Former Transnet executives appeared in court for fraud and corruption. The four former executives, including ex-Group CEO Brian Molefe, appeared in the Palm Ridge Specialised Commercial Crimes Court on Monday to face 18 charges of fraud, corruption, and contravention of the Public Finance Management and Companies Acts.
Former Transnet executives appeared in court for fraud and corruption
The case was postponed to 6 October 2025 for further investigation. Molefe appeared alongside former Group CFO Anoj Singh, former CEO Siyabonga Gama, and former Chief Procurement Officer Thamsanqa Jiyane. Each accused was granted R50,000 bail under strict conditions.
Allegations Tied to Transnet’s Locomotive Contracts
The charges relate to Transnet’s Market Demand Strategy (MDS), initiated in 2011 to boost South Africa’s rail, port, and pipeline infrastructure. The Investigating Directorate (IDAC) alleges that the accused bypassed procurement protocols to award locomotive contracts to Chinese rail manufacturers CSR and CNR.
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Former Transnet Executives in Court Over Multi-Billion Rand Corruption Scandal
A key contract involving 95 locomotives, initially valued at R3.2 billion, allegedly exceeded R3.4 billion after irregular tender processes. Additional contracts for 100 and 1,064 locomotives also saw inflated costs, with the 1,064-unit deal jumping from R38.1 billion to R54 billion.
State Capture and Abuse of Power
According to IDAC spokesperson Henry Mamothame, the former executives “enabled gross cost inflation” and “favoured unqualified suppliers,” violating their duty to ensure value for money in state procurement. The case is seen as a significant part of the National Prosecuting Authority’s (NPA) effort to prosecute corruption linked to state capture, as exposed by the Zondo Commission.
Billions Looted from Public Entities
The proceedings underscore how billions were allegedly looted from Transnet, a state-owned enterprise, through manipulated procurement and corrupt executive decisions. If convicted, the former executives face lengthy prison terms under South African anti-corruption laws.
