off on non-existent product delivery.
The intelligence reports further note the involvement of a “territorial ruler” and a “feared murder squad” called Team Shikisha with the cartels. It is believed that Team Shikisha is using illegal guns, threatening people, and saying they will kill them. The “territorial ruler” is believed to be controlling people high up in the power stations to approve contracts for his friends and family and exercising firm control over contracts awarded for several types of departments in Mpumalanga province. There is also evidence of the involvement of South African Police Service (SAPS) officers, with 13 Mpumalanga SAPS officers being named in the organogram.
Daily Maverick has revealed as much as legally possible right now but is continuing to investigate the larger story of corruption at South Africa’s power utility. It remains to be seen whether President Ramaphosa will take action against the “territorial ruler” and the other members of the cartels.
Read the full report on the Daily Maverick.
Tags: Eskom