‘Bank scheme is to pro­tect ANC big­wigs’

SUG­GES­TIONS IT WILL FALL UN­DER LIM­POPO PROV­INCE DA and EFF have both threat­ened harsh ac­tion if the plan is im­ple­mented.

The Citizen (KZN) - - NEWS - Alex Mat­lala alexm@cit­i­zen.co.za

The Lim­popo ANC’s plan to res­cue the con­tro­ver­sial VBS Mu­tual Bank has been de­scribed as an ANC ploy to pro­tect party big­wigs, en­tan­gled in al­le­ga­tions of con­vinc­ing mu­nic­i­pal­i­ties to in­vest R1.5 bil­lion in the bank, from go­ing into jail.

This is the view of the Demo­cratic Al­liance (DA) and the Economic Free­dom Fight­ers (EFF), with the lat­ter threat­en­ing harsh ac­tion if the plan is im­ple­mented.

On Tues­day, the Lim­popo ANC lead­er­ship marched to Luthuli House, where they asked the na­tional lead­er­ship of the ANC to as­sist in an al­leged move to con­vert the Lim­popo VBS into a Lim­popo pro­vin­cial bank.

Moles within the ANC in Lim­popo said the party rec­om­mended that the bank should be con­verted into a Lim­popo pro­vin­cial bank run and man­aged by the Lim­popo economic de­vel­op­ment agency.

Af­ter hours of de­lib­er­a­tions, Pres­i­dent Cyril Ramaphosa had al­legedly treaded with cau­tion as it had the ca­pac­ity to di­vide the party and bring shame to the Lim­popo ANC and the pro­vin­cial gov­ern­ment. But the move has opened a can of worms for the ANC and the Lim­popo pro­vin­cial gov­ern­ment, run by Ramaphosa’s po­lit­i­cal pro­tege, Premier Stan Matha­batha.

The DA has since brought mo­tions of no con­fi­dence in may­ors and mu­nic­i­pal man­agers who brushed aside a na­tional trea­sury ban against mu­nic­i­pal­i­ties in­vest­ing in the bank.

The DA said the plan had noth­ing to do with res­cu­ing the be­lea­guered bank, but is meant to open doors of loot­ing for the ANC.

“The DA be­lieves that foren­sic in­ves­ti­ga­tions into the VBS scan­dal must be al­lowed to be com­pleted as a mat­ter of ur­gency, and should be done in­de­pen­dently as this is the only way to en­sure ac­count­abil­ity,” DA shadow min­is­ter of co­op­er­a­tive gov­er­nance Kevin Mile­ham said yes­ter­day. .

Mile­ham said the Lim­popo pro­vin­cial gov­ern­ment could not be trusted with money in ref­er­ence to the time the pro­vin­cial gov­ern­ment was put un­der ad­min­is­tra­tion with six of the prov­ince’s de­part­ments be­ing un­able to ac­count for R2.7 bil­lion.

Mile­ham said it was laugh­able that the same gov­ern­ment now wants the failed bank to be con­verted into a pro­vin­cial gov­ern­ment bank.

“The Lim­popo we are talk­ing about has been worst af­fected by the on­go­ing VBS saga, with key mem­bers of the ANC pro­vin­cial ex­ec­u­tive com­mit­tee, trea­surer Danny Msiza and ANCYL sec­re­tary David Se­lan be­ing di­rectly im­pli­cated.”

The EFF shared sim­i­lar sen­ti­ments in a state­ment re­leased yes­ter­day, say­ing the ANC in Lim­popo and the Lim­popo pro­vin­cial gov­ern­ment were ter­ri­fied of their mem­bers fac­ing the law. “That is why in­stead of sav­ing VBS, the Lim­popo ANC now wants to save Danny Msiza and his cronies from go­ing straight to jail,” it read.

“He has now re­alised he is fac­ing the door of pri­son and now he is us­ing peo­ple like party pro­vin­cial sec­re­tary Soviet Lek­ganyane to fight his bat­tles.”

Msiza has since dis­tanced him­self from al­le­ga­tions that he re­cruited may­ors and man­agers from Lim­popo mu­nic­i­pal­i­ties to in­vest with the bank.

ANC spokesper­son Pule Mabe down­played the al­le­ga­tions.

“The meet­ing be­tween the Lim­popo ANC and the NEC was a cour­tesy one. Re­gions and prov­inces visit Luthuli House on lat­eral mat­ters. It had noth­ing to do with the VBS saga or chang­ing the bank to a Lim­popo pro­vin­cial gov­ern­ment bank.” –

He has now re­alised he is fac­ing the door of pri­son

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