Evidence indicating several breach of agreements and misconduct in $50 million South African public sector deals involving the Guptas has been found, says German software maker SAP on Thursday.
In response to the information, Adaire Fox-Martin SAP board member in a statement according to Reuters said “The investigation has confirmed that even strong compliance systems are vulnerable and therefore require eternal vigilance.”
Findings from an external legal review of five software deals with the state-owned power firm Eskom and Transnet rail-freight company revealed that three suspended executives resigned without their severance pay, a report noted.
Though there was no indication of direct payments to South African Officials, SAP however admitted to making payment of over $8 million to intermediate companies controlled by the Gupta brothers.
The Gupta family has been at the center of the country’s corruption investigations with the accusation of using their friendship with former President Jacob Zuma to win government contracts, of which they denied wrongdoing.
SAP is another company to take a hit from the ongoing State-owned corruption investigation. “While we cannot turn back the clock, we can promise to do better,” Fox-Martin said.
With the recent development, SAP is taking measures to tauten its compliance and anti-corruption policies, as the company has stopped public sector contracts sales commissions in countries like South Africa and those with poor graft ratings.