De Ruyter ‘conducted himself within his mandate’

Despite taking flak from Eskom executives for not sharing information on a sensitive independent probe into rampant large-scale corruption at the power utility during his tenure as group chief executive, André de Ruyter conducted himself within his mandate.

This was against a background of a failure by law enforcement agencies to act on graft, the parliamentary standing committee on public accounts (Scopa) heard yesterday.

Addressing Scopa on the second day of the hearing into troubled Eskom, the utility’s former interim chair, Professor Malegapuru Makgoba, came to De Ruyter’s defence, conceding he was aware of the independent probe he regarded as “an operational issue”.

During his term, De Ruyter:

• Last year reported the graft to the then interim chair of Eskom and the board;
• Attended meetings with the SA Police Service (Saps) and Natjoints top brass in Pretoria to call for intervention; and
• Accompanied President Cyril Ramaphosa, ministers Bheki Cele, Pravin Gordhan and Gwede Mantashe to the Tutuka power station “for them to first-hand experience what corruption and sabotage means in a single power station”.

Eskom board presentation

Makgoba said what he heard from the Eskom board presentation yesterday did not contradict what De Ruyter had said.

“If Saps and the Hawks had done their work effectively and efficiently, we would not be meeting here as a committee today.

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“The issue that Mr De Ruyter undertook was an operational matter, because Eskom at the time was besieged by sabotage and corruption. We were not getting any mileage from the law enforcement agencies,” he said.

“I remember one or two meetings which Mr De Ruyter had with the former NPA (National Prosecuting Authority) investigating directorate head, advocate Hermione Cronje, where we were expressing concern that we were reporting matters – not getting any mileage or any returns. The Hawks were not doing what they are supposed to be doing.

“Not that they were not investigating but were taking too long – almost lackadaisical about what needed to be done when Rome was burning.”

This, said Makgoba, “was repeating itself in a number of ways around cases that were being reported – either to Saps and to the Hawks, with very little action”.

He added: “As the board, we were concerned that our [jewel in the crown] was being destroyed, in the presence of a security cluster that seemed to be asleep.

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“These were matters of concern, raised by the board – keen to know what action was being taken. We left this matter to Mr De Ruyter as part of management, because we regarded it as operational.

“The issue of Saps and other law enforcement agencies was what let us down – leading to where we are today.”

De Ruyter’s dismissal

Reflecting on the dismissal of De Ruyter, Eskom board chair Mpho Makwana said: “After the eNCA interview on 22 February 2023, the board convened a special meeting to discuss the impact of the content and utterances that our outgoing GCE (De Ruyter) made during the interview, regarding Eskom.

“Mr De Ruyter was afforded the opportunity to provide his perspective and he acknowledged that the interview had indeed taken place.

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“He further stated that if the board considered the contents of the interview to have caused embarrassment to Eskom, he would be agreeable to a variation of the term of his notice period – in line with his resignation letter of 12 December, 2022.

“Upon his recusal from the board meeting, we deliberated on the matter and were of the view that some of the utterances he made brought the company into disrepute – resolving to agree to the variation of his notice period to 28 February, 2023.”

Makwana added that the board further resolved “to release [De Ruyter] forthwith from the obligation to serve the remainder of his notice period, with immediate effect”.

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– brians@citizen.co.za