Transnet suspends top officials after audit

Transnet said yesterday it had suspended senior officials after external auditors flagged "reportable irregularities" to their regulatory body.

The admission comes a day after Eskom said its auditors had raised similar issues with the Independent Regulatory Boards of Auditors, highlighting growing governance concerns in state-run companies.

"The reportable irregularities relate to non-compliance and non-adherence to stipulated internal procurement processes and requirements of law in procurement contracts entered into between Transnet and various service providers by a number of senior officials.

"The irregularities are no longer taking place. The affected senior officials have been suspended, legal action has been taken where appropriate and disciplinary actions are under way," Transnet said.