An investigation by auditors into why South African Airways (SAA) continues to make losses “when its planes are full” has uncovered major irregularities including poor procurement practices‚ a board member told MPs on Wednesday.
The airline spends about R25bn a year on goods and services but some of this did not generate value for money‚ an EY probe found.
The findings of the report came with the news that SAA made a loss of R648m in the first six months of the current financial year and is seeking an additional state guarantee of R4bn-R5bn for it to continue as a going concern.
SAA reveals breaches as it begs for more support
An investigation by auditors into why South African Airways (SAA) continues to make losses “when its planes are full” has uncovered major irregularities including poor procurement practices‚ a board member told MPs on Wednesday.
The airline spends about R25bn a year on goods and services but some of this did not generate value for money‚ an EY probe found.
The findings of the report came with the news that SAA made a loss of R648m in the first six months of the current financial year and is seeking an additional state guarantee of R4bn-R5bn for it to continue as a going concern.