Telkom has disputed claims it was involved in illegally influencing a technology tender awarded to Ericsson and Telsaf Data.
In December, Maredi Telecom and Broadcasting accused Telkom's senior executives of shady dealings with Ericsson and Telsaf Data.
The tender was awarded to the companies to build a point-to-point microwave system for cellphone base stations and a broadband wireless access network.
Yesterday, Maredi said it had filed a court application at the Pretoria High Court in a bid to prevent Ericsson and Telsaf Data winning the multimillion-rand deal.
However, Telkom has denied all allegations. Pynee Chetty, Telkom spokesman, says: “Telkom, once again, refutes the insinuation that any close business relationship exists between its CEO and management at Ericsson, and that this could have influenced the outcome of the tender.”
Chetty confirmed Telkom received the court application from unsuccessful bidder Maredi Telecom and Broadcasting.
Documents reveal all
The Communications Workers Union (CWU) claims it is in possession of documents proving Telkom had not followed legitimate tender procedures.
However, Chetty maintains the correct procedures were followed. “The company is in constant consultation with organised labour, and with regard to the allegation that the CWU has called 'for a probe into alleged corruption', the agreement with CWU is that Telkom would manage this issue internally.
“The company's CEO has taken the initiative to ensure due process and compliance to all governance matters.”
Investigation continues
According to Chetty, accounting and auditing firm KPMG has been appointed to investigate the internal processes and determine if the correct procedures had been followed.
“To ensure the continuation of compliance with governance procedures, as well as fairness and transparency with regard to current and future tender processes, Telkom's CEO (and not the board) has appointed KPMG to independently audit certain aspects of the company's procurement processes.”
Chetty adds: “Telkom reiterates that its tender processes are extremely stringent and that the company boasts a proud record of compliance to King II and Sarbanes-Oxley governance procedures.”
Sale issues
In addition, Telkom stated it would make a final announcement about the sale of part of its stake in Telkom Media, by the end of this month.
Telkom Media was awarded its pay-TV broadcasting licence more than a year ago.
Telkom currently owns 66% of Telkom Media and by the end of January, will announce who the new owner will be.
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