By Staff Writer

SAP, German-based software firm, has has initiated an independent investigation spearheaded by a multinational law firm and overseen by executive board member Adaire Fox-Martin to vigorously review contracts awarded by SAP South Africa.

Fox-Martin is currently traveling to South Africa to address the concerns of customers, partners and employees.

The German-based firm has placed the current management team on administrative leave pending the findings of the review.

The South African office of the German software giant SAP is believed to have paid the Gupta front about R100 million “kickbacks” for state business.

The AmaBhungane and Scorpio said on Tuesday in a report that evidence suggests SAP used the Gupta influence network to drive sales of a billion rand to Transnet and other state-owned companies.

In August 2015, SAP signed a “sales commission agreement” with a small Gupta-controlled company that specialises in selling 3D printers, according to AmaBhungane and Scorpio in a report published on Tuesday.

The report revealed that the terms suggest a thinly disguised kickback arrangement: If the Gupta company were the “effective cause” of SAP landing a Transnet contract worth R100-million or more, it would get 10%.

“SAP stands for integrity, transparency and compliance,” said Fox-Martin, who leads SAP’s business in EMEA (Europe, Middle East and Africa) and Greater China,” the company said in a statement late on Wednesday.

“We strive to be exemplary in the manner in which we serve our customers and partners, and in how we treat our employees. Full transparency and integrity are imperative at our company, and we will not tolerate any misconduct.”

SAP rigorously investigates any allegations of wrongdoing in any of the more than 180 countries where it operates.

The company said its business policy is to carry out all company activities in accordance with the letter and spirit of applicable legal requirements and therefore maintain the highest standards of business ethics.

“SAP strongly adheres to its Global Code of Business Conduct and is committed to follow disciplined and transparent transactions”



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