Bring it on‚ says Gigaba as Malema uses letter to Denel to lay charges

Economic Freedom Fighters leader Julius Malema will‚ on Saturday‚ lay corruption charges against Finance Minister Malusi Gigaba for his alleged role in the procurement of locomotives by Transnet.

Malema relied on documents he claimed he received from Transnet employees and said they showed a number of players‚ including Gigaba‚ were involved in corrupt activities.

Key among these documents is a letter purportedly written by Gigaba‚ who was then public enterprises minister‚ to Denel chairman Zoli Kunene on December 7‚ 2012.

In that letter Gigaba told Denel to continue with the procurement of locomotives‚ even though it was not allowed to do so. He also instructed Denel not to communicate with the national treasury and to refer any queries to Gigaba’s office.

Gigaba’s spokesman‚ Mayihlome Tshwete‚ did not comment on the specifics of the letter.


“The best thing is that Julius (Malema) is going to lay charges and he has to bring evidence‚ which has to be tested in a court of law‚” Tshwete said.

In the letter‚ Gigaba stated that the Preferential Procurement Policy Framework (PPPFA) exemption enjoyed by Schedule 2 entities — which comprise 23 state-owned companies‚ including Denel and Transnet – expired on that day.

“In essence‚ the expiry of the exemption will render various procurement initiatives by state-owned companies illegal under the PPFA‚” the letter reads.

Gigaba wrote that there were a number of issues pertaining to the extension of the exemptions of the PPFA and believed these issues could have a material effect on the ability of the state-owned company to extract optimal value from strategic procureme