• News
  • Sport
  • TV
  • Radio
  • Education
  • TV Licences
  • Contact Us

For all official information and updates regarding COVID-19, visit the South African Department of Health's website at www.sacoronavirus.co.za

No Result
View All Result
  • SOUTH AFRICA
  • POLITICS
  • BUSINESS
  • SPORT
  • AFRICA
  • WORLD
  • SCI-TECH
  • LIFESTYLE
  • FEATURES
  • OPINION
Home Business

‘Entering into agreement with Gupta-owned VR Laser was wrong’

12 November 2020, 4:25 PM  |
SABC SABC |  @SABCNews
Denel says only one of its six divisions is affected by the salary measure.

Denel says only one of its six divisions is affected by the salary measure.

Image: Reuters

Denel says only one of its six divisions is affected by the salary measure.

Former CEO of DLS, which is a subsidiary of Denel, Stephan Burger has conceded at the State Capture Commission in Johannesburg that entering into an agreement with Gupta-owned VR Laser without the board’s approval and procurement requirements were wrong.

The commission has heard that Denel irregularly awarded Gupta owned VR Laser a R200 million tender for the sourcing of armored vehicles. This is despite the fact that Denel’s own subsidiary company LMT holdings had quoted Denel R100 million less than VR Laser.

Burger says, “They did submit an unsolicited offer, at a time, that I did not have group approval. It went through the process and it was decided but I thought, at the time, that’s the only way to reduce the price, but I do accept that that should not have been done.”

State Capture Inquiry part 2:

Meanwhile, Denel Group CEO Talib Sadik says the Judicial Commission of Inquiry into allegations of State Capture, corruption and fraud in the public sector has contributed to the firm’s reputational damage.

Sadik made these comments after former CEO Zwelakhe Ntshepe conceded that he failed to act in the company’s best interest when he approved the awarding of a multimillion-rand 10-year contract to Gupta-owned VR Laser, in breach of Denel’s own procurement processes.

Sadik says, “It’s the financial challenges that, as a result of the poor leadership that we had in place, that we were not strong enough. State Capture definitely made a contribution to the reputation issues that we are suffering, not only locally but globally as well, because we operate in many countries across the globe. Locally, with our lenders as well, it has made them very nervous to be associated with Denel and to be providing funding as one stakeholder.”

State Capture Inquiry proceedings:

 

Share article
Tags: GuptasDenelCommission of Enquiry into State Capture
Previous Post

North West businessman Bozwana’s murder trial postponed to next year

Next Post

Three buses and a truck torched during violent protests in Khayelitsha

Related Posts

File image: A person picks up some mandarin oranges at a fruits shop.

SA’s Citrus Growers Association accuses EU of bowing to political pressure

10 August 2022, 9:11 AM
File Image: Trucks at the Beitbridge border post.

African Unite Borders Bus Trucks Association heads to the Union Buildings over alleged corruption

10 August 2022, 6:01 AM
Models of oil barrels and a pump jack are displayed in front of a rising stock graph and "$100" in this illustration taken February 24, 2022.

Oil settles lower as halted Russian pipeline flows appear temporary, demand fears rise

10 August 2022, 1:47 AM
Rea Vaya busses seen in the image above.

PIOTRANS employees apprehensive about the possibility of being laid off

9 August 2022, 9:58 PM
Women are urged to diversify their investments and explore non-traditional ways of investing.

SA women encouraged to take charge of their finances

9 August 2022, 9:02 PM
Semiconductor chips are seen on a circuit board of a computer in this illustration picture taken February 25, 2022.

Biden signs bill to boost US chips, compete with China

9 August 2022, 5:48 PM
Next Post
Protest

Three buses and a truck torched during violent protests in Khayelitsha

Most Viewed

  • 24hrs
  • Week
  • Month
  • EMS says fire at Bree Street Taxi Rank in Johannesburg has been extinguished
  • The public has until 18 May to make submissions on Icasa’s regulations for extension of expiry period for data, airtime
  • ANC NEC expected to hold a special meeting on Sunday
  • Eastern Cape flood victims plead for support as access to food, services remains difficult
  • Amathole Regional Secretary elated to have corruption charges against him dropped
  • Mabuyane confirms receipt of eNyobeni Tavern victims’ results
  • Major crash involving several vehicles on N3 to KZN
  • Zikalala says he never betrayed Zuma
  • Roads leading into Kagiso blocked off over alleged zama zama gang rape
  • Hollywood couple Kim Kardashian and Pete Davidson split – Media reports
  • Ramaphosa given 48 hours to step aside
  • Mogalakwena Municipality in Limpopo directed to terminate appointment of more than 400 workers
  • Miss SA Lalela Mswane crowned Miss Supranational 2022
  • EFF’s planned national shutdown won’t be an ordinary one: Malema
  • ANC Deputy Secretary General Jessie Duarte passes away

LATEST

Minister of International Relations and Cooperation (DIRCO) Naledi Pandor, hosts Breakfast Meeting with Members of the Diplomatic Corps in Cape Town.
  • Africa

Pandor to host Zimbabwe’s Foreign Affairs Minister on Wednesday


A nurse holds a monkeypox vaccination at the Northwell Health Immediate Care Center at Fire Island-Cherry Grove, in New York, U.S., July 15, 2022.
  • Monkeypox Outbreak
  • Sci-tech

Europe considers “dose-sparing” to increase monkeypox vaccine, WHO seeks trials


KZN Economic Development and Tourism MEC Ravi Pillay during a media briefing
  • Politics

KZN Economic Development MEC Ravi Pillay resigns


Gotabaya Rajapaksa, Sri Lanka's former defence secretary and brother of former President Mahinda Rajapaksa speaks to the members of the Foreign Correspondents Association of Sri Lanka in Colombo, Sri Lanka March 27, 2017.
  • World

Sri Lanka’s ousted president expected to go to Thailand


File image: A person picks up some mandarin oranges at a fruits shop.
  • Business

SA’s Citrus Growers Association accuses EU of bowing to political pressure


Election workers count ballots cast during the general elections, in Eldoret, Kenya August 9, 2022.
  • Africa

Early signs show tight Kenyan presidential election


Weather

  • About the SABC
  • Contact Us
  • Jobs
  • Advertise
  • Disclaimer
  • Site Map

SABC © 2022

No Result
View All Result
  • SOUTH AFRICA
  • POLITICS
  • BUSINESS
  • SPORT
  • AFRICA
  • WORLD
  • SCI-TECH
  • LIFESTYLE
  • FEATURES
  • OPINION

© 2022

Previous North West businessman Bozwana’s murder trial postponed to next year
Next Protest Three buses and a truck torched during violent protests in Khayelitsha