Opinion

  • Lefties hypocrisy in frozen bank accounts laid bare

    putin

    Whether it’s the Gupta’s or Russia Today’s bank accounts that have been frozen, the lefties’ bias and hypocrisy is showing….by Pinky Khoabane

    There are parallels to be drawn between the response by so-called liberals and commercial media here in South Africa and that of British lefties to news that the bank accounts of Oakbay Investments and Russia Today had been frozen. The responses lay bare the hypocrisy of lefties but perhaps as importantly, their intolerance to that with which they disagree.

    As in South Africa where, instead of questioning and highlighting the dangers of corporate power and the affront on free press, the so called liberals cheered news that NatWest had frozen the British bank accounts of RT and have judged both RT & Oakbay in the courts of public opinion.

    Oakbay has among its stable of companies, TheNewAge and ANN7, both of which are media institutions. Russia Today’s crime, according to our dear liberals, is that it is a propaganda machine for the Kremlin.

    But this self righteous group forgets, conveniently so, that the commercial media they so cherish is not independent at all but rather protects its shareholders and advertisers.

    The same could be said here. Oakbay is owned by the ‘dreaded’ Guptas who will fortunately see a day in court following Finance Minister Pravin Gordhan’s affidavit that there were “suspicious” transactions in their bank accounts over the past four years. That the Financial Intelligence Centre (FIC) didn’t detect this when it was able to do so in the case of SARS officer, Jonas Makwakwa, is another case in the long saga between the Guptas and Gordhan and the bigger narrative that has been carved that the family have captured the state.

    But back to the hypocrisy of lefties.

    Early this year, four of South Africa’s leading banks decided to close Oakbay’s bank accounts and to this day, have given no explanation. In many statements issued by the now former CEO of Oakbay, Nazeem Howa, he has been at pains requesting an explanation from the banks which was not forthcoming.

    There isn’t a single commercial media group in this country that has demanded questions from the financial institutions. When a commission into the conduct of banks was set up, the banks demanded they would only attend if Gordhan attended. Gordhan, not surprisingly, has refused to attend.  The South African Reserve Bank has also said it could not intervene. So who exactly regulates the banks? Gordhan has  pointed to the Banking Ombudsman. Does he understand how useless that institution is?

    The point really is that these are the kinds of questions a free, critical and independent media ought to be asking. But Alas! What can this fallacious 4th estate do when its owners, who include multi-billionaire Johann Rupert, also own banks? They have no option but to protect their masters.

     

  • Open Letter to Pravin Gordhan

    By Jeff Koorbonally – is the official complainant/ key state witness in the claim by the Surtie family for their offshore inheritance with the Capital amount of $ 36 billion Dollars, plus 25 years interest @ 12,5% p/a to 2010 & further 5 years interest 2010-2015 grand total of $193,5 bn which when converted to Zar on the lowest rate of R10 to Dollar equates to: R1,935 Trillion.

    Dear Hon Minister Gordhan

    In the same manner on the open letter addressed to the Public Protector (Thuli Madonsela), I will skip the introductory part.

    As a person of interest very well known to you & your predecessor (Trevor Manuel) and all the institutions over which you have oversight, including but not limited to Treasury, Sarb, FSb, which are implicated in this most serious financial crime.

    I have been in silence for far too long (8 years) with this highly sensitive matter, with great hope that you the man who portrays himself as a man of integrity (Angel/Messiah of S.A) to the Public of this country, would address and resolve same, in the efficient, discreet & amicable way, which would be in the best interest of the RSA.

    It has become apparent and crystal clear to me that you & your predecessor’s priorities are wrong. You choose to pursue the protection of the interest of the “Spiderweb” operation, rather than the interest of the country & the poor people of this country, who put you in your current position.
    Ref is made to this link
    http://www.politicsweb.co.za/documents/project-spider-web-the-full-document

    I call upon you as one of the Key Ministers in this country to stand up & expose the Corruption that is destroying the economy of our beloved country, in the same manner that you have just done!

    “Finance Minister lifts lid on Guptas’ R6.8bn ‘suspicious transactions’
    15 OCTOBER 2016 – 17:54 PM

    Your next step now is: “Please publicly disclose to the Public of this country the (alleged) corruption that you & your predecessor, in your capacities as Finance Ministers, & in conjunction with Tito Mboweni & Gill Marcus in their capacities as Governors of the Sarb as well as Maria Ramos in her capacity as Absa group Ceo have been hiding since the dawn of our democracy, when this ministry became fully aware of it in 1996, as revealed by the Ciex investigations & report thereof.

    The biggest State Capture/ financial terrorism, warfare style is orchestrated by the broederbond, who have  enriched themselves with hundreds of billions, since 1996  to date; the main beneficiaries being Anglo American (Oppenheimers) in their bank shares in both FNB and Sarb & Remgro in their shares in Absa, Sarb & Fnb. The Last beneficiaries being Absa & Sarb in terms of all the brokerage fees, commissions & underwriting fees & profits which derived from the illegal bond issues whereby the Surtie family offshore inheritance was illegal laundered into.

    #Tell the public of S.A. that your Ministry is now sitting with a Huge claim (Liability) from the Surtie family for their offshore inheritance with the Capital amount of $ 36 billion Dollars, plus 25 years interest @ 12,5%p/a to 2010 & further 5 years interest 2010-2015 grand total of $193,5. converted to Zar on the lowest rate of R10 to Dollar it equates to: R1,935 Trillion.

    This inheritance was politically blocked and retained in a Special Restricted account Antrecode 0000/4444 held at the Reserve Bank on behalf on finance ministry since 1985 during the Sanctions Era, whereby the apartheid regime amended the currency exchange act to legalise what they did. Ref is made to link
    http://www.saflii.org/za/legis/hist_reg/caea9o1933rangnr603656/caea9o1933rangnr603a1j1987757.html

    #Tell the public of this country that the same Act was amended in 1996 to be in-line with the new constitution, as it became unconstitutional, hence the Surtie inheritance should have been released at this point, but Finance Ministry decided to launder it into Stock markets . Ref is made to link below
    ‎caea1933213.pdf (143.7 KB)

    #Tell the Public of this country that the Finance Ministry failed or chose not to comply with the law of advertising this unclaimed inheritance on the Government Gazette & further failed with any attempt to trace the beneficiaries on their last known address as also compelled by law to be done.

    #Tell the Public of this country that your Ministry decided to further launder the Surtie family offshore inheritance into the fiscus system by means of re issue of same bonds in 1996 & registration of them with BESA & putting them on Trade with both, first (JSE) & secondary World Stock markets (US,UK & others) and therefore committing the most serious act of money laundering & a serious violation of World Stock Markets rules & regulation.

    #Tell the Public of S.A. that I, Jeff Koorbanally acting with full power and authority on the Surtie matter, has given you an amicable settlement proposal, in the very best interest of this country’s economic crisis that: Govt retains 2 thirds of the interest due & pay the Surtie’s only a third of the interest due and further said that the Government can retain the investment of the Capital for an indefinite period & reduce the interest rate to current repo rate or less.

    #Tell them (Public) of S.A, that you Mr untouchable chose to ignore me, with your intention for me to take the matter to court so that you can waste taxpayers’ money defending the crimes of the Apartheid regime.

    #Tell them that you instructed DG Lungisa Fuzile not to give me co-operation in his capacity as Treasury Information Officer in terms of the Promotion of Access to Information Act (PAIA) as enshrined by the constitution, when I requested access to the investor name & more of these said Bonds of corruption.

    #Tell them you did likewise and told Governor of Sarb Lesetja Kganyago not to give me any co-operation when I requested access to information on account Entrecode 0000/4444 (State blocked account) and told him to intimidate me with Dr De Jarger head of Sarb legal counsel.

    #Tell them you also instructed FSB Ceo & Deputy Adv Tshidi & Chanetsa to do likewise and not to give me any co-operation in my call to them to open up a full probe on Absa/Barclays and to recover the hundreds of billions they benefited from with this corruption & impose appropriate fines/penalties in line with the Stock Market rules.

    Lastly it is my submission that your arrogance is going to cost this country. If you believe you are going to get away with the Surtie claim, then you making the biggest mistake that will results in the total economic crash of our country.

    As I told you previously that you will leave me no other option but to execute what I put on hold at an international level with (IOSCO, G20, BIS,US & Uk Securities Commission IMF, World Bank).

    Your Ministry has been fooling the people of this country for far too long by pointing & blaming everyone else for the economic crisis & prevention of corruption when the real cause is from within, failure to properly manage the finance of this Democratic Govt. “This all paints a picture of a dereliction of duty by the people who should be doing oversight and enforcing compliance, which is the national treasury.”

    What this ministry does instead is to go on media platforms making big deceiving statements undermining and insulting our intelligence, as black people, in the same manner that the Apartheid regime did.

    Let me spell it out without fear or favour: You Hon Minister and your predecessor have the “Gift of the Gab”. Our country doesnt need such people in this key position. We need people with a clear vision & dedication, with strong financial management skills, not talking skills! You and your predecessor lack in that important area of skills, that’s not an insult or personal attack but a fact, if you take into account the billions we have lost in corruption when you (Finance Ministry) have access to all resources including audit – internal & external – plus the auditor general.

    Then you blame it all on the “President” making him the scapegoat. If your ministry was doing the job assigned to you by the constitution, none of what’s flying around the media would exist.

    Lastly let me answer the question that might be ringing in you mind right now: “With all these allegations, why haven’t I referred them to the law- enforcement agencies?”

    The Answer is: “I certainly have!” In fact it is currently sitting at the highest level of the National Prosecutions Authority (NPA) and Directorate for Priority Crime Investigations (DPCI). What they do with the matter and when they will decide to prosecute is at their discretion.

    What I can confirm is that I presented a very strong case against your ministry/Treasury, Sarb & Absa
    In terms of violation of several Acts including but not limited to
    #Public Finance Management Act #Prevention and Combating of Corrupt Activities Act,
    #Prevention of Organised Crime Act 121 of 1998. (POCA)
    #Financial Intelligence Centre Act (38 of 2001) – FICA

    I am the official complainant/ key state witness in the matter, should and when it goes for prosecution. Rest assured that I am a very a credible witness with specific facts that will result in the successful prosecution of all accused in this matter. What is currently on media is just the tip off the iceberg in terms of prosecution corrupt related activities by the very people entrusted with the authority and power to prevent same.

    The perception that you portray to the Public, that you are the Angel/Messiah of S.A, is just the opposite and also that you think are above the law & untouchable is a myth! This is the beginning of the end of corrupt office bearers & corruption in this country of which we fought for with blood & sweat! You were part of that struggle and soon after you got into the gravy train, all is forgotten! Instead of protecting our Democracy, you choose to protect the corruption of the of Oppressor.

    The views expressed here are not those of UnCensored

     

  • Battle for the soul of SA’s economy at all time high

    By Pinky Khoabane

    Ruperts et al

    The battle for the soul of South Africa’s economy has reached such a crescendo that it is literally palpable. In the battle to sway readers and audiences the message and words are being used selectively revealing glaring double standards.
    In a week in which the National Prosecuting Authority (NPA) announced it would summon Finance Minister Pravin Gordhan to appear in court, the questions weren’t around the shock that Gordhan had allegedly committed a crime followed by the usual media probes into the nature of the alleged crime. Instead it was around the timing of the announcement and the trivial nature of the charges.
    It is simply unbelievable that the same pundits who are constantly in court to uphold the Constitution of the Republic and the Rule of law would dismiss an alleged crime on the basis of triviality.
    In some way the media has taken the correct stance in allowing the courts to decide and to abide by the sacred principle of law; of presumption of innocence until proven guilty. It is admirable from a part of our community which rarely gives those they deem enemies the same right.
    A narrative has been carved around Gordhan. Until the Sunday Times retracted its two-year series of stories around the unlawful intelligence unit at SARS, better known as the Rogue Unit, the finance minister was found guilty in the court of public opinion and although there was muted public response, it was assumed the Sunday Times was correct.
    It was only after the paper retracted parts of its story that the image of Gordhan as an untouchable emerged, largely developed through a campaign by a cabal of white journalists who among other tactics, publicly discredited one of the journalists involved in the story.
    Such is the extent of the narrative of a “squeaky clean” Gordhan that his supporters have praised him for disregarding the law when asked to appear before the HAWKS to answer more questions on the Rogue Unit. They have used the threat of an economic crash if he were to be arrested. It was therefore not surprising to see the Rand drop in the aftermath of the announcement.
    But the sincerity of the pundits falls away when double standards creep-in and reveal a sinister agenda.
    The finance minister was hailed when he refused to respond to the HAWKS citing the preparation of the budget ahead of the Budget Speech which he was to table in Parliament and trips abroad to appease rating agencies.
    Headlines roared: “Leave me to do my job, Gordhan” and yet he was in sheer breach of the law. If an enemy of the media were to do same, he would be castigated and described as “evasive”.
    The Public Protector was to present findings into the State Capture, which only focuses on the alleged Gupta family’s influence on the appointment of ministers in President Jacob Zuma’s cabinet. That the economy and state capture of white monopoly capitalists is well documented puts into question the narrow and selective approach to the probe and therefore reveals a sinister agenda behind it.
    Madonsela, when the probe was lodged by the Democratic Alliance (DA) earlier this year, pleaded poverty. Strangely, Treasury, from where the allegations emanated in the first place, was quick to offer her the money to probe. The allegations were sparked by Finance Minister Mcebisi Jonas’s claims that the Gupta family had offered him a cabinet post.
    This rush to start a probe when Madonsela had no money and a backlog of untouched cases, would have been met with many questions were it not that she was investigating Zuma and the Guptas.
    The timing of Madonsela and her rush to deal with the state capture, which she was to present before she left office, is sinister. Minister of Co-porative Governance Minister Des van Rooyen interdicted the public protector from publishing the report on the basis that he had not had time to appropriately respond to it.
    The incoming Public Protector, Busisiwe Mkwebane confirmed there was a backlog of “life and death” cases which Madonsela had not probed but she has been in a hurry to complete the state capture investigation and confirmed in court that it had been completed. The question that must be asked is WHY she has been in such a rush at the expense of other complaints.

  • Open Letter to Thuli Madonsela from Jeff Koorbanally, Forensic Investigator into ABSA Bonds

    By Jeff Koorbanally

    Dear Adv Thuli Mandosela

    I was totally shocked & flabbergasted today, the 12th October 2016, to hear from the OPP (Office of the Public Protector) for the first time that my matter which was officially lodged in your Cape Town offices as “Mal-Administration against the Old & New regimes” in 2013, is not being investigated & neither was it incorporated into the Ciex report investigations given that the matter of the Surtie inheritance was included in the Ciex report (laundered into Govt bonds – the same bonds which were highlighted on page 25 of the Ciex Report).

    To remind you, I lodged my complaint here in Cape Town as a result of a request that came from your Pretoria office to Cape town office (Lucky Plum) to lodge the complaint here due to jurisdiction. The deceased estate for which I was claiming the assets was registered with the Master Office in Cape Town. The Estate No was 5349/2011 deceased A.R.T. Surtie of Maseru Lesotho.

    This request from your Pretoria office came after an associate of mine (name withdrawn as requested by the associate) intervened and requested the OPP to incorporate my investigations into the Ciex report which your office had already busy with since 2011. The file was then sent directly to you by your Cape Town regional manager Sue when she took over the office after I complained to her that I was not getting any update on the investigations.

    Chronology of events

    I placed myself on record as the private forensic investigator in the matter in July 2011 in a telephone conversation with yourself. I explained to you then my interest in this matter and I immediately shared information with you regarding the discovery of a secret dormant account 0000/4444 on the ABSA database which was linked to the Surties – a matter I had been investigating since 2009.

    From that point onwards until now, I have shared hundreds of information on all the evidence you required to conclude your investigation. I told you to direct the focus of the investigations to the bonds issue. I explained to you that the bonds were the tool/instrument that was used to fund the whole corruption including but not limited to the lifeboat.

    You then agreed with me and actually sent me a letter to thank me for all the information and assured me that all the info would be used to pursue the Mal Administration investigations.
    This letter has your signature on it which means it was not just written by your PA Juliet Nkabinde.

    It is my strong submission that the manner in which this complaint of the Ciex Report was handled from the outset has compromised the integrity of the OPP.

    You have contradicted yourself too many times in this matter.

    At the beginning of 2011 you correctly quoted the restrictions on the Public Protector Act, in terms of the period allowed on matters of investigations. You clearly stated that in matters that were more that 2 years old your office had the discretion to take them-on or not.

    You stated the factors that the OPP would consider when taking cases older than 2 years were the following:

    •  The period of the complaint had to fall within the period following the formation of the OPP which was on October 1, 1995.
    • You then decided that you were going to take this matter and limit it to what happened between 1996-2001 which was during the terms of office of Hon Mandela & Hon Mbeki, and clearly stated that you could not investigate matters that happened during the Apartheid Era.
    • Now, as it turns out, contrary to all of the above, your office has confirmed that it is only investigating the ABSA Lifeboat and alleged failure to recover money given as a loan to Bankcorp, the complainant being Adv Paul Hoffman. This happened from 1985 – 1994, which is in the Apartheid Era.
    • This is also contrary to what I was made to believe in my interaction with Adv Paul Hoffman since 2011 that his complaint to your office was:

    “Govt spent Millions of rands in the inquiries of Ciex investigations and the Heath Commission to investigate the apartheid plunder and yet the government of the Republic of South Africa mishandled the opportunity to claim back the money & Failed the Opportunity to recover these monies.”

    The fact that your office has confirmed that the whole Ciex report was confined to the ABSA lifeboat only clearly indicates there was some hidden agenda or ulterior motive to your decision to take this matter on in the first place which raises the following questions:

    • Why did you decide to take a matter which fell outside the scope of time of the OPP & further be selective & leave the others which are in the same report?
    • If your reasons were because among others, Adv Paul Hoffman (said it was) easy recovery, why then has it taken more that 5 years?
    • Why did you have to investigate this lifeboat after I told you doing so was a waste of tax payers’ money as it would be a duplication of what was already done by both Judges Heath & Davies? I told you to investigate the Bonds given to Absa instead and you agreed.
    • What have you done with all the information & evidence I forwarded to you on this matter relating to the bonds given to ABSA by South African Reserve Bank in secret ?
    • Why did you not inform me that the hundreds if not thousands of correspondence sent to you of which I have evidence it was received and read by your PA, was irrelevant to what you were investigating ?
    • After receiving my file of my complaint from the Cape Town branch why did you not find it proper to inform me that your office will not be investigating it or incorporate it into Ciex report as that what it was referred as?
    • Why did you call your Absa lifeboat investigations Ciex report investigations ? Was this intended to mislead the public? Why couldn’t you just call your investigations simply “Absa lifeboat” as that what your office referred to it as?
    • Why did you choose not to query my complaint file when you received it from the Cape Town office as it was cleared marked ”to be incorporated into ciex report”?
    • It has been alleged that you are consulting with Judge Dennis Davies for advice on the Absa lifeboat, if so that will be an act of bias. The OPP investigations are supposed to be impartial & independent from any previous investigations. What you had to do was to interview him and ask him if the issue of the bonds given to Absa were part of the Terms of reference in the investigation he headed and if his Panel’s findings would have been the same or not?

    I put it to you that there was absolutely no need for you to consult with Judge Dennis Davies on the issue of Absa lifeboat. The Panel report was very clear on that matter – that it was possible to recover the money from the shareholders and that the only challenge was to determine the extent of benefit they gained from the irregular lifeboat. I told you and directed you to the proof that Absa shareholders benefited hundreds of billions from this corruption including the bonds which were never investigated after several requests were made by myself in addition to the alarm that was raised by the Ciex Report, which clearly said Govt must investigate these bonds as they had a potential to create a huge liability to the democratic govt.

    In your many media briefings, more specifically the interview with Dianne Hawker (eNCA) july 2011, you stated the following:

    That you had reversed the initial decision not to investigate allegations that upwards of R26 billion was looted from state coffers via various schemes under apartheid & further said: “In addition to speaking to the alleged beneficiaries of the looted funds, the government would have to be questioned.

    “My approach has been that if we are going to do it, we will go beyond just asking the implicated.

    “The government also has to be interviewed in terms of where they stand with this and what was their reaction to this, because remember this was commissioned.

    “The starting point is also to find out what has been done since this was commissioned. And if nothing was done, why nothing was done.”

    You further made a call to the public, in this interview, that anyone with information should come forward.

    Let us now deal with the mentioned commissions, which to the best of my knowledge there was only one.

    #Heath Commission of Enquiry into maladministration & corruption as disclosed by the Ciex Report 1995 – 1997.

    The findings of Hon Judge Heath in the above commission was in support of the Ciex Report except on the issue of the Absa lifeboat in which there were question marks or benefit of doubt, as to whether is was legal or not & whether it was done in the interest to protect our banking sector from possible collapse.

    #That resulted in the Governor of SARB, Tito Mboweni, appointing a panel of experts on 15th June 2000 to investigate Sarb`s role with regards to the financial assistance package to Bankorp Limited.

    Take special note that Mboweni instructed ”the Panel” & appointed Hon Judge Dennis Davies to head the investigations.
    Also take special note of the Terms of Reference given by Mboweni numbered 1-5 on the report. You will see that the Panel interpreted the terms of reference to include the agreement between Sarb & Absa which was only concluded in 1994 as a result of the acquisition of Bankkorp by Absa in 1992.

    Correct me if I am wrong, the above was not a commission but Tito Mboweni `s initiative in his capacity as the Sarb Governor which is a public entity & not part of Government. It was therefore a Mboweni initiative that was intended to finally bury the whole matter of the lifeboat, to discredit the Ciex report & Heath Commission & to please Sanlam. They did praise him for it… why?

    While busy with this initiative to clear all Absa shareholders (Remgro and Sanlam) of any wrongdoing and cover-up the benefits they earned, why did he not find it proper to include the bonds that the same institution he represented (Sarb) gave ABSA in a secret deal and in total favour to appoint them as Brokers? This favour earned ABSA & its shareholders & executives hundreds of billions over the trade period of those bonds.  SARB’s continued permission to allow ABSA to forex trade with the proceeds of this trading account- an act called “Churning” – is a breach of securities law in many jurisdictions, and it is generally actionable by the account holder for the return of the commissions paid, and any losses occasioned by the broker’s choice of stocks.

    In conclusion I put it to the PP that you failed to appropriately & impartially deal with the biggest international corruption, economic terrorism or financial terrorism which was orchestrated specifically for the economic de-stabilisation by the Afrikaner Broederbond.

    This was done “economic warfare style” which is undertaken by states against other states. Economic warfare aims to capture or otherwise control the supply of critical economic resources so that the military and intelligence agencies cannot operate at full efficiency or to deprive enemy forces of those resources so they cannot function properly. This entailed varied, coordinated and sophisticated or massive de stabilizing actions in order to disrupt the economic and financial stability of the State of the RSA.

    The OPP will go down in the history of this country as having sided with this group of Criminals. It will go down as an institution that failed & robbed the people of this country from knowing the truth which the TRC omitted to investigage, which is serious economic crimes committed by the Apartheid Govt and its impact on today’s democracy.

    The OPP must now release the Biased, Selective report of the ABSA lifeboat and allow us to challenge it at the highest level including but not limited to the ConCourt.  As I mentioned this was a serious international economic crime which has the potential to bring this country down to Zero economically.

    This WhiteWash report should have been released in August 2011 already as there was absolutely no investigation that was needed for the OPP to come out with partial findings on this matter. It was a straight forward case. But the OPP played mind games with the public of this country to make them believe that deep investigations were being carried out. I and many other intelligent people in this country will not buy into that!

    Please on release of the WhiteWash report give & disclose the cost of this investigation over the five year period as you claimed to have worked on it. We want to know who the external service providers are, what they actually did and how much they were paid.

    If we are serious about dealing with corruption in this country, which your office is mandated with, then we must stop being selective! Let’s deal with corruption as a whole. Corruption has no color or ethnic group nor Culture.

    J.E.Koorbanally

  • Madonsela will not ask White Capitalists to PAY-BACK-R26bn they stole – +/- R60bn in today’s evaluation

    By Pinky Khoabane

    PRETORIA, SOUTH AFRICA – JULY 14: Public Protector Thuli Madonsela announcing her findings on scandalous lease dealings at the National Press Club on July 14, 2011 in Pretoria, South Africa. (Photo by Gallo Images / Foto24 / Liza van Deventer)

    Cry my beloved country. Apartheid’s looters continue to be protected in Democratic South Africa. The latest in an avalanche of state capture by white capitalists and colonialists who have been allowed to escape accountability will be presented by Public Protector Thuli Madonsela before she leaves office.

    Her office has confirmed she will not pronounce on the recoverability of the R26bn stolen by the apartheid government, the R3.2 illegal lifeboat given to Absa by the South African Reserve Bank (SARB) and the theft of bonds which were issued to Absa to trade with and from which ABSA shareholders and senior management raked in billions in commission.

    Several investigations into ABSA’s gift from SARB in the form of a lifeboat have found the conduct illegal, unlawful and irregular; Ciex, Judges Willem Heath and Dennis Davies have all found the same. The only difference is that Davies’s panel stated that ABSA had paid back the money but concluded it would be difficult to determine the benefit or gain to the shareholder.

    In contrast, Ciex and Heath were consistent in finding the shareholders and senior management to have benefited from brokerage fees and commission and recommended ABSA pays back the money.

    At the time of filing this article, I was not able to speak to Hoffman for his explanation on why he chose to have only R3.2bn investigated when there was large scale looting. The explanation that it was low lying fruit suggests he included its recovery.

    A bit of background into ABSA’s gift from Reserve Bank (An excerpt from an earlier post on Uncensored)

    “Through the years, Bankorp struggled as a bank. Back in 1985, the Reserve Bank provided a ‘lifeboat’ (Dudu Myeni (SAA Chairperson) type of guarantee) of R300 million to Bankorp. Five years later, the bank was in trouble again. But luckily for Bankorp, a guy named Chris Stals had been appointed as the Governor of the Reserve Bank in 1989. Stals’ father had been a leader of the Broederbond and Chris was also a member. Chris invited Anton Rupert (Volkskas benefactor) to join the board of the Reserve Bank. Now, the Reserve Bank is responsible for setting the rules for all the banks and treating them all equally. But because this is South Africa, Bankorp was ‘advised’ by Sanlam to request ‘assistance’ from the Reserve Bank. This was illegal. So in a carefully-structured transaction, Chris Stals used his discretion as the governor to advance R1.5 billion to Bankorp at an interest rate of 1% per annum.

    Bankorp took the R1,5 billion and split it into two. R1,1 billion was invested in government bonds that generated returns much higher than the 1% fee. And the R400 million? It was deposited with the same Reserve Bank that had provided the facility and the interest rate to be earned on the R400 million was a remarkable 16% per annum”.

    In fact, Ciex mentions that ABSA had begun to make provisions for repayment. The big question however is why the Heath and Davies’s Panel of Experts omitted to investigate the ABSA bonds, which Ciex mentions on Page 25 of the report?

    The big question that still remains is why these investigations didn’t extend to the bonds ABSA received or the corruption involving the R400m mentioned above.

    A showdown is looming (my words) between the Public Protector and forensic investigator, Jeff Koorbanally, a complainant in the matter of the maladministration and corruption by both the apartheid and current regime which involved the awarding of ABSA bonds by the SARB.

    The Public Protector’s Office has confirmed the investigation relating to CIEX would focus on Advocate Paul Hoffman’s complaint on the ABSA life boat and related to the conduct of democratic SA’s response to the information that the money could be recovered. How shameful. Madonsela will only seek to know why Presidents Mandela and Mbeki didnt recover the money and not go further and be bold enough to ask white capitalists to repay the money.

    The latest in a series of correspondence to Madonsela and others, Koorbanally states:

    “Firstly let me clarify that all my emails sent to your office on the matter reported by both Adv Hoffman & myself while being separate matters, they do have a common denominator.

    That denominator in both involve improper conduct by  Govt (Finance Ministry/Treasury), Absa & Sarb as revealed by the Ciex Report.

    Secondly I want to state that all the content of my emails is in no way intended to influence your office impartiality on these investigations & findings, but merely to point out the facts of the matter, as firstly being the official complainant of Maladministration on same & secondly as I have spent 8 years of independent investigations on the same.

    Accordingly I have directed your office to the correct direction of the investigations namely Govt bonds, being the main tool/instrument of this corruption.

    I have given your office names of all the individuals & institutions implicated in the corruption, i further gave your office specific details of the information to be subpoena(ed) and from whom”.

    Warning of Bias

    “It therefore (is) my strong submission that any findings that will exonerate Absa & Sarb Shareholders & Executives from the Liability of paying these benefits/rewards based on Chris Stals testimony will be bias(ed) and be an insult to our judiciary/justice system.

    It will further create the perception that the OPP is not fully independent or impartial in certain investigations as currently seen in the media…..” he adds.

    Alleged complicity by democratic SA

    Koorbanally names democratic SA’s former presidents and current and former cabinet ministers as having known of the corruption. It is common cause that in the initial stages of our democracy, former finance minister and now employee of the Rothschild banking dynasty called for repayments. It is also common cause that his now wife, Maria Ramos, was appointed on Johann Rupert’s Sanlam and Remgro boards and eventually became the CEO of ABSA and Barclays Africa. Manuel, conveniently forgot the loan and many others. In the next post, we link who’s who in the memory loss of this saga.

     

  • ALL Eyes on Thuli this week: Will Apartheid looters #PAYBACKTHE MONEY

    By Pinky Khoabane

    PRETORIA, SOUTH AFRICA – JULY 14: Public Protector Thuli Madonsela announcing her findings on scandalous lease dealings at the National Press Club on July 14, 2011 in Pretoria, South Africa. (Photo by Gallo Images / Foto24 / Liza van Deventer)

    WHAT took Public Protector Thuli Madonsela five years to investigate must be presented this week as her term of office comes to an end. She had promised that she would release it before she leaves.

    Madonsela will present the much-awaited report into why former President Thabo Mbeki didn’t collect the R26bn stolen by the apartheid government towards the end of the apartheid era but more importantly whether the money can be recovered. UnCensored has been reliably told that the delay into the investigation came from Finance Minister Pravin Gordhan and former Reserve Bank Governor, Gill Marcus, who wouldn’t co-operate with the investigation.

    The theft is detailed in a Ciex report which was compiled by a UK based intelligence agency at the behest of the democratic government.

    Ciex details how the apartheid government looted state coffers ahead of the democratic dispensation through various means including corrupt banking and financial systems, illegal lifeboats and subventions by the South African Reserve Bank (SARB).

    The first phase of the project was to recover approximately R15 billion; R3.2 billion from ABSA, R3 – 6 billion from Sanlam and Rembrandt now Remgro, and about R5.5 billion from Aerosptiale/Daimler-Chrysler.

    The report exposed an “illegal gift” of R3.2 billion to Bankorp which was later bought by ABSA and “dressed up as a lifeboat” organised by then Reserve Bank Governor Chris Stals in concert with Marinus Daling, ABSA’s CEO Danie Cronje and Anton and Johann Rupert”.

    The complaint was lodged by Advocate Paul Hoffman who at the time, convinced Madonsela that the R3.2bn lifeboat to ABSA would be quick to recover as it was not contested by the parties and was therefore “low lying fruit”.

    And indeed, the question is why it has taken the Public Protector this long since the investigation into the R3.2bn had been thoroughly investigated and found to be unlawful and illegal by three different inquiries. Apart from the Ciex report, a commission by Judge Willem Heath also found the lifeboats to be unlawful and illegal. The Panel of Experts headed by Judge Dennis Davis found the lifeboat to be irregular.

    All Madonsela really had to do was to determine why the money wasn’t collected and whether it could still be collected and make a recommendation. In my humble view, I cant see why it couldn’t. ABSA the CIEX report says, had already made provision to repay the money.

    So why wasn’t it collected?

    Alongside Hoffman’s case is one which has been kept away from the public, not that the entire Ciex report and the investigation has been given the publicity that other investigations by the public protector have received. It was lodged by private forensic investigator Jeff Koorbonally. His is on the corruption and maladministration of both the previous and current governments. He lodged his case with the public protector in 2011 and later joined forces with Hoffman and their cases have become one. Nowhere, until now, had I heard of Koorbonally’s case and I have spoken to the Public Protector and her office on this matter. Koorbonally accuses former Reserve Bank Governor Chris Stals together with his precedessor, Dr Gerhardus De Kock and apartheid-era finance minister Barend Du Plessis of having orchestrated economic or financial terrorism. “This was done ‘economic warfare style’ which is undertaken by states against other states. Economic warfare aims to capture or otherwise control the supply of critical economic resources so that the military and intelligence agencies can operate at full efficiency or deprive enemy forces of those resources so that they cannot function properly,” he says.

    The forensic investigator alleges that in December 1984, money from Britain was deposited into Barclays Bank, at the time when it was being liquidated “and for whatever reasons SARB and the apartheid regime accepted the money into the country then blocked and froze it. Between January and June of the following year, they illegally invested it into government bearer bonds,” he says.

    Two years later, the apartheid regime amended the Foreign Currency Exchange Act, that would effectively legitimise their illegal conduct. “They referred the funds to the special restricted account Antre code 0000/4444 currently under the custodian of SARB,” he adds.

    The bonds were allegedly given to ABSA in 1995/6 to trade with. The investigator says the dormant Antre code dormant account 0000/4444 was traced on Absa’s international Forex environment database at Absa Towers in Johannesburg. Absa he claims, is using it as a trading account on stock market and forex trading.

    In emails to Madonsela, Parliament and Treasury, Koorbanally reminds them that he had since 2009 been calling for the full audit of bonds issued from 1985 to 1999 which was the end of Stals’s term of office.

    “To date Finance Ministry and Treasury have done nothing about it, why? If they don’t have the resources and have nothing to hide I offer my expertise as a Certified Forensic Auditor at Zero Cost and I can produce a full detailed report within a day or two & have it verified and certified by any auditing firm of their choices”.

    In the same email, he names current and previous cabinet ministers and reserve bank governors whom he accuses of being complicit in the cover-up of this money. UnCensored will release the names once the named people have had an opportunity to respond to the allegations.

    In another he pleads with the Public Protector to get a statement from Stals, who in an earlier email, he described as one who was “no angel’. To make his point he refers to the Supreme Court Justice HC Nel’s damning report issued in November 1997 on Stals’s reign at the Reserve Bank in which he called for his influence on the South African business community to be “eradicated”.

    The Public Protector has always maintained that she couldn’t investigate things that occurred prior to her office hence she couldn’t investigate the apartheid-era theft. But Koorbonally counters: “The source of Corruption/Maladministration in my matter reported to your office was Sovereign Bonds, which were identified by the secret Antrecode dormant account 0000/4444 linked to Absa Forex, of which same is under the custodian of Sarb on behalf of Treasury & these bonds were further revealed to government (Finance Ministry & others) in 1996/7 by the Ciex report on page 25.

    “While the irregularities with these bonds originated in the Apartheid Regime era 1985, the more serious aggressions of corruption/maladministration which constituted an illegal act of money laundering into financial markets only took place during the Democratic Era in 1996-2010 & further). This period fell within the scope/jurisdiction of the formation of the OPP (Office of the Public Protector)”. The Bond Exchange of South Africa started trading in financial markets from 1996.

    The forensic investigator has taken his matter to many institutions both here and abroad including ABSA, Financial Services Board (FSB), finance ministry and Treasury, Parliament (SCOPA), the Mbeki and FW De Klerk Foundations.

    Like those of us who’ve watched and followed the case closely, Koorbonally will be waiting to see if Madonsela forces the looters to payback the money and hold accountable those who chose to turn a blind eye and be complicit to this massive corruption.

    References: https://en.m.wikipedia.org/wiki/Bond_Exchange_of_South_Africa

     

     

     

  • How did we give power to people who poisoned, burnt & threw our ashes in rivers?

    By Pinky Khoabane

    solomon-mahlangu Solomon Mahlangu

     

    As the African National Congress continues to reflect on the events of August 3 2016 and its outcomes, it must deal with the painful question of what it is about us as Blacks and Africans in particular, that we have so swiftly forgotten from where we have come and just as importantly, why it is that the cadre that has gone into office has not governed despite the overwhelming mandate given to them by the people of this country.

    What is it about us that in 22 years into democracy we would give over power to people who not so long ago were oppressors and were beneficiaries of the colonial and apartheid political and economic systems and to this day continue to benefit from these grotesque systems?

    Why would the citizens of eBhayi hand-over power to oppressors? Let’s just for a moment forget about the farm workers who were literally slaves on the farm of current mayor, Athol Trollip and talk about the history of killing activists in that province while Trollip did nothing but benefit from a system that structurally and physically persecuted and prosecuted us for nothing else but having a darker shade of skin.

    siphiwo-mthimkhulu Siphiwo Mthimkhulu

    Why have we forgotten Siphiwo Mthimkhulu and Topsy Madaka? Mthimkulu was a youth activist in Zakehele township near Port Elizabeth. He joined the South African Students Movement in 1977 and was arrested two years later for possession of banned literature. He was 19 years old when he first went into prison. 1981 was to be a year in which this young activist’s life took a turn for the worse and his life, a year later. South Africa was celebrating twenty years of being a Republic and the ANC needed to thwart the celebrations. Mthimkulu was tasked with distributing the pamphlets explaining the 3-day stay away. The young activist had always been a target of apartheid’s security police and he was finally tracked down, shot and detained for five months. In that time he, like most activists, endured the most grotesque human rights violations. He was poisoned and tortured but he pushed the apartheid government too far when he sued. A year later he disappeared with a colleague, Madaka. A Truth and Reconcilliation Amnesty application by Gideon Nieuwoudt, Nicolaas Janse van Rensburg, Gerrit Erasmus and Hermanus du Plessis revealed what happened to the two young men. According to their information, on 14 April 1982, Mthimkhulu and Madaka were lured to an abandoned police station called Post Chalmers, near Cradock. They were then drugged with coffee laced with sleeping tablets. Once they had passed out, they were shot, their bodies burned for six hours through the night.

    Six hours they burnt these children. The next morning, their ashes were thrown into the Fish River. The TRC was happy that this was a full disclosure and granted these evil men amnesty. And so they walk among us freely.

    How do we forget these two children? How do we forget these evil men and the system for which they served and the people including the now Democratic Alliance (DA) that helped this evil system? What is it about us that we can accept this level of evil?

    pebco-three

    Have we forgotten the Port Elizabeth Black Civil Organisaton (PEBCO) three? Sipho Hashe, Qaqawuli Godolozi and Champion Galela brutally killed by Vlakplaas security police. The same unit that killed Mthimkulu and Madaka and many others. Their bodies were burnt and thrown into the Fish River.

    steve-biko Steve Biko

    How do we forget Steve Biko and give eBhayi to the oppressor? His life, unlike that of Mthimkulu and the PEBCO three is well documented. What is it about us and our memory that we forget and hand-over power to the people who denied us dignity and killed us in this most horrendous manner when we fought against it.

    The ANC must ask itself what it is that made the people of Tshwane hand-over power to people who condoned the killing of Solomon Kalushi Mahlangu. Ironically, the same people, Economic Freedom Front (EFF), who handed power to the oppressor tried to annex Mahlangu’s role in the liberation of South Africa. According to SA History: “Solomon Mahlangu was tried from the 7th of November 1977 to the 1st of March 1978, for charges associated with the attacks in Goch Street in June 1977. He was therefore charged with two counts of murder and several charges under the Terrorism Act. Mahlangu pleaded not guilty to the charges. His council stated that he entered South Africa in June 1977 as part of a group of ten, bringing arms, ammunition, explosives and ANC pamphlets into the country.

    “The judge accepted that Motloung was responsible for the actual killings, but since he had been so brutally beaten during the course of his capture, he had suffered severe brain damage and was unfit to stand trial. However, as common purpose had been formed, Mahlangu was therefore found guilty on two counts of murder and three charges under the Terrorism Act. He was sentenced to death by hanging on 2 March 1978”.

    The people of Tshwane, despite the issues they may have had with the ANC, don’t remember what their oppressors did to Mahlangu and to them by extension? The EFF will gladly steal Mahlangus’ activist credentials but will not account for deceiving him by giving away liberation to the people that hung him.

    We must dig deep within ourselves as Blacks and ask how it is that a township so steeped in the history of oppression, indignity, injustice and activism gave away its freedom to Herman Mashaba, a man who has no political history but whose fame comes purely from the erasure of blackness. This is a man that burnt our scalps so that we could look white. He has now come out and joined a white neo-liberal party and is the mayor of Johannesburg.

    We must ask what it is about us that we can give-away our liberation, our freedom to one with so deep a history of self hatred and that of his race.

    We must ask ourselves what it is about us that we can give power to the oppressor no matter what skin it’s dressed in.

    It is painfully sad that a report by a BEE Commission comprised of Black people who knew and had suffered under apartheid was eventually watered down to the crumbs that have in the 22 years fallen off the white-man’s table to Blacks. BEE became WEE (White Economic Empowerment).

    We must then ask what kind of Black man and woman is in the ANC government to which Blacks have given a mandate to change the lives of of Blacks, who appoints white consultants to change the work of the disadvantaged Blacks who work on these commissions?

    The ANC government has adopted legislation that works against Blacks and we must ask why? The Preferential Procurement Policy Framework Act (PPPFA) gives 90% weight to price and 10% to issues of previously disadvantaged people. How is Pinky ever going to beat Piet with 350 years of advantage? This effectively allows whites to continue to dominate as suppliers of government tenders. In fact, whites despite their arrogance which is propped-up by neo-liberal media continue to be the majority beneficiaries of government tenders.

    What is it about us, that despite the education we have had even outside the borders of this country, continue to pander to whites, white capitalists and assist in protecting white supremacy?

    The ANC is faced with many problems which include addressing the issue of the cadre that sees the organisation as a means to a better life for themselves, arrogance by the branch leadership and an organisation that has only itself to blame for its woes.

    But more than anything else, it needs more than ever, to begin to adopt the teachings of Steve Biko. What we need in this country is for a resuscitation of Black Consciousness. Until we believe in Black Excellence, Black Pride and Black Unity, we will put in office fly-by-night house negroes like Herman Mashaba who will return us to an era for which our ancestors fought so gravely against.

     

     

     

     

     

     

  • Are BEE beneficiaries of Mbeki-era standing in the way of transformation?

    jay-naidooJay Naidoo of J&J Group.

    The Maytrix argues that the comrades of yesteryear who are now sharing boardrooms with the oppressor have themselves begun to block the transformation agenda to protect their profits.

    In a series of articles, he uses Pep Guardiola’s usage of Leo Messi as a False 9 to beef-up the midfield and destroy the opposition to explain South Africa’s economic set-up in which white capitalists use a few blacks as their False 9’s to preserve white privilege.


    Chairperson of South African Airways (SAA) Dudu Myeni recently complained that she’s being hounded for transforming SAA’s procurement spend to empower black business. It has recently been revealed that only 2% of SAA’s spend goes towards black businesses.

    Just over two decades into democratic SA we sit with appalling levels of participation by blacks in the economy despite the fact that the majority have empowered the ruling party to improve their lives and go beyond the current cosmetic rainbow nation-talk.

    As seen with the Airbus saga, SAA has now developed the courage to start asking suppliers to be black-owned. Myeni wants SAA suppliers to have black majority shareholding.

    Elsewhere, Eskom’s Chairperson Ben Ngubane says they are being hounded for transforming Eskom’s procurement spend.  Such is the resolve to include black business as part of their suppliers, the group’s financial statements reflect the amount spent on black-owned suppliers against a budget of 40%. This is a refreshing practice given the elusive economic transformation that our black leaders have been preaching for decades now.

    SOEs are effectively putting the rhetoric to practice. They are adding key performance measures to actually make the rhetoric meaningful and are facing an avalanche of unrelenting storms aimed at destroying anything with a hint of transformation in it.

    Let’s look at the case of Mango for example. When the airline wanted to extend the Macquarie aircraft lease deal, SAA rejected the deal and asked for Macquarie to furnish empowerment credentials. Right wing media along with the Democratic Alliance cried foul and began a fear-mongering campaign around SAA’s failure to sign the deal that could save billions.

    Contrast this outcry to Eskom’s efforts to cut costs on coal by using Tegeta.

    But back to SAA, wouldn’t you want to be Macquarie? Imagine receiving this sort of protection whereby the media goes up in arms when clients refuse to give you deals? What has also gone unnoticed is that former cabinet minister in President Nelson Mandela’s cabinet, Jay Naidoo and Ketso Gordhan, Pravin’s nephew, have a stake in Macquarie through J&J Group. Mango wanted the SAA board to recommend the Macquarie lease deal to Finance Minister Pravin Gordhan. The Public Finance Management Act (PFMA)  is seemingly being used to elevate Gordhan’s role to that of a parallel president who dictates to arms of government on who they may or may not do business with. All of this is done under the guise of financial prudence.

    Away from the smokescreen is the Ketso and Pravin conflict which is already apparent. Pravin is Ketso’s uncle.

    Even if it wasn’t, let’s proceed to entertain our use of False 9s in retaining the status quo. Macquarie have a Gordhan and Naidoo to protect their business interests against transformation. It sounds absurd because it really is.

    Gordhan and Naidoo should be symbols of transformation. But instead, Macquarie can just send them to snipe away any Myeni that dares to impose conditions of black-ownership on any deals that SAA entertains. If you are Naidoo and you co-founded J&J Group for profit, you dare not sit back when the profit is threatened because government wants to transform the economy.

    When announcing their recent financial results, Eskom announced that its lawyers have come to a determination that the utility has considerable assets within the coal mining sector. Companies such as Exxaro and Anglo American are among those whose mines potentially belong to Eskom. The targeted mines are those that Eskom subsidised in order to get them operational. Effectively, the advance payment that the utility gave to Tegeta as part of the coal deal with the miner, is not unique to Tegeta.

    Eskom have done the same for giants like Anglo American. What is important though is that this state-owned entity owns mines. Side-note: Perhaps the call for nationalisation is mute when it comes to coal, to an extent.

    While most efforts to transform the country are met with antagonistic cries about ‘populist policies which may scare-away investors’, it turns out the public tend to invest a lot in the private sector. Eskom’s funding of coal mines as part of it’s coal supply agreements (SCAs) is effectively a form of investment in the mining sector. Now, for a country that talks black industrialization, an entity such as Eskom is primed to facilitate such. What stops Eskom from funding coal mines to black businesses as part of the SCAs?

    The 25% that gets supplied by Anglo could be coming from black-owned coal mines. Think for a minute at the ease with which this can be done. Black industrialists have operations setup with the help of SOEs that later become the client. No rocket science here. But somehow, we are being led to believe that these types of transactions are so complicated that you need centuries of generational experience to pull them off.

    Anglo-American signed a BEE deal with, among others, Zanele Mbeki, the wife of former president Thabo Mbeki through Anglo Coal Inyosi, during the same period that the banking deals were signed by the same Zanele Mbeki along with the other businessmen close to the former president. It is very easy for any attempt by Eskom to transform coal supply to black-owned business to be regarded as an attack by the Mbeki-aligned businessmen.

    They are already entrenched in the very system that the current administration appears hell-bent on transforming. It is no surprise that Anglo beneficiary, Sipho Pityana, has now morphed into an anti-government critic who goes as far as mobilising business to effect regime change. The government that is being attacked by the likes of Pitjyana is finally using it’s power to effect economic transformation. That unfortunately comes with a shake-up in key sectors such as mining. Anglo are very unhappy about Eskom’s plans to put the coal mines it funded onto it’s balance sheet, where they belong. This has the potential effect of eating into Anglo’s profits, which directly affects the dividend payouts that the Mbeki-era beneficiaries could use to go cash-positive on their deals. Zuma must fall. He’s hurting the status quo, which desperately needs a shake-up in order for the country to move forward and realise it’s full potential. It is very clear that the transformation agenda has many False 9s fronting the defence of, instead of attacking, our racialised economy. As a black person I say “our” economy with half-heartedly because it doesn’t represent me at all.

  • Hlongwane’s letter leaves DA, Madonsela and Media in a fix

    By Pinky Khoabane

    fana-hlongwane

    The man who is said to have fixed the meeting between the Guptas and Deputy Minister Mcebisi Jonas, has finally broken his silence leaving the Democratic Party (DA), Public Protector Thuli Madonsela and the media in somewhat of a pickle.

    Here’s the dilemma for the DA. It had hoped the deputy finance minister, who has been portrayed as a flawless and squeaky clean politician since the Gupta job-offer allegation, had not met the “controversial” businessman.

    Will DA ask Jonas to explain himself 

    At the time the story of the Guptas job offer to Jonas broke, the DA said it would bring the allegation of Hlongwane’s involvement to the attention of the Hawks who had been investigating the Guptas for corruption. But more seriously: “However, if Fana Hlongwane was the “fixer”, the Deputy Minister is going to have to explain how a person who holds high office, such as himself, came to be associated with a controversial person, who was at the centre of the arms deal scandal,” the DA’s David Maynier said at the time.

    “The fact that Fana Hlongwane may have been involved could go some way to explaining why the Deputy Minister has refused to make a public statement, setting out all the particulars relating to his alleged meeting with Gupta family members, on or about 27 November 2015.”

    But here’s the bombshell. Hlongwane and Jonas were business partners, according to the former, which may explain why the deputy finance minister may not have wanted to divulge too much detail about that meeting.

    In a letter to the Public Protector which has now been leaked to The Citizen, Hlongwane confirms he was present at the much publicised meeting at which the Guptas allegedly offered Jonas the post of finance minister after former Finance Minister Nhlanhla Nene was fired.

    Job offer a lie

    He however denies an offer for the finance minister job was made. Describing their relationship as a business partnership and Jonas as someone he had known “for some time”, Hlongwane says he’d been at the Sandton hotel to meet the deputy finance minister on a matter relating to statements that the latter had made. Hlongwane says Jonas had made statements that he (Hlongwane) was blackmailing him and he had asked Duduzane Zuma to convene a meeting between the two.

    It’s this allegation of a government job offer that prodded Vytjie Mentor’s memory of a similar offer made to her by the Guptas some years ago. The result was a public outcry that has now led to the state capture probe by the public protector.

    Madonsela had pleaded poverty ahead of the complaint to investigate the Gupta’s influence on government but Treasury offered her the money. She has rushed to conclude this investigation which somehow suggests she comes into the investigation with a set outcome.

    The media will no doubt be scrounging around for evidence to completely discredit Hlongwane, it will be interesting to see if their self-righteous DA masters will remember to ask the deputy finance minister to explain himself or if any of them will institute an investigation into Hlongwane’s allegations that Jonas is a liar.

     

  • Radical economic transformation requires more than repealing percentages of state procurement

    images-3

    The President’s pledge to repeal the Preferential Procurement Policy Framework Act (PPPFA), although commendable, doesn’t go far enough to bring about radical economic transformation, argues Mxolisi ka Nkomonde

    State Owned Enterprises (SOEs) have since 1948 until 1989, been the engines of Afrikaner nationalism but most were deliberately weakened ahead of the takeover by majority rule so as to prepare them for sale to British and verligte Afrikaner elite and a small Black buffer class under the banner of Black Economic Empowerment (BEE).

    However the large SOEs such as Eskom, Transnet and SAA remain as public entities but they have not been able to facilitate the economic upliftment of the Black majority due to weak policies adopted by the ANC.

    President Jacob Zuma made a pledge to repeal the Preferential Procurement Policy Framework Act (PPPFA) because it is one of the obstacles in changing the ownership and control of South Africa’s economy which largely remains colonial. The President’s call is commendable but it’s only the beginning; the 30% of contracts above R30million  that will be set aside for small to medium-sized businesses owned by women, youth, Blacks and people with disabilities can only work in the short run.

    The problem in South Africa stems from the cartels in mining, banking, agriculture and manufacturing which are currently controlled by large Johannesburg Stock Exchange listed firms which are 99.4% controlled by white minority.

    These cartels control value chains in the South African economy. The proposition to merely change the percentage of contracts targeting Black business at state procurement level is not sufficient to bring about the required “radical economic transformation”. The state will have to take greater steps in restructuring the economy using other instruments since 25% of Gross Domestic Product is in the hands of the state while 75% is controlled by the cartels which feed into the state procurement system.

    State entities such as Industrial Development Corporation (IDC), Land Bank, Public Investment Corporation (PIC) and National Empowerment Fund (NEF) are currently entrenching the colonialstructure of the economy largely controlled by the cartels as the requirements to access finance, technological advancements and other economic tools favour established businesses which are owned and controlled by the white minority. The community and economic development clusters of the government need cohesive and cogent policy to arrest this problem such as strengthening Local Economic Development Agencies at municipal level instead of the “trickle down” neoliberal strategy which has dismally failed over the last 20yrs.

    The problem with the “trickle down” neoliberal strategy is that white controlled cartels are replaced with Black controlled cartels but solely at state procurement level which doesn’t help with dismantling the colonial structure of the economy. The President is willing to change the economic structure but society needs to interrogate the different structures of government to make it a sustainable and prosperous reality for Black majority.

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