The Special Investigating Unit (SIU) says the value of Eskom contracts brought before civil courts to date amounted to R7.9 billion.
The eight matters involved Eskom-related contracts that the SIU had instituted civil proceedings to set aside and recover money lost by the power utility.
Briefing the standing committee on public accounts on Tuesday, SIU head Andy Mothibi said the value of the contracts set aside was R10.2 billion and R1.5 billion had been recovered.
Mothibi added that the SIU had made 5671 referrals to Eskom for disciplinary proceedings against employees who had not declare that they were conducting business with the power utility.
“We work with Eskom to ensure disciplinary hearings are implemented,” he said.
“As part of our investigation, when we find evidence pointing to criminal activity we refer to the National Prosecuting Authority and work with the Directorate of Priority Crime Investigation to ensure those found to have committed crimes at Eskom are really arrested,” he said.
Mothibi said investigations were continuing, and he was pleased that energy experts had lauded the recent arrest of nine people implicated in coal theft and fraud at the Kusile power station.
He was referring to the arrest of eight weighbridge operators and a coal driver last Thursday.
“This is really pleasing and indicates that the investigations are bearing fruit. We really want to see consequence management carried through conviction and sentences.”
Mothibi said the SIU was also making administrative referrals for blacklisting of service providers and directors of companies.
“Today, we prepared an interim (report) for the president,” he said.
Mothibi said as indicated previously, there was a clear organised nature of crime and corruption committed at Eskom and investigations were ongoing. Evidence showed that there had been endemic collusion between Eskom officials and private companies and individuals.
Mothibi added that there had been manipulation of business processes, including weighbridges, a serious problem former CEO Andre de Ruyter wrote about in his book.
“The weighbridge is there to ensure delivery is accurately captured but the manipulation of these bridges ends up with Eskom not getting delivery at all and losing a lot of capital.
“There are fictitious orders and deliveries we came across,” he said.
The SIU head indicated that there was also poor quality of coal delivered or coal not being delivered at all.
“There is theft of fuel oil, based on amended proclamation, will continue to be investigated. The level of maladministration and malpractices needs pointing out and addressed,” Mothibi said.
Earlier, he told Scopa of the proclamations that were investigated by the SIU after they were authorized by President Cyril Ramaphosa.
A 2018 proclamation probed procurement and transportation of coal and diesel.
There was also an investigation into the appointment of and payments to McKinsey, Trillian and Regiments.
“These are areas we find a link with what the Zondo Commission investigated and came up with (in its) findings. These companies are involved in various state institutions and were found wanting in a similar manner,” Mothibi said.
The SIU also looked at maladministration in the affairs of Eskom and the non-performance by service providers in relation to the Medupi, Kusile and Ingula power stations, and the high voltage transmission projects there.
Conflict of interest by Eskom employees was also investigated among others.
Mothibi said the SIU was authorised in 2020 to investigate the contracts and procurement of cloud computing services and software licences, and support services.
Cape Times