Former Transnet Electrical Engineer Francis Callard is expected to continue with his testimony when the State Capture Inquiry resumes on Thursday morning in Johannesburg.

On Wednesday, Callard agreed that former Transnet CEO Brian Molefe and Chief Financial Officer Anoj Singh unjustifiably decided on an inflated purchase price for China South Rail locomotives.

He said that each locomotive was bought at R3 million more than the originally calculated cost.

Callard said that Singh asked then Transnet Finance Manager, Yousuf Laher to find a way to justify why the price per locomotive had gone from R 41 million to R 44-million post the agreement.

The commission also heard the testimony of Acting Manager of Governance, Risk and Compliance at Transnet, Helen Walch.

Walch says that the payments made to Regiments dating back to 2005, as well as payments of over R 75 million made to McKinsey since 2006 have never been subjected to an investigation until recently.

Walsh confirmed that Transnet made a total payment of R 1.9 billion to Regiments, Trillian and McKinsey for services relating to the 1064 locomotives tender.

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