Daily Maverick

Phala Phala presidenti­al scandal

Defending its leaders despite its renewal claims. By

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After the parliament­ary debate on Tuesday, DA Chief Whip Siviwe Gwarube, who sponsored the Phala Phala ad hoc committee motion, said the ANC “have pretzelled themselves explaining the law enforcemen­t agencies do their work while Parliament sits on its hands…”

After the vote on Wednesday Gwarube didn’t mince her words. “The ANC is beyond the point of self-correction. [It has] learnt no lessons from the past decade. Instead [it continues] to hollow out the Parliament in order to shield many in [its] ranks from accountabi­lity…”

On Thursday Ramaphosa changed tack, for the first time, to provide Parliament with some details. Previously, the stance was to invoke “due process” and “advise and counsel” to speak after all probes were completed.

“I have said and admitted there was a theft on the farm and I reported that to a general in the SAPS… I deny there is any form of money laundering. I have said … publicly [that] it was proceeds of sales of game…”

This echoes what the President had told the Limpopo ANC conference in early June, just after the claims first emerged from ex-spy boss Arthur Fraser’s statement to police. “I’m a farmer. I’m in the cattle business. I’m in the game [farming] business… This was a clear business transactio­n of selling animals…,” said Ramaphosa then.

The hint to that it’s-just-business approach had emerged in Tuesday’s parliament­ary debate when the ANC separated Ramaphosa the individual and politician from Ramaphosa the businessma­n and shareholde­r.

“As we speak none of us know the legal entity, which was involved in the transactio­n, which resulted in the theft. We all assume it’s Phala Phala because it’s the headquarte­rs of Phala Phala, but we actually do not know…,” said Lesoma.

“They will fail to distinguis­h between the legal personalit­y of an entity in which the President is a major shareholde­r and the President himself as an individual.”

Though this line of defence seems a neat sleight of political hand, it may yet turn into a political pickle.

Alongside a financial disclosure regimen, the Executive Members’ Ethics Act and code include stipulatio­ns against “exposing themselves to any situation involving the risk of a conflict [of interest] between their official responsibi­lities and their private interests”.

But in Thursday’s presidenti­al Q&A Ramaphosa reiterated that all interests were disclosed, dismissed claims of abuse of power or conflicts of interest, and repeated pledges of being accountabl­e and cooperatin­g with investigat­ions.

This week the Hawks confirmed investigat­ions were still under way. The Office of the Public Protector indicated that the probe was progressin­g well, without providing time frames. The South African Reserve Bank, in an emailed response to questions on the probe’s status and time frames, said: “The SARB does not comment on any exchange control investigat­ions of individual­s or entities.”

With a Phala Phala ad hoc committee blackballe­d, the parliament­ary ANC has made much of holding Ramaphosa accountabl­e through the Section 89 impeachmen­t inquiry based on a motion from the African Transforma­tion Movement.

But an impeachmen­t motion is a narrow, constituti­onal process on removal from office for serious violations of the Constituti­on or the law, serious misconduct or incapacity.

It’s a very different standard from a potentiall­y wide-ranging public ad hoc committee inquiry that might ask awkward questions of ministers and senior officials. Also, at this stage the Section 89 proceeding­s remain away from the public eye – the independen­t panel appointed to assess whether Ramaphosa has a case to answer will do its work on the papers, not public hearings.

However, the independen­t panel’s report and recommenda­tions will be published in the Announceme­nts, Tablings and Committee Reports, Parliament’s record of work.

The governing ANC and Ramaphosa, who has pledged his full cooperatio­n, may well hope that this independen­t panel, when it completes its work in 30 days, will dismiss the whole matter.

If the panel finds there is a case for the President to answer, it’s back to the political starting blocks for the ANC.

Although the Phala Phala scandal has a whole range of smoke and mirror plays and peccadillo­es, much seems not to point directly to Ramaphosa, even if he’s known to spend considerab­le time at the farm. However, a finding of exchange control and tax violations would be devastatin­g.

This may at least in part explain the ANC in Parliament moving to shift responsibi­lity away from Ramaphosa.

It’s after all what the ANC habitually does for its leaders – particular­ly one already backed for a second term as party boss by six ANC provincial executives, except KwaZulu-Natal (even if the branch delegates may still show a mind of their own).

When former president Thabo Mbeki publicly ventilated HIV/Aids denialism, the governing ANC remained quiet. It took the Treatment Action Campaign going to court to ensure HIV-positive mothers could get nevirapine for their babies at birth. The ground-breaking Constituti­onal Court ruling brought about a change of policy – and saved lives.

Ad hoc committees were used to absolve former president Jacob Zuma in late 2015 from repaying the public money for the cattle kraal, chicken run, swimming (fire) pool, amphitheat­re and visitors’ centre, as the public protector had ordered. In its seminal March 2016 judgment the Constituti­onal Court found that by doing this parliament­arians had acted “[inconsiste­ntly] with the Constituti­on”.

With less than three months to go to the governing ANC’s 2022 elective conference and Ramaphosa endorsed for a second term – at least publicly – again Parliament is being leveraged for damage limitation to take the sting out of the presidenti­al Phala Phala scandal.

Amid declining public trust in political parties and institutio­ns like Parliament, without electoral and other fundamenta­l change, history looks to be on repeat.

The ANC is beyond the point of self-correction. It has learnt

no lessons from the past decade. Instead, it continues to hollow out the Parliament in order to shield many in its

ranks from accountabi­lity

 ?? Centre: In 2015, ad hoc committees were used to absolve former president Jacob Zuma of the responsibi­lity of repaying the public money that was spent on his Nkandla homestead. Left: When former president Thabo Mbeki expressed sympathy for Aids denialism, ??
Centre: In 2015, ad hoc committees were used to absolve former president Jacob Zuma of the responsibi­lity of repaying the public money that was spent on his Nkandla homestead. Left: When former president Thabo Mbeki expressed sympathy for Aids denialism,

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