Home  »  Articles   »   SCOPA Welcomes Decision on SAA Funding

SCOPA Welcomes Decision on SAA Funding

April 17, 2020


The Standing Committee on Public Accounts (SCOPA) has welcomed the decision to turn down the request from South African Airways (SAA) business rescue practitioners for R10 billion in extra funding.

Earlier this week, the public enterprises minister, Pravin Gordhan, rejected the request citing lack of government funds.

In a statement, SCOPA believes that the “decision taken by the Minister is correct as SAA cannot want its cake and eat it”.

The committee accused SAA of handicapping oversight by “insisting on only tabling financial statements once the business is a going concern”.

SCOPA holds the view that SAA cannot keep on requesting bailouts from the government while refusing to table financials on how the bailouts are being used.

According to the committee, questions still remain unanswered with regard to the R3.5 billion loan from the Development Bank of Southern Africa provided to SAA in January 2020.