IDC’s List Of Funded Companies Reads Like The Who’s Who Of The Politically Connected

By Pinky Khoabane

THE Industrial Development Corporation (IDC)’s list of companies funded in the last year is dominated by government officials and politically connected people. The decision to disclose the names of its clients was taken last year in “the interest of transparency” following revelations that the institution had funded the Gupta-family’s Oakbay for its purchase of the Shiva uranium mine.

The list, published under the heading: DISCLOSURE OF IDC FUNDED BUSINESS PARTNERS FROM 1 APRIL 2017 – March 2018″ has a section for the disclosure of “prominent influential people” involved with the funded organisation. This reads like the who’s who of SA’s politically connected people, with some of the names being former IDC executives, government officials and former board members of state owned entities (SOEs).

The list brings into scrutiny, the Public Administration Management Act which was established to tighten the conduct of public servants and to send a clear message that “corruption, maladministration and unethical conduct by public servants would not be tolerated,” the Department of Public And Service Administration said at the time. There were proposals to institute a blanket ban on all contracting by public officials with the State, this in light of amongst other things the constitutional guarantee of fair and competitive public procurement. In particular, Section 217 of the Constitution requires that when an organ of State contracts for goods or services it must do so in a manner that is fair, equitable, transparent, competitive and cost-effective.

The proposal to introduce a cooling-off period was a necessary measure to ensure public servants didnt manipulate government tenders to favour firms they would be joining once a lucrative tender was secured. In some cases, public servants leave the employ of government and join firms with whom they had done business while in government. A case in point is the former head of procurement at Treasury, Kenneth Brown, who left the ministry under a cloud to join Standard Bank. At the time of his departure Brown was being investigated for several deposits, amounting to approximately R1million, made into his account

UnCensored contacted IDC to ascertain the role or importance of the list of “prominent influential people” in the awarding of the funding, if any. A representative promised to get back with information but had not done so at the time of filing the story. We will update when we receive the response.

Here are some of the companies which received the billions in funding from the IDC and PIPs attached to the recipients. A full list is attached below.

  • Setanta Investments (Pty) Ltd 2017/06/26 which is in the “Light Manufacturing & Tourism sector, received R26 900 000. Under its influential people are:
    • “Romeo Khumalo is a former member of the Board of Eskom
    • Basetsana Julia Khumalo is regarded as a prominent influential person by virtue of her marriage to Rome Khumalo
    • Sipho Eric Sono is a former member of the Board of TCTA
    • The three are shareholders in a company that is to manage the hotel owned by Setanta Investment”
  •  Basil Read Mining Namibia (Pty) Ltd received R90 000 000
    • Paul Cambo Baloyi Is a former executive at the DBSA
    • Andrew Conway Gaorekwe Molusi is a former member of the Board of Petroleum Oil and Gas Corporation of South Africa
    • Doris Liana Theresia Dondur is former Board Member at Trans- Caledon Tunnel Authority
    • Claudia Estelle Manning is a former member of the Board of the PIC
    • Sango Siviwe Ntsaluba is a former board member of National Energy Regulator of South Africa (NERSA) and National Housing Finance Corporation (NHFC)
    • Mthawelanga Webster Mfebe is as former Board Member at Trans- Caledon Tunnel Authority
    • Talib Sadik is former CEO of Denel All the listed individuals are members of the Board of Basil Read Holdings Limited, the ultimate shareholder in Basil Read Mining Namibia 37
  • Basil Read Limited appears three times on the list. The influential persons listed are the same as those listed under Basil Read Mining (Pty) Ltd
  • Duferco Pty Ltd
    • Hugo Swift is a board member of Duferco Steel Processing (Pty) Ltd.
    • Sciortino Benedict John is a former board member of Duferco Steel Processing (Pty) Ltd. Duferco Steel Processing is 50% owned by the IDC and considered an SOE.
    • Toyi Lindiwe is a non-executive director of the Public Investment Corporation
  • Comsol Networks (Pty) Ltd 2017/09/11 received R30 000 000
    • Andile Abner Ngcaba – is a former Director General of Communications in the first democratically elected government of South Africa in 1994.
  • Mzimkhulu Mining received R118 000 000
    • Thembani Attwell Piyose is a board member and company secretary of African Exploration Mining and Finance Corporation and former assistant company secretary at Airports Company South Africa Limited
    • Mpoti Moalusi is a member of the board of Directors of African Exploration Mining and Finance Corporation SOC Ltd
    • Juneas Masekela Lekgetha is a board member of African Exploration Mining and Finance Corporation (SOE)
    • Pitsi J Mnisi is a Director of African Mining& Finance Corporation (SOE)
    • Mojalefa Moagi is chairman of African Exploration Mining and Finance Corporation SOC Ltd
    • Batandwa Mdyesha is a Director and general manager of African Exploration Mining and Finance Corporation
    • Sizwe Madondo is a CEO of African Mining and Finance Corporation
    • Bheki Ernest Khumalo is a former Chairperson of the North West Development Corporation; former director of the South African Broadcasting Corporation Limited (SABC).
  • Project Libra NewCo (Pty) Ltd
    • Pius Sosthenes Mokgokong previously served as a Board Member of Alexcor.
    • Nkosohlanga Rhodes Mboniswa is a former Chief of Staff in the Eastern Cape Department of Economic Development
    • Mokgadi Tlale David is a designated as an ‘’expert’’ board member of the Mineral and Petroleum Board.
    • Sandile Donald Muziwenkosi Zungu is a former Chairman of the Denel board.
    • Anna Theresa Masamo Mokgokong is a former Deputy Chairwoman of the Independent Commission for the Remuneration of Public Office Bearers.
    • Sizwe Welcome Mncwango is a former Chief Executive Officer of the Central Energy Fund and former board member Petroleum Oil and Gas Corporation of South Africa.
    • Vusumuzi Khanyile is a former ANC Head of Finance.
    • Peta Nonceba Mashinini is a former Deputy City Manager, Corporate Services for the Ekurhuleni Metropolitan Municipality.
    • Molefe Samuel Tsele is a former ambassador to Jordan, accredited to Iraq, former ambassador to Democratic Republic of Congo.
    • Gillian Nonhlanhla Jiyane is a former Chairwoman of the Petroleum Oil And Gas Corporation Of South Africa.
    • Sibongiseni Maxwell Dhlomo is a member of the Provincial Legislature for KwaZulu-Natal.
    • Johannes Bhekumuzi Magwaza is the recently appointed Chairman of the South African Airways.


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