Mkhize prepared to appear before PIC inquiry
Minister has been accused in various media reports of getting kickbacks to arrange deals with the asset manager
Co-operative governance minister Zweli Mkhize has once again been drawn into allegations of corruption at the Public Investment Corporation (PIC), but has denied the claims, saying he is willing to give his side of the story to an inquiry into the asset manager if asked to do so. The entire PIC nonexecutive board resigned last week after allegations of corruption against four directors./
Co-operative governance minister Zweli Mkhize has once again been drawn into allegations of corruption in the Public Investment Corporation (PIC), but has denied the claims, saying he is willing to give his side of the story to an inquiry into the asset manager if asked to do so.
The entire nonexecutive board resigned last week, including deputy finance minister Mondli Gungubele, after allegations of corruption against four directors. The nine members said they would stay on until finance minister Tito Mboweni appoints a new board.
Mkhize has been accused in various media reports of getting kickbacks to arrange deals with the PIC, dating back to his time as treasurer-general of the ANC, with the latest report in the City Press accusing him of being a “fixer” for Israeli-based company Tahal. Mkhize told Business Day it was not unusual for companies to sponsor trips during his time at Luthuli House, as reported. But he denied interfering in any PIC deals on behalf of the company.
Mkhize’s name was raised by the former CEO of the company, Neshika Pillay-Naidoo, in a Labour Court application in which she is fighting her retrenchment from Tahal.
Pillay-Naidoo accused her former boss, the now deceased David Hirshowitz, of acting improperly by giving Mkhize R1m and sponsoring his trip to the UAE.
Tahal commissioned an audit firm, SekelaXabiso, to probe the allegations. It found that PillayNaidoo’s allegation was “baseless, misleading and malicious” and that she had first alleged the R1m was destined for the ANC and then that it was intended for “Zweli and his people”.
The Tahal SA board of directors said in a statement that the projects pursued by the company came to nought. It was wound up by the end of 2018.
Mkhize said he had never denied that in his role as treasurer-general of the ANC he met “various stakeholders and representatives of companies”.
“The ANC accepts sponsorships and donations there is nothing wrong with that,” Mkhize said. “In our engagements [with companies], I would encourage them to contribute to the economy and create jobs; Tahal was no different.”
He said he encouraged them to engage with “state-owned entities in sourcing funding and partnering with them”.
“When they inquired about the PIC, I immediately pointed out that they would be best informed if they engaged with the PIC directly,” he said.
The City Press reported that Mkhize was a “fixer” in a number of transactions and alleged that he “stood to earn” millions in the various deals.