/ 18 March 2009

Cabinet takes hard line on SAA

Cabinet on Wednesday took a hard line against apparent misconduct at South African Airways (SAA).

Briefing the media after Cabinet’s fortnightly meeting, government spokesperson Themba Maseko said Cabinet took exception to the reported financial settlement reached between the SAA board and former CEO Khaya Nqula.

”The reported settlement was reached at a time when serious allegations of misconduct were being investigated by the board,” he said.

Government would have preferred the CEO to have remained on leave while the allegations were being investigated.

”Cabinet, as shareholder, has asked the minister of public enterprises to seek an urgent audience with the board to establish the reasons for and the details of the settlement.

”Government [is] not prepared to accept impunity with regard to any instances of misconduct in the state-owned enterprises,” Maseko said. — Sapa