Transnet lost R1.8bn in club loan, Zondo Commission hears

File: Saret Knoetze, Transnet spokesperson said the fire originated from an inoperational section of the petrol pipeline that was tampered with and a parallel jet fuel pipeline was not affected by the blaze.

File: Saret Knoetze, Transnet spokesperson said the fire originated from an inoperational section of the petrol pipeline that was tampered with and a parallel jet fuel pipeline was not affected by the blaze.

eNCA

JOHANNESBURG - Details have emerged at the state capture inquiry about large amounts of money Transnet lost due to a club loan.

In 2015, the rail company raised R12-billion to fund the acquisition of locomotives with five financial institutions.

READ: Former ANN7 editor details alleged state capture

Former Transnet group treasurer Phetolo Ramosebudi recommended it change the interest rates from floating to fixed.

Transnet lost millions as a result.

WATCH: Former SABC employee takes stand at state capture

Dr Jonathan Bloom from Multipurpose Business Solution said, "Transnet does not write a cheque for Nedbank and Nedbank does not write a check for Transnet so the different paid out now is R850-million.

The R850-million was lost in addition to another R980-million, according to Bloom, bringing the total loss to R1,8-billion.

Source
eNCA