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Transnet extraction — where and how Gupta bribes were paid to Big Four accused
Former Transnet CEO Brian Molefe, CFO Anoj Singh, head of freight rail Siyabonga Gama and chief engineer Thamsanqa Jiyane face charges related to enrichment through corruption.
The charge sheet in the largest quantum State Capture case, enrolled by the Independent Directorate Against Corruption (Idac), details a map of where bribes were paid to the four former Transnet executives now facing a quartet of charges related to their role in repurposing the rail utility for extraction worth billions of rands.
Former Transnet CEO Brian Molefe, CFO Anoj Singh, head of freight rail Siyabonga Gama and chief engineer Thamsanqa Jiyane face charges related to enrichment through corruption. The four, out on bail of R50,000 each, face charges under four laws, including the Prevention and Combating of Corrupt Activities Act.
Idac alleges that the Gupta brothers, Atul, Rajesh and Ajay, paid the four in cash through deliveries, foreign trips and transactions via Gupta-linked entities and companies. While much of the detail was ventilated in proceedings at the Zondo Commission of Inquiry into State Capture, the charges add new legal heft.
The State alleges that cash payments were made at:
The Guptas' residence in Saxonwold;
The Midrand offices of the family's IT company, Sahara;
Salim Essa's Melrose Arch apartment and;
The Maslow hotel in Sandton.
In addition, Atul Gupta transferred funds from several Gupta-controlled companies, which facilitated the bribes, including Oakbay Investments, Westdawn Investments, VR Laser Services, Confident Concept, Tegeta Exploration and Islandsite Investments. Money flow experts, including Paul Holden of Open Secrets, testified to the commission about how the Guptas utilised layers of companies to launder money and facilitate transfer fees.
Singh was enriched to the extent that, the commission heard, he did not spend his Transnet salary, but banked it for years. He was allegedly paid at Saxonwold and took many Gupta-sponsored trips to Dubai, to where the brothers and their families had fled.
Molefe allegedly received cash at the Gupta residence and at Sahara Computers, where he would pop in for the family's office lunches.
Gama was reportedly paid at the Guptas' Saxonwold residence and family acolyte Salim Essa's Melrose Arch apartment, while Jiyane was allegedly paid at The Maslow hotel.
Investigators for the State Capture Commission triangulated travel times. They had witnesses who corroborated many of the payments, and this evidence will be used by Idac when the trial begins. The next court date is 6 October.
Money trail
The charge sheets detail the following bribe money trail against Singh, Molefe, Gama and Jiyane:
Singh
'Between January 2014 and April 2015, Mr Singh had attended meetings at the Gupta Saxonwold residence on at least 10 occasions. [He] would generally take a sports bag with him when he attended the meetings. He would emerge from the residence carrying the sports bag, which would be placed in the boot of the vehicle driven by his Close Protection Officer (CPO). It was later discovered that the sports bags contained large amounts of cash.
'On at least six or seven occasions he would instruct his driver to take him to Knox Vaults, a secure storage facility in Killarney, Johannesburg that provided safe deposit boxes. He would thereafter remove the bag from the boot of the vehicle and enter Knox Vaults carrying the bag.' The charge sheet also details all of Singh's sponsored trips to Dubai.
Molefe
'[Molefe] would generally take a light brown backpack or sports bag with him when he attended meetings held at these venues. After the said meetings he would emerge carrying the aforementioned bags, which were placed inside the boot of the vehicle driven by his CPO. These CPOs later discovered that the bags contained large amounts of cash.'
Gama
The charge sheet says that Gama attended many meetings at Saxonwold. 'During November 2016, on one of the visits at the Gupta Saxonwold residence, a person emerged carrying a suitcase, which was placed into the boot of the vehicle, which was driven by his CPO. These CPOs later discovered that the suitcase contained a large amount of cash when Gama left the premises.
The charge sheet also details how Gama twice picked up 'parcels' from Essa at Melrose Arch, while Jiyane allegedly took possession of the suitcase, which Gama is alleged to have collected at Saxonwold, at The Maslow hotel, where the two met.
The State will argue that all four received unlawful gratification and committed fraud at Transnet, thereby violating the Companies Act and the Public Finance Management Act.
The chart below shows Idac's progress on State Capture cases identified by the Zondo Commission. The National Prosecuting Authority's Asset Forfeiture Unit, under the leadership of Ouma Rabaji-Rasethaba, has recovered R15-billion in State Capture loot, some of which has been returned to Transnet. DM
