ANC’s profit from Hitachi puts top investors in shade

IREFER to “ANC set for R50m election windfall” (March 2). I have several observations: Chancellor House bought 25% of Hitachi Power Africa for R6-million in 2009. Did the ANC actually pay the R6-million?

Hitachi Power Africa was formed only in 2009 but was “valued” at R24-million even though it had no track record and no projects. It was a serious risk for Chancellor House to put R6-million in a new company with no work, or was it? Luckily, Hitachi won two major contracts from Eskom, making the ANC investment safe;

In 2010, Hitachi Power Africa advised that Chancellor House stood to be paid up to R50-million in dividends over the eight years of Medupi construction. I find it extraordinary that dividends could have been paid during construction when, for at least the first six years, there was no idea whether the project would generate its targeted profit or even achieve one, and no mention of whether the ANC would need to pay 25% of any loss on the project;

Hitachi Power Africa got into trouble with quality defects and delays to projects, which have serious cost and power consequences to Eskom (read South Africa);

There has been much hype and posturing by Eskom and the government about penalties, litigation, heads that will roll — but nothing has happened;

All eyes have been on Eskom and the government in terms of what action will be taken against Hitachi and just how much it will have to cough up in the final resolution of its account;

Things are not looking good for the ANC — ah, luckily the ANC comes to an agreement with Hitachi that it will buy back Chancellor House’s 25%. But wait, Hitachi Power Africa is now valued at R200-million, notwithstanding that the projects are in dire straits with possible huge financial losses and litigation. So Chancellor House pockets R50-million against an investment of R6-million only five years ago — not even Allan Gray is that good. Amazing, a company whose value goes up from R24-million to R200million on the back of project disasters;

A coincidence that R50-million mooted in 2009 actually happens in 2014? I think not;

Does that mean Eskom can now proceed without fear against Hitachi Power Africa, or does the R50-million deal have some side agreements whereby the company is not pursued to the hilt or not at all? — Mike Edwards, Johannesburg

‘Baying for blood’ spot-on

SIPHO Hlongwane’s article about the Oscar Pistorius trial “Call for justice can sound a lot like baying for blood” (March 2) was spot-on. In a few paragraphs he managed to convey the absolute truth about this trial. As opposed to awardwinning author Margie Orford’s article, “Imagined threat of a black stranger at heart of defence”, which appeared to be trying too hard to be good. “Exquisite corpse” indeed. — Penny, by SMS

This is uncivilised behaviour

UNDERNEATH the civilised veneer remains the savage beast that takes vicarious pleasure in the illicit freedom of acts of violence. In a trial, it laps up all the gory details of a kill to stoke a hidden blood lust. Its call for “justice” is, as Hlongwane puts it, a “baying for blood”. And the baying becomes frenzied when it revolves around a prominent personality. Action movies cater to this instinct for violence. — Muthal Naidoo, Centurion

Cohen blamed intruder

ORFORD’S insightful piece on the South African suburban nightmare about the ubiquitous intruder brings to mind the sensational murder of Susan Cohen, the wife of Ronald Cohen, in 1970. Cohen, a local businessman, claimed his wife had been killed by a coloured intruder. He even went so far as to insert an identikit of the alleged killer in the press.

Unfortunately for Cohen, invoking the “black intruder” defence proved futile despite the best efforts of his counsel, Issie Maisels QC, and he was duly convicted of the murder of his wife. — A Cariem, Rondebosch East

What, no normal experiences?

Stealing the future indeed

NEIL Sonnekus tries to justify his running away from South Africa in “SA thrives even as its politicians battle to keep pace” (March 2). He had no normal experiences during his short visit, just nuances of obsessed, convincing confirmation of his brilliant escape from a hell hole. Hope he stays in his new perfect utopia. We do not need him here. — Firmly South African, by SMS

Taxpayers must not foot bill

SONNEKUS’s article was beautifully written. It made me weep. Stealing the future from our youth. Heartbreaking! — Elle, by SMS “ONLY cattle score as pricey soccer pitches go to seed” (March 2) refers.

It might have been a planned sports centre, but who says it was not a private grazing field for President Jacob Zuma’s cattle? Under no circumstances should taxpayers foot the bill for the replanting of the grass. — Ayesha Ranchod, Lenasia

Barron gets my subscription

CHRIS Barron wrote a masterful piece on Ben Turok “From loyal cadre to crusty old critic” (March 2). It was as sharp as a scalpel. I’m taking out a subscription because of it, just as I’m cancelling one to Iqbal Survé’s self-serving rag, the Cape Times. And please offer Ann Crotty a job. — Reader, by SMS

Turok deserves praise

AS a member of the ANC, I will always salute comrade Turok for what he has done for us and for the ANC. — Proudly ANC, by SMS

Seeing the light at last

MY, what revelations in the Sunday Times. Turok stops short of denouncing the ANC and Alex Boraine, in “Power-mad ANC loses the plot”, admits naiveté in his dealings with them. — Ted, by SMS

Patricia and Helen are nannies

SAD to see that power also blinds the opposition. Patricia de Lille was hilarious with her bumbling replies in last week’s “So Many Questions”. Hapless Helen Zille was perfectly summed up in Zapiro’s cartoon. Ranting like crazed Rottenmeiers has become the hallmark of the nanny state leadership they are using in the Western Cape. Where are they when the Flats burn with service protest and gangsterism? Insulting No 1 and then screaming for him to make the army available — not very tactful negotiating. Who to vote for, then, or perhaps stay apolitical? — Gustav, Cape Town

Not too busy to party

SO our president was too busy to attend the special Nelson Mandela memorial service “Zuma chooses Mugabe over Zuma” (March 2), even after the service was postponed to suit his schedule. Once more No 1 brings shame to South Africa. He was not too busy to live it up in Zimbabwe. — Bloom, Johannesburg

Zuma, Mugabe belong together

“ZUMA chooses Mugabe over Mandela” makes perfect sense. Mandela was a mensch, the other two are like twins cut from the same cloth.— J Bachmann, Johannesburg

Resist return to darkness

GREAT article, Redi Tlhabi, “Constitution our shield when going gets tough” (March 2). When I was a youngster, being gay was denied, a secret, ridiculed and despised. My cousin’s mum remained in denial about his sexuality even after his death, even though the entire family knew. We have made such great strides since then to bring freedom and respect to gays as human beings no different from ourselves. But I fear there is a strong movement back into the darkness regarding homosexuality everywhere one turns. We must fight this with all our might. — Susan, by SMS

Barney right on target

EXCELLENT piece by Barney Mthombothi, “SA too keen to make friends in Africa — regardless of the cost” (March 2). South Africa has led the world on lesbian, gay and transexuals’ rights and protection, and the failure of our government to promote this equality across our continent is a slur on the memory of those who worked so hard to ensure that no minority group would ever again suffer discrimination. — Jaye Richards-Hill, Cape Town

Others have blundered too

FOR the first time, Mthombothi has disappointed in his weekly column. He drifted from the topic. He first quoted Lord Palmerston, then the Libyan crisis in relation to South Africa’s relations with African states and the Brics nations’ membership argument.

Our interest as a country is to achieve relative peace in Africa through the instruments provided by the international community, among which the UN and African Union are lead agents. We never go it alone to achieve this, and we have to deal with criticism even when it is unwarranted. So yes, South Africa’s approach will not be the same as other nations that Mthombothi probably thinks should be our role models. They, too, have blundered in Africa. They continue to do so, even when we think they are “superpowers”. Some have been in some military-war theatres for years.— Disappointed, by e-mail