Eskom negotiates Koko's 'golden handshake'

18 January 2018 - 07:50
By Sikonathi Mantshantsha
Matshela Koko
Image: Freddy Mavunda/Financial Mail Matshela Koko

Embattled electricity producer Eskom‚ which has described its financial situation as "very dire"‚ is in secret discussions to terminate the employment of controversial executive Matshela Koko.

The parties are close to a separation agreement as the talks are now centred on the amount the head of generation would take to agree to leave. Talks are at a sensitive stage‚ according to three informed sources.

Last week‚ Koko was replaced by Willy Majola as interim head of generation‚ a move Eskom said was "a mutual agreement" for Koko "to settle in". Two senior government officials outside Eskom‚ however‚ confirmed there were plans to remove Koko within days.

The practice of paying officials suspected of corruption to go rather than face charges has been a common feature under President Jacob Zuma’s administration. How the ANC’s new leadership responds to a generous deal with Koko will be a key indicator of whether it intends to get tough on corruption.

- Business Day