Oakbay CEO Nazeem Howa lashed out at media coverage following a report in the City Press that said Eskom had awarded a contract to the Gupta-owned Tegeta Exploration and Resources that bailed out the ailing private company.
“Eskom has quietly awarded a contract worth more than R564-million to a coal mining company owned by the Gupta family and President Jacob Zuma’s son Duduzane‚” the paper reported on Sunday.
The deal would take its Optimum Coal – which is reported to be losing more than R100-million a month — out of business rescue.
Speaking on Radio 702 on Monday morning‚ Howa said allegations about his company and the Gupta family were “sublime and ridiculous” and suggested a conspiracy was afoot.
Dismissing suggestions of the family’s influence over the deal‚ Howa said that he as “chief executive”‚ rather than members of the Gupta family‚ had headed up negotiations for Optimum.
That came a day after Eskom and Howa “raised objections to the City Press claim that coal that was destined for Hendrina power station‚ where it fetches R174 per ton‚ was diverted to Arnot power station 50km away from which Tegeta receives R580 per ton”.
However‚ City Press reported later on Sunday that Eskom spokesperson Matshela Koko initially denied then admitted it had prepaid R586-million to the Tegeta Exploration when interviewed on Carte Blanche.
Howa on Monday answered a question on state capture by saying that “only 1% of the group’s turnover was derived from government business”.
The remainder‚ Howa said‚ the company derived from “private contracts” – including running mining operations for others — but was reluctant to name these companies for fear that they too would be tainted by the negative media coverage of the Gupta family.
These unfavourable reports had led major banks to refuse to offer Gupta-owned businesses any services. Howa said that‚ after “months of engagement” with the banks‚ and despite the resignations of the Guptas from company directorships‚ he still unsure what “it is they suspect us of doing”.
Howa also said that when he was at the Independent media group – where he was chief operations officer – he was told that Gupta business must be targeted.
When pressed on who had issued that instruction‚ Howa didn’t give a name‚ but replied that it was the “CEO’ at the time.
It was unclear why Howa chose to mention the Independent group‚ but amaBhungane reported in May that the Gupta family is suing its current chairperson‚ Iqbal Surve‚ for allegedly reneging on a pact to sell them a 27.5% stake.
Also on Sunday‚ the Sunday Times reported that the Reserve Bank has demanded that an Indian bank release documents related to bank accounts owned by the Gupta family.
The demand forms part of a wider investigation into allegations that the Guptas may have been illegally channelling money out of the country.
Gupta family had no influence over deal reported as ‘Eskom bailout’
“Eskom has quietly awarded a contract worth more than R564-million to a coal mining company owned by the Gupta family and President Jacob Zuma’s son Duduzane‚” the paper reported on Sunday.
The deal would take its Optimum Coal – which is reported to be losing more than R100-million a month — out of business rescue.
Speaking on Radio 702 on Monday morning‚ Howa said allegations about his company and the Gupta family were “sublime and ridiculous” and suggested a conspiracy was afoot.
Dismissing suggestions of the family’s influence over the deal‚ Howa said that he as “chief executive”‚ rather than members of the Gupta family‚ had headed up negotiations for Optimum.
That came a day after Eskom and Howa “raised objections to the City Press claim that coal that was destined for Hendrina power station‚ where it fetches R174 per ton‚ was diverted to Arnot power station 50km away from which Tegeta receives R580 per ton”.
However‚ City Press reported later on Sunday that Eskom spokesperson Matshela Koko initially denied then admitted it had prepaid R586-million to the Tegeta Exploration when interviewed on Carte Blanche.
Howa on Monday answered a question on state capture by saying that “only 1% of the group’s turnover was derived from government business”.
The remainder‚ Howa said‚ the company derived from “private contracts” – including running mining operations for others — but was reluctant to name these companies for fear that they too would be tainted by the negative media coverage of the Gupta family.
These unfavourable reports had led major banks to refuse to offer Gupta-owned businesses any services. Howa said that‚ after “months of engagement” with the banks‚ and despite the resignations of the Guptas from company directorships‚ he still unsure what “it is they suspect us of doing”.
Howa also said that when he was at the Independent media group – where he was chief operations officer – he was told that Gupta business must be targeted.
When pressed on who had issued that instruction‚ Howa didn’t give a name‚ but replied that it was the “CEO’ at the time.
It was unclear why Howa chose to mention the Independent group‚ but amaBhungane reported in May that the Gupta family is suing its current chairperson‚ Iqbal Surve‚ for allegedly reneging on a pact to sell them a 27.5% stake.
Also on Sunday‚ the Sunday Times reported that the Reserve Bank has demanded that an Indian bank release documents related to bank accounts owned by the Gupta family.
The demand forms part of a wider investigation into allegations that the Guptas may have been illegally channelling money out of the country.
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