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By Editorial staff

Journalist


The buck stops with you, Gordhan

Whatever happens, the mess at Mango and SAA is part of a broader across-the-board disaster at most state-owned enterprises


It should be cause for alarm that a high court has to order a minister to carry out his functions… but this is South Africa and nothing the ANC government does surprises us, especially when it comes to obeying the letter and spirit of our law.

Acting Judge Tseli Phooko said Gordhan had acted “irrationally” in not making a decision on the sale of the low-cost airline Mango, which was part of South African Airways (SAA) and collapsed financially.

ALSO READ: Judge rules on sale of Mango; calls Gordhan’s actions irrational

After being placed in business rescue, business rescue practitioners said last year they had found a buyer for Mango. That would be a positive move forward for the airline and might enable it to be revived.

However, Gordhan demanded details of the potential buyers – something the business rescue practitioners were not willing to divulge, because anyone who bought Mango would be in competition with SAA.

Could it be that Gordhan held off on the decision in the hope that the delay would put the final nails into the Mango coffin and thus make SAA more attractive to the buyers who the government wants to take over the bankrupt national carrier?

ALSO READ: Gordhan blamed as Mango sale remains a no-go

The quick disposal of Mango may well have removed a further financial burden from the taxpayer, but may also have enabled staff retrenched by the airline to go back to work… and for South African travellers to be offered more competition in local air flights.

Gordhan has now been ordered to make a decision on the sale within 30 days and it will be interesting to see whether, vindictively, he now vetoes it.

Whatever happens, the mess at Mango and SAA is part of a broader across-the-board disaster at most state-owned enterprises – from Eskom to Transnet to SAA – which are his ministerial responsibility.

ALSO READ: Frustration mounts as Pravin Gordhan ducks Parliament

The buck has to stop at your desk, Minister. It’s time you went.

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