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OUTA lays criminal charges against Public Enterprises DG

Cape Town – The Organisation Undoing Tax Abuse (OUTA) on Friday laid charges of fraud, corruption and high treason against Public Enterprises director general Mogokare Richard Seleke, following media reports of his alleged involvement in deals that benefited the Gupta family.

"Seleke was the cut-out who passed confidential e-mails from Eskom to the Guptas, inserted himself into state-owned enterprises (SOEs) deals and helped the Guptas use confidential information to buy a cheap mine and rip off billions of rand from South Africa,” OUTA said in a statement.

In June, the Sunday Times reported that someone with the email address "Business Man" leaked important information to the Gupta family about deals with SOEs.

An investigation revealed that Seleke’s CV had been sent from the same address to President Jacob Zuma’s son Duduzane and was signed “Richard” at the bottom.

Seleke, who was appointed director general to the Department of Public Enterprises in December 2015, however denied that the email address was his.

A number of emails were sent from “Business Man” to among others Ashu Chawla, who heads up Gupta-owned Sahara Computers, about Transnet’s locomotive deal, confidential information about Eskom that ultimately appears to have helped the Guptas acquire the Optimum coal mine from Glencore, as well as information about Denel.

READ: OUTA outlines how Eskom was 'captured' 

Ben Theron, operational chief at OUTA, said in the statement that Seleke “belongs in jail”.

“The fact that he is still in office despite what is now publicly known about his activities points to a compliant state that is run from Saxonwold (the Johannesburg neighbourhood where the Guptas have their residence).

“Why isn’t the National Prosecuting Authority taking action against officials like these?” OUTA said.

Colin Cruywagen, spokesperson for Public Enterprises Minister Lynne Brown, did not comment on the charges laid against Seleke specifically, but said the minister would welcome any investigation into the allegations made. 

At a parliamentary briefing earlier this week where OUTA, among others, briefed the portfolio committee on public enterprises about the extent of state capture at SA’s state-owned institutions, Seleke’s name was mentioned in a number of instances as the alleged “postman” between the Guptas and SOEs.

David Maynier from the Democratic Alliance subsequently insisted that Seleke be summoned to appear before the committee to give testimony about his alleged involvement when MPs officially begin their inquiry into Eskom.

READ: Eskom inquiry: Call for Zuma to face questioning 

OUTA said in its statement on Friday that the charges laid against Seleke are the first of a number to follow.

“In line with OUTA’s mandate to hold to account those who abuse their authority on state expenditure, this case is one of a few charges laid against public officials and more are to follow.” 

On June 13, OUTA also laid a criminal complaint against former Eskom board chairperson Ben Ngubane including charges of fraud, forgery and contravention of provisions of the Companies Act. 

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