/ 2 September 2009

Transnet confirms chief executive’s suspension

Siyabonga Gama, the chief executive at Transnet Freight Rail, has been suspended, pending the outcome of an internal disciplinary process, Transnet said on Wednesday.

This followed earlier reports in the Business Day and the Business Report that Gama had been suspended.

”Mr Gama has been requested to attend a disciplinary hearing relating to an alleged serious breach of governance requirements in respect of two procurement contracts,” the parastatal said in a statement.

It said it was committed to ensuring that due process in relation to the disciplinary matter was followed, and the process, which enjoyed the board’s unanimous support, would be adjudicated by an independent and external arbitrator.

”We have provided a commitment to all our stakeholders that this process will not impact on our service delivery in any way.

”Our clients deserve an efficient, reliable, cost-effective and safe service from all our operations,” Transnet said.

During the disciplinary hearings it said it would not be commenting on the matter ”to enable due process to take its course” and to preserve the reputation of those involved.

Business Report said the breach of governance requirements allegedly made by Gama related to a tender awarded to General Nyanda Security Advisory Services and another to buy 50 locomotives. — Sapa