"I developed a business case for the 100 locomotives for the coal export line. It was unilaterally changed by Transnet group executives to favour CSR. The changes and implications were material and I submit that the representation made to the [acquisitions committee] was misleading in certain respects," Callard told the commission.
Callard's business case, signed off by Transnet executives in October 2013, made provision for the purchase of 100"19e-type" electric locomotives and 60 diesel locomotives to add to the capacity at Transnet's coal lines. The business case was signed off by executives like Siyabonga Gama, Garry Pita, Mahommed Mahomedy and Anoj Singh.
That business case recommended a confinement to Mitsui. This was predicated on the compatibility with the existing 110 locomotives Transnet had already purchased from the company to service its coal lines. "It addressed the urgency, the limited numbers of suppliers, and that the goods and services are highly specialised and largely identical to the previous locomotives purchased from Mitsui. The confinement meant the quickest delivery, making use of existing facilities," Callard said.
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Transnet execs changed locomotive business case to favour Guptas'StateCaptureInquiry | 'I developed a business case for the 100 locomotives for the coal export line. It was unilaterally changed by Transnet group executives to favour CSR.' I'm sure Peter Bruce has an explanation
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