Top ANC official accused of looting funds meant for the poor

THE arrest of senior ANC official Pule Mabe on Friday in a sensational case of looting the social grants agency is likely to fuel perceptions that former leaders of the ruling party’s youth wing only joined politics to abuse state institutions.

Mabe, a former treasurer of the ANC Youth League, where he was Julius Malema’s right-hand man, was released on R10 000 bail. The ANC national executive committee member faces charges of corruption, fraud and money-laundering over funds allegedly illegally paid by the South African Social Security Agency to a trust linked to him.

The Sunday Times can reveal, as part of a two-month-long investigation into Mabe, that:

Paseka Letsatsi, head of communications for the social security agency — whose role is to pay social grants to more than 10 million impoverished South Africans — allegedly connived in making the illegal payments to the Consolidated Future Growth and Investment Foundation Trust;

When the social security agen- cy’s internal audit unit picked up the irregular payments, it opened a criminal case against the trust four years ago, Hawks spokesman Paul Ramaloko confirmed this week;

The trust deed officially gives the location of its assets as Luthuli House — the ANC’s headquarters in Johannesburg. It is unclear why this was done and whether the ANC received any of the social grant money; and

Although Mabe is not listed as a trustee in the trust deed, its

TWO senior women in the Gauteng ANC are at one another’s throats because of a failed youth jobs programme.

Premier Nomvula Mokonyane, according to party insiders, recently wrote to Gauteng MEC for economic development Qedani Mahlangu demanding answers to questions about a R60-million programme that failed to materialise.

Mahlangu is also head of the party’s election machinery in the province.

Mokonyane announced the programme last year, promising that six hubs would create 100 000 jobs. Only two have been built, in Winterveld in Pretoria and Mohlakeng on the West Rand, although more than R90-million has been spent, insiders say.

“The premier wanted answers from [Mahlangu] because all these things happened under her watch.

“There is no way that, as a political head, she did not know what was happening,” said a source close to Mokonyane.

The premier was not available for comment and Mahlangu did not respond to questions.

This week, the department of economic development terminated the contract of its head, Khulu Radebe. He had been on suspension since early this year for an alleged lack of accountability in the jobs project, following an investigation by Mokonyane. Four senior managers were also suspended this week.

ANC insiders said Mokonyane and Mahlangu had not seen eye to eye since the party’s provincial conference in 2010 at which Mahlangu supported Mokonyane’s long-time rival, provincial chairman Paul Mashatile.

“Those two don’t get along, even at executive council level,” said the source.

The spat could heighten tension between Mokonyane and the ANC provincial leadership ahead of the general election. Mokonyane is unlikely to return as premier because her name does not appear at the top of the list of candidates chosen for the legislature next year.

ANC leaders are accusing Mokonyane of running a “parallel” election campaign in Gauteng.

“She calls parallel meetings when the ANC is holding an election programme somewhere. She recently invited ANC leaders and MECs to some meeting on the West Rand when we had an ANC programme somewhere else. She is costing us big time,” said the insider.

But a source close to Mokonyane said the premier was frustrated by the party because it was trying to “micromanage” her.

“They want to dictate to her how to implement government programmes. If she goes to the West Rand, they say: ‘ No, the ANC was there last week. Take that programme to Alexandra or somewhere.’ ”