State-owned freight transport and logistics company Transnet says it is responding firmly to allegations of procurement irregularities at the company’s Richards Bay port terminal operations.

The company says it is implementing the recommendations arising from an investigation into the alleged procurement irregularities, while further investigations into other matters raised in the preliminary report remain under way.

In October 2024, Transnet received a whistleblower report alleging irregularities relating to two tenders, which subsequently resulted in Transnet Port Terminals (TPT) CE Jabu Mdaki instituting an internal investigation into the allegations.

The preliminary findings of the external investigation, which were received in April, resulted in the precautionary suspension of an unnamed TPT Richards Bay executive.

The company adds that a number of investigations and disciplinary processes remain under way and, where necessary, these processes are being pursued in collaboration with relevant law-enforcement agencies.

In this regard, Transnet has lodged a formal complaint with the Directorate for Priority Crime Investigation in terms of Section 34 of the Prevention and Combating of Corrupt Activities Act. The matter has also been referred to the Durban Serious Corruption Investigation Unit.

“These investigations have resulted in tangible action, including the restriction of seven companies through National Treasury processes, and disciplinary action against employees implicated in theft, corruption and fraudulent activities. To date, 45 employees, including managers, have been dismissed,” the company says.

Transnet says it remains committed to the highest standards of governance, accountability and integrity and maintains a zero-tolerance towards fraud, theft, corruption and any form of impropriety.