Carrim details ‘controversial’ SABC/DStv deal

funds to meet these payments, there is a high risk of the airline defaulting. A default on the government guarantees would have much broader negative ramifications.”

He made the remarks after Myeni allegedly made a failed attempt to persuade him to alter the original SAA/ Airbus swop transaction. She allegedly wanted the government to approve the involvement of the African Aircraft Leasing Company in the deal.

The court also heard that Myeni had already written to Airbus bosses and “unlawfully” informed them about the involvement of the African Aircraft Leasing Company.

Nene rejected Myeni’s proposed deal.

In the letter, Nene wrote: “I have concluded that SAA has not demonstrated that there is certainty that the proposed amendment to the transaction structure would leave the airline in a better financial position than it would otherwise have been had the airline implemented the original swop transaction structure,” Nene said.

He was adamant in his letter that Myeni and her board had failed to provide him with information that their alternative deal would cure SAA’s financial woes.

In concluding his letter, Nene said: “Similarly, a misleading impression was created at the meeting of November 18, 2015, of the standing committee of finance (Scof). Representations were made to Scof that all local banks as well as the Public Investment Corporation and the Development Bank of Southern Africa had expressed an appetite for the deal.

“However, in response to my request that all proposals that have been received be submitted to my office, nothing other than the unsolicited bid from Nedbank has been provided,” Nene said.

In her reply on their failure to sign the deal, Myeni said she did not want a repeat of what happened to SAA in 2001 during the tenure of Coleman Andrews, where the entire fleet of the national airliner was sold and later leased back to them.

“We did not want a similar situation to happen during our tenure,” Myeni said.

The hearing continues.

SIYABONGA MKHWANAZI

PRESIDENT Cyril Ramaphosa has backed a call by traditional leaders to hold a summit on the issue of land this year.

Ramaphosa told the National House of Traditional Leaders in Cape Town yesterday that land was a critical issue for development and reigniting economic growth.

He said the question of urbanisation had pushed many young people to the major cities, and there was a need to fix the economy and address the land question.

“It should be further noted that at

FORMER communications minister Yunus Carrim has described the controversial 2013 deal between the SABC and satellite TV company MultiChoice as an example of “regulatory capture”.

Carrim took the stand at the Zondo Commission of Inquiry yesterday and testified about his knowledge and the backlash he received for his questioning and interrogation of the SABC/ MultiChoice deal.

Carrim was appointed as communications minister in July 2013 and did not return after the 2014 elections.

He broke down the hostility he received when he raised questions about the MultiChoice deal, which was signed two weeks before he was appointed minister.

The deal gave MultiChoice access to the SABC’s archives, and part of the deal was that the SABC would broadcast a news channel on the DStv platform. The deal also resulted in

“We didn’t want a similar situation to happen during our tenure Dudu Myeni Former SAA Board Chairperson

the traditional leaders’ indaba in 2017 it was resolved that there should be a presidential summit on land. I am pleased to say this summit will take place this year,” said Ramaphosa.

He said the National House of Traditional Leaders had been discussing this issue with the Ministries of Cooperative Governance and Traditional Leaders and Agriculture, Land Reform and Rural Development.

He said each traditional house in a province must engage various stakeholders on these matters. This would be in time for the summit later this year.

“The consultations need to be broad and representative and I urge a channel, SABC Encore, which also airs on DStv. The SABC would be paid R553 million over five years.

“It was not just the fact that MultiChoice would have access, it was also that the value of archives was substantially reduced as to what MultiChoice offered. Those archives were probably worth around R1 billion,” he said.

Carrim said what was also of concern was that the deal included a clause that barred the SABC from adding encryption. The former minister said this clause had no basis for forming part of a commercial deal and was an example of “regulatory capture”.

The deal was signed by former SABC chief operating officer Hlaudi Motsoeneng without former SABC chief executive Lulama Mokhobo.

Carrim said his disagreements with MultiChoice on encryption became personal with Naspers chairperson Koos Bekker.

The ANC MP said he tried to encourage Naspers’ support of diversity in the commercial market. you to canvass as widely as possible with NGOs, faith-based organisations, business, youth formations, women’s groups and people living with disabilities,” said Ramaphosa.

This will be one of several summits he has initiated since he took office two years ago. The president first held the investment summit in Joburg, with major firms locally and internationally pledging billions of rand in investments over the next few years.

Ramaphosa had said he wanted to get investments of $100 billion (R1.4 trillion) in the next five years to ramp up growth and job opportunities.

He told traditional leaders yesterday they would also look at a report on land reform. “The panel produced a report that indicated several shortcomings in our land reform policies and programmes.

“The government, in partnership with the national House of Traditional Leaders, is looking into the issues raised by the report to address the shortcomings,” he said.

This comes as the ad hoc committee on land expropriation is busy with processes to amend the Constitution to allow for the expropriation of land without compensation.

The public has been given until Friday to make written submissions on amendments to the Constitution for land expropriation.