Eskom says its Head of Generation, Matshela Koko has to be removed from the power utility because the allegations against him are hampering investor confidence in Eskom.
Earlier on Friday, Koko approached the Labour Court in Johannesburg to seek an interdict preventing Eskom from removing him from his post as head of generation. The court issued an interim order stopping Eskom from firing Koko. This after Eskom issued Koko and other executives with an ultimatum to either resign or be fired over corruption allegations.
Three executives, who were on suspension, resigned this week.
Eskom spokesperson Khulu Phasiwe says the allegations against Koko have made it hard for him to continue his work at Eskom.
“We now have a situation where Mr Koko’s own subordinates and other people who are working with him at executive level have lost trust in him. And you also have, I”ll say a body of evidence against him in relation to corruption and the things related to state capture. Now the board of Eskom, together with management, feel that for as long you have those issues standing around him, it is are making it difficult for them as management when they negotiate deals with companies out there to lend us money. They are saying for as long as we have this cloud hanging around your company and your own officials we will not be having any dealings with you, so it’s putting pressure on management to do something and that’s what they are trying to do.”
Phasiwe says the Labour Court decision means that Koko remains an Eskom employee until further notice.
“The Labour Court today has granted Mr Koko a temporary relief. What this means is that the matter will now be heard on the 6th of February and until then Eskom cannot take any disciplinary action against Mr Koko including firing him. So he continues to be an Eskom employee until further notice.”
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