Former Bain partner, Athol Williams gives Sars related evidence at the State Capture Commission in Braamfontein on 24 March 2021. Picture: Neil McCartney
As the wheels of justice for those implicated in state capture turn at a snail’s pace in South Africa, foreign firms that were enablers – McKinsey, KPMG and the now-defunct Bell Pottinger – are feeling the heat after global consultancy Bain & Company was banned in the UK.
As Bain & Co was on Tuesday hit with a three-year ban from tendering UK government contracts because of its “grave professional misconduct”, it seems time is running out for those who facilitated the capture of key institutions and state-owned entities (SOEs) internationally.
ALSO READ: State Capture report: How Bain & Company nearly collapsed Sars
While there was no law forcing the SA government and private companies to cut ties with these companies, criminal law expert Ulrich Roux said there would be a detrimental effect on the image of those willing to do business with these companies locally and internationally.
“Companies have a choice obviously to associate themselves with certain individuals, because it’s all about their public image that’s out there,” he said.
“And if they are seen to be associated or doing business with individuals such as the Guptas, who have been implicated in serious fraud and state capture in the instance of SA, then it could obviously have a detrimental effect on their public image.
“So, a public company, private company needs to at all times be aware of that.”
Bain whistle-blower Athol Williams said it was now time for the “SA government, particularly National Treasury, and companies like Sasol [who have hired Bain] to do the same”.
“SA has taken a big step forward today in our fight against corruption, state capture and predatory companies, a fight that I consider our new liberation struggle,” he added.
READ MORE: Zondo hears about ‘unusual’ relationship between Bain and Zuma
“Bain has shown their disinterest in making full disclosure of their dealings and full amends. They have rejected SA’s calls for justice, so now SA needs to reject them.
“I call on the SA government to ban Bain and I call on every company currently working with them to terminate their contracts. No right-minded South African of integrity would work with them.”
The Financial Times reported on Tuesday that UK Cabinet Office Minister Jacob Rees-Mogg told Bain that the company’s integrity was now “questionable” and that he was not convinced that it had taken its role in the scandal “sufficiently seriously”.
Former UK Cabinet minister Lord Peter Hain said: “I’m pleased the UK government has agreed to suspend Bain from public contracts at my urging.
“Global corporates have to feel the pain for their corrupt and unlawful behaviour in SA’s state capture and corruption scandal under former president Jacob Zuma. Otherwise other corporates will be tempted to do the same.”
KPMG did not respond to requests for comment.
NOW READ: Bain was ‘concerned’ about Massone’s ethics, ex-partner tells Zondo
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