UNITED DEMOCRATIC MOVEMENT

MEDIA RELEASE

SAA TROUBLE IS THE TIP OF THE ICEBERG

STATEMENT ISSUED BY CEDRIC FROLICK, MP
UDM SPOKESPERSON FOR PUBLIC ENTERPRISES

The war of words between Saki Macozoma, former head of Transnet, and the department of Public Enterprises raises serious questions about parastatals  at a crucial time in the restructuring process. Accusations of executive interference as well as allegations that Coleman Andrews' package was negotiated "at the highest level", must be thoroughly investigated. Spending millions to appoint managers, only to interfere in their work, is a self-defeating and gross act of financial mismanagement.

The trouble at SAA may prove to be only the tip of the iceberg regarding salaries and consultants at parastatals. In an environment of fear regarding job security, workers at parastatals are justifiably angered when discovering huge questionable salaries and fees go to managers. The taxpayer too deserves value for money, citizens need to know whether their tax money is being wisely invested. It is therefore unacceptable that such a shroud of secrecy hangs over the payment that senior parastatal officials and consultants receive.

The UDM calls on the Minister of Public Enterprises to urgently address the current situation, in the interest of clean governance and sound financial management.

Enquiries:
Mr Cedric Frolick, MP
UDM Spokesperson for Public Enterprises
083 - 709 0267

Cape Town
12 June 2001