By 
JOHANNESBURG — State-owned logistics enterprise Transnet has escalated its crackdown on corporate governance failures, securing the blacklisting of seven companies and taking decisive disciplinary action against implicated employees following extensive forensic probes.
The crackdown, spearheaded by Transnet Port Terminals (TPT) in conjunction with the Special Investigating Unit (SIU), uncovered widespread irregularities. Investigations revealed financial misconduct, bribery, kickback schemes, theft of company assets, supplier collusion, and the submission of fraudulent information.
In response, TPT successfully petitioned the National Treasury to place the seven entities on its list of restricted suppliers. The blacklisting bars these companies from conducting business with TPT, the broader Transnet group, or any other South African public entity for the next ten years.
TPT Chief Executive Jabu Mdaki emphasized that firm consequence management is crucial to safeguarding South Africa’s logistics network and reducing the cost of doing business.
“Transnet Port Terminals remains committed to upholding the principles of good governance and conducting its business with the highest standards of integrity, transparency, and accountability,” Mdaki said. “Unlawful conduct will not be tolerated under any circumstances.”
Mdaki noted that TPT plays a pivotal role in enabling South African trade with more than 100 global markets. He stressed that there is “no room” for individuals or suppliers who compromise the integrity of the state logistics firm. TPT is actively collaborating with law enforcement and legal entities to recover all embezzled funds from the implicated parties.
Broader Sweep Across Operating Divisions
The disciplinary measures extend across Transnet’s broader operations:
- Disciplinary Action & Exit of Colluding Staff: TPT has initiated formal proceedings against staff who colluded with the blacklisted companies over multiple years.
- Transnet Rail Infrastructure Manager (TRIM): Four employees were recently suspended over similar corruption allegations, while processes to restrict implicated suppliers within TRIM are currently underway.
- Sanctions from Earlier Probes: Following the suspension of nine employees earlier this year for alleged supplier collusion, six have departed the state entity due to completed disciplinary proceedings, with remaining cases pending.
Beyond disciplinary action, Transnet reported that it is implementing systemic operational enhancements to strengthen internal controls and prevent future malfeasance.
Transnet has urged the public to report any suspected corruption or supply chain fraud directly to its dedicated, confidential whistleblowing channels:
- Toll-Free Phone: 0800 003 056
- Email: Transnet.Reportit@outlook.com
- SMS: 063 786 7403
