Johannesburg — SOUTH African Airways (SAA) says auditing firm KPMG has handed it a preliminary report on claims of mismanagement by former CEO Khaya Ngqula.

It is understood that the report was discussed at a recent board meeting, where it was decided to seek legal advice on how to proceed. However, the airline was not willing to discuss findings set out in the report, saying the investigation was not yet complete.

"Significant progress has been made with the forensic investigation by KPMG, and a preliminary report has been handed to the board for its perusal and comment," SAA spokeswoman Robyn Chalmers said yesterday.

"However, the forensic investigation is not yet complete, and several aspects must still be concluded prior to any further comment being made,"

The protracted investigation has been under way since February, when Ngqula was sent on "special leave".

The CEO's office has been vacant since March, when he stepped down formally.

Yet there is no indication from either auditing firm KPMG nor SAA as to when the investigation is likely to be concluded. Yesterday, KPMG would also not be drawn on any of the details of the audit.

Ngqula is believed to have received an estimated R8m for leaving the airline before his contract expired next year.

He said yesterday that he had not been in touch with SAA management since leaving in March.

"I have not spoken to the airline since leaving. However, I have put that chapter of my life behind me," he said.

Ngqula said he was enjoying quality time with his family and tending to his investments.

The investigation of the former CEO's affairs was sparked by the South African Transport and Allied Workers' Union, which earlier in the year handed a dossier detailing alleged wrongdoing by senior members of SAA management, Ngqula in particular, to the then public enterprises minister, Brigitte Mabandla .

Alarmed by the allegations in the dossier, Mabandla gave the document to board chairman Jakes Gerwel. In February, a subcommittee established by the board appointed KPMG's forensic unit to conduct a forensic audit on allegations, including the issue of retention premiums, conflict of interest and procurement.