ABU DHABI, United Arab Emirates, Oct. 24, 2019 (GLOBE NEWSWIRE) -- South Africa risk controls and governance continues to fail the Country and Global Stakeholders. The Treasury Department has, against all corporate governance, risk management, control and independence standards negotiated with and/or retained Deloitte to advise on Eskom Debt and Restructuring Matters, while Eskom is suing Deloitte for contractual Fraud.
Deloitte must be removed immediately from any governmental or SOE engagement, in any form, as the conflicts of interest are simply too high, especially regarding Eskom.
There are also indications that some of the former McKinsey & Company team members may now be working for Deloitte as well. McKinsey & Company were disgraced by their involvement with Trillian, a local consultancy controlled at the time by members of the Gupta family, billionaire friends of President Jacob Zuma. They had to repay Eskom a significant amount of money and should essentially be blackballed from participating in any Governmental or SOE contract or consultancy.
South Africa is on the precipice, looking over the edge of a bottomless cliff, global investors having lost confidence. Eskom is insolvent, plagued with corruption, fraud and malfeasance.
The Minister of Finance, Tito Mboweni, must go before Parliament and the Global Investors next week and deliver a “credible budget and plan”.
There can be absolutely no malfeasance, whether implied, or actually taking place. South Africa must do it cleaner, more transparent and better than any other Emerging Market Country, but the message just does not seem to be getting through.
CRO Advisors has already had to step in on behalf of global investors and conduct an independent analysis of the Treasury Department Debt Guarantee Portfolio and Eskom’s financial and operational status.
About CRO Advisors:
CRO Advisors work with Sovereign Governments, Institutional Investors and other stakeholders with exposure to the Global Energy & Infrastructure sector. The Firm engages with Sovereign Wealth Funds, Private Equity and Specialized Lending Funds to mobilize large pools of capital for our clients as part of our restructuring and turnaround mandates. CRO Advisors are specialists in the most complex restructuring and recapitalization of distressed Sovereign Government Assets, and Infrastructure companies and assets globally. Bankruptcy, Debtor in Possession (DIP) Finance, Business Rescue and Turnaround.