McKinsey Agrees To Repay Close To R1 billion To Eskom

Picture: IOL

CAPE TOWN: McKinsey and Eskom said on Friday the consultancy firm has agreed to pay back R902 million to the power utility.

Eskom says it has now finalised a settlement agreement with McKinsey to pay back R1 billion under the parastatal’s turnaround strategy.

In a statement released on Friday evening, Eskom Board Chair Jabu Mabuza says while this is the first successful recovery, it won’t be the last as its members are committed to dealing decisively with improper and irregular contracts.

The utility says given that Trillian was not party to the settlement, it will use the legal review process to continue pursuing the recovery payments made to the Gupta-linked firm.

Senior Partner at McKinsey Saf Yeboah-Amankwah said, “McKinsey is thankful to have reached this milestone, which fulfils the commitment made last year to voluntarily return its full fee to Eskom. We appreciate the support of Eskom and the Asset Forfeiture Unit in resolving this matter.”

Today’s settlement was signed by McKinsey, Eskom, the Asset Forfeiture Unit and the Curator.

The settlement agreement, once made an order of Court, will resolve in full McKinsey’s repayment obligations in the proceedings.