‘We are sorry’: SAP on outcome of state capture probe

26 October 2017 - 11:23 By Kyle Cowan
SAP has announced the outcome of an investigation following allegations that R100-million in ‘kickbacks’ were paid to a Gupta front company to secure massive contracts with Transnet.
SAP has announced the outcome of an investigation following allegations that R100-million in ‘kickbacks’ were paid to a Gupta front company to secure massive contracts with Transnet.
Image: MARTIN RHODES

Global software giant SAP has announced the outcome of an internal investigation following allegations that R100-million in ‘kickbacks’ were paid to a Gupta front company to secure massive contracts with Transnet.

At a press briefing in Johannesburg on Thursday‚ the company apologised “wholeheartedly” for the impact the allegations of wrongdoing have had on business in South Africa‚ its employees and customer‚ but more importantly‚ the South African public.

SAP co-president of global customer relations‚ Adaire Fox-Martin‚ said the investigation unearthed no evidence of any payments to a South African government official‚ including Eskom and Transnet employees.

“It has‚ however‚ uncovered indications of misconduct in issues relating to the management of Gupta-related third parties. To this end‚ SAP has instituted formal disciplinary proceedings‚ in accordance with South African labour law‚ against three employees who were placed on administrative leave at the beginning of the investigation‚” she said.

“SAP has been clear from the outset that it will not tolerate misconduct or wrongdoing.”

The investigation found the fourth employee had no material involvement with Gupta-related parties.

SAP indicated it has also initiated a clause in their contracts that enables them to audit third parties‚ which will include all Gupta-linked companies.

This is a developing story.


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