1 July 2025 | 11:13 a.m. CAT
3-minute read

Transnet rail depot in Ermelo. (Photo: Dean Hutton / Bloomberg via Getty Images via / Daily Maverick)

Former Transnet heavyweights—Brian Molefe, Siyabonga Gama, Anoj (Anund) Singh, and Thamsanqa Jiyane—appeared in the Palm Ridge Magistrate’s Court earlier this week. They face fraud, corruption, and money laundering charges connected with the notorious R54‑billion locomotive procurement during 2011–2014, flagged in the Zondo Commission’s final report.

Each man was released on R50 000 bail, with their next court hearing set for October 6. The charges stem from allegations that inflated contracts led to excessive costs—rising from an initial R38,6 billion to over R54 billion—and that kickbacks were funnelled into Gupta-linked front companies.

Although the procurement dates back over a decade, the Zondo Commission’s Part 2 report in February 2022 marked a turning point. It specifically named Molefe, Singh, and Gama as culprits in corrupt locomotive deals and called for criminal prosecution.

The procurement involved three major tenders: 95 locomotives in 2012, followed by 100 and 369 units in 2014—all tied to contracts with China South Rail and China North Rail (later CRRC). Kickback schemes were exposed in leaked Gupta emails (‘#GuptaLeaks’) and forensic banking records, revealing millions siphoned through shell companies in the UAE and Hong Kong. These schemes left a financial dent in the region’s railway ambitions—aimed to make South Africa one of the world’s top five rail systems by 2019, but instead hampered by cost overruns, delivery delays, and underperformance.

Organisation Undoing Tax Abuse (OUTA) hailed the arrests as a significant advance in accountability. Senior Investigator Rudie Heyneke of OUTA, interviewed on Radio Islam International, emphasised the importance of this step in addressing state capture:

“Although, you know, it took many years to get these people to court, they are there now, and they must, you know, share their stories with the South African public, so that there can be a judgement at the end of the day to see if the allegations against them can stick.”

Heyneke, who led investigations after obtaining the Gupta leaks and a 150-page affidavit submitted to the Investigating Directorate in 2019, added:

“We had a copy or received a copy of the Gupta leaks, and that is when we started to look into state capture… lots of the issues that have been exposed at the Zondo Commission.”

Complicating matters, Molefe and Gama currently hold seats in the National Assembly representing the uMkhonto weSizwe (MK) Party, an offshoot of Jacob Zuma’s political network. Heyneke voiced strong concern:

“It is absolutely disappointing that we can sit with these kind of characters in Parliament… allowed to be in Cabinet that makes decisions for the future of this country.”

OUTA’s Heyneke similarly lamented that while the law seems to apply officially to all, the reality is disheartening when political figures maintain authority amid serious allegations.

Heyneke stressed that while judicial progress is being made, significant challenges remain. Political will, or lack thereof, stands as a primary barrier. He mentioned delays and logistical constraints within the National Prosecuting Authority—such as office relocations that disrupt prosecutorial work. Without political protection, he warned, the wheels of justice may sputter again.

Meanwhile, the Zondo Commission and law enforcement continue to investigate other high-profile state capture cases, including connections tied to former Public Enterprises Minister Malusi Gigaba.

Economists estimate Transnet’s state capture burden at over R60 billion—roughly accounting for 1 billion rand in lost freight revenue per day during the late 2010s. The fallout has weakened investor confidence and hindered much-needed rail revitalisation, compounding the pressure on a state-owned entity already navigating cyber sabotage and governance failures.

The October court date will be seen as a bellwether for South Africa’s resolve in prosecuting state capture. Will the evidence hold up? Will the politically powerful be held to the same standards as ordinary citizens? These questions loom as the nation watches.

As Heyneke emphasised with cautious optimism, “this is a significant success… we welcome this.” But without sustained political backing, robust prosecution resources, and a commitment to impartiality, the cycle of delayed justice could repeat.

Listen to the full interview on Sabaahul Muslim with Moulana Junaid Kharsany.