Tegeta needed about R650m to buy the Optimum. Eskom agreed to give Tegeta R659m as prepayment for coal, their reason being that Tegeta needed money upfront to meet production requirements.
But the leaked Gupta emails revealed that the money may have been used to purchase Optimum.
The Treasury report released on Friday showed that Eskom management prejudiced Glencore by refusing to sign a negotiated Coal Supply Agreement, giving an advantage to Tegeta to acquire all assets from Optimum. It found that this amounted to the abuse of a position of authority, a breach of trust, and a violation of a legal duty or a set of rules in terms of the Prevention and Combating of Criminal Activities Act.
The report alleges that Koko, his former acting head of fuel sourcing Ayanda Nteta, former acting chief procurement officer Edwin Mabelane and former legal head Suzanne Daniels discussed the prepayment to Tegeta well before April 2016 when it was awarded.
Eskom’s Special Board Tender Committee (SBTC) rubber-stamped the conditions and terms of the prepayment agreed to by Eskom and Tegeta officials and approved the payment the same day (April 11) – two days before Tegeta’s shareholders took a resolution to ask Eskom for it.