home Featured, Politics Steinhoff to appear before parliament at the end of January

Steinhoff to appear before parliament at the end of January

By BO Staff Writer

Corruption riddled Steinhoff will appear before parliament at the end of January to face questions from parliamentarians regarding fraud and corruption allegations which saw the company losing billions within a few days.

In a statement, the Chairperson of the Standing Committee on Finance, Yunus Carrim, confirmed that the hearings will happen between 30 or 31 January.

“The hearings will be held jointly with the Standing Committee on Public Accounts (Scopa) as also confirmed by Scopa’s Chairperson, Mr Themba Godi, and the Public Service and Administration Portfolio Committee as confirmed by Chairperson, Mr Cassel Mathale,” Carrim said in a statement.

Steinhoff made headlines at the end of the year when former CEO, Markus Jooste, resigned amid a fraud and corruption scandal at the Johannesburg and Frankfurt listed company.

Steinhoff’s share price dropped more than 60% after the furniture retailer said it would launch an investigation into “accounting irregularities”. The company has been under investigation for suspected accounting fraud by the state prosecutor in Germany since 2015. The accounting scandal is being likened to the Enron bankruptcy scandal of 2001.

The Government Employees’ Pension Fund (GEPF) was one of Steinhoff’s biggest investors and is said to have lost billions.

Carrim says he wrote to the Financial Services Board, the Reserve Bank, Public Investment Corporation (PIC), GEPF, JSE and the Independent Regulatory Board of Auditors “informing them about the pending hearings and requesting them to provide us with the scope or terms of reference of the FSB investigation into Steinhoff and the possible timelines for the completion of the investigation,” he said.

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