/ 5 June 1999

Fedusa calls for Aventura inquiry

FRIDAY, 12.30AM:

THE Federation of Unions of South African (Fedusa) on Thursday called for a commission of inquiry into Public Enterprises Minister Stella Sigcau’s choice of Kopano Ke Matla — the investment arm of the Congress of South African Trade Unions — as preferred bidder for tourism parastatal Aventura, accusing her of “giving the silverware of the taxpayers away to Kopano Ke Matla friends.”

Fedusa’s call echoed concerns by the Democratic Party and the Pan Africanist Congress that Kopano’s bid has not been approved by Parliament, as required by legislation, and that it is not the highest bid. They have accused Public Enterprises Minister Stella Sigcau of flouting proper procedures, an accusation she has strongly denied.

“The criteria for selecting the most successful bidder is unclear and raises serious questions about the government’s decision,” Fedusa said in a letter to Deputy President Thabo Mbeki on Thursday. Fedusa supported the call to suspend finalising the deal until questions related to the criteria for selection, the procedure followed in Parliament, and more information on the directorship and shareholders of Kopano Ke Matla, were revealed.

“It seems as if .. Sigcau is giving the silverware of the taxpayers away to Kopano Ke Matla friends as a token of loyalty to alliances, at the expense of making good business sense,” Fedusa said. Chairman of the parliamentary porfolio committee on restructuring Mandla Msomi on Thursday, however, attempted to calm the maelstorm that is developing over the alleged irregularities in Sigcau’s choice. He said that Parliament can still reject the Kopano bid. “Parliament will not be used as a rubber-stamp for decisions taken by the executive, and can throw the process back to the drawing board if not satisfied with certain aspects,” he said.