EFF’s uBhuti ka Brian in VBS scandal



*JULIUS MALEMA’s EFF and its Deputy President Floyd Shivambu aka uBhuti ka Brian has contributed to the liquidation of a black-owned bank the VBS.

According to reliable sources Shivambu, who is said to have received about 10 million VBS-rand through his younger brother Brian, has for months tried to suppress the investigation into VBS by casting darkness over the integrity of officials in National Treasury and the Reserve Bank.

 Since the VBS report, titled ‘The Great Bank Heist’, was released on Wednesday, the EFF has retracted into a rocky silence.

A tame media statement on Wednesday evening, released just at around 9 pm, repeated the party’s position ‘that all who are responsible and illegally benefited from the fraud must be criminally prosecuted immediately’.

The EFF has allegedly received R1.3-million illegally flowing from VBS Mutual Bank into the party’s bank account, three sources told Scorpio.

Floyd Shivambu’s younger brother, Brian, allegedly funneled around R10-million through a company called Sgameka Projects into Floyd’s personal bank account, the same sources said. Brian is the sole director of Sgameka Projects.

The damning investigative report into VBS, commissioned by the Reserve Bank and released on Wednesday, found that Brian received R16,148,569 in “gratuitous payments” emanating from the bank. The evidence detailing the Shivambu brothers’ nefarious activities consists of bank statements of the relevant entities – it was not included in the report to SARB because of the investigators’ mandate related specifically to VBS.

The evidence is however kept under “lockdown”, sources said. It is now up to law enforcement to initiate and investigate criminal charges.

“We don’t exclude the fact that there was more money flows from VBS through other fronts to the EFF and Shivambu,” a well-informed source said.

The VBS Mutual Bank report, titled “The Great Bank Heist” and investigated by Adv. Terry Motau SC and law firm Werksmans is a tale of the elderly, the poor and several municipalities duped into banking with what started off in the late ‘80’s as the Venda Building Society.

Motau and Werksmans’ damning report into fraud, probable money laundering, and reckless business practices found that around 53 people unjustifiably and illegally received R1.89-billion between 2015 and 2018.

It is against the Municipal Finance Management Act (MFMA) for municipalities to the bank with VBS. The Reserve Bank got wind of these contraventions of the MFMA as well as serious allegations of corruption at VBS and put the bank under curatorship amid a liquidity crisis in March 2018. (More about the liquidity crisis later.)

The MFMA was written by Treasury official Ismail Momoniat – the longest serving Deputy Director General at National Treasury. Momoniat was a driving force behind finding out what was happening behind the opaque veil at VBS. As part of his portfolio, Momoniat often reported to Parliament on the matter. The Shivambu brothers’ secret involvement in the VBS scandal pitted Floyd, in his role as Member of Parliament and Deputy President of the EFF, against Momoniat, National Treasury and SARB.

Shivambu’s panicky and vitriolic reaction to the probe culminated into racist remarks about Momoniat’s non-Africanness; a debacle that left the EFF smarting from an unexpected public retaliation in June 2018.

Shivambu, Malema and the EFF have since maintained that the party is only concerned for the black-owned bank’s clients. On Wednesday night, just before 21:00, party spokesperson Mbuyiseni Ndlozi released a tame press release devoid of its usual punchiness. (He was unreachable after news of Brian Shivambu’s VBS windfall broke, and after releasing his press release, Ndlozi remained unattainable.) Where Ndlozi’s Tuesday press release – relating to Nhlanhla Nene’s resignation as minister of finance – referred to Nene being “party to the most unpatriotic state capture by a family of foreign nationals”, his Wednesday press release had no such resolute color.

Said Ndlozi: “The EFF reiterates its position that all who are responsible and illegally benefited from the fraud must be criminally prosecuted immediately.”

Ndlozi did not answer Scorpio’s specific emailed questions, nor did he respond to a tweet sent to him about the emailed questions.

“The law enforcement agency must do all they can to ensure that all the money that can be recovered must be paid back in full including attaching properties of the individuals who benefited from the defrauding of VBS.

“The EFF is concerned by the findings that the bank cannot be saved. Shutting down the bank will not help efforts to increase black participation in the financial sector… it is concerning that such looting has been allowed to happen since 2015”, said Ndlozi.

According to report by Motau and Werksmans the liquidity crisis is, in simple terms, blamed on the fact that VBS managers, politicians, and tenderpreneurs – like the Shivambu brothers and EFF – gutted the bank into implosion. To avert a crisis of skeletons spilling out of the closet, the bank managers tried to solicit big payments from state entities such as the Passenger Rail Agency of South Africa (Prasa). General Manager of Treasury at VBS Phophi Mukhodobwane, a key witness in the investigation, testified that VBS had attempted to solicit R1-billion from Prasa in late 2017.

Mukhodobwane testified that a “commission” – read “bribe” – of R1.5-million was paid to a group of union officials from Satawu (South African Transport and Allied Workers Union) who claimed to be able to facilitate such a large deposit from Prasa, the report found.

Motau and Werksmans continue, stated, “VBS paid that amount to the Satawu officials, through a front, in anticipation of the deposit being made. According to Mukhodobwane’s understanding, the successful facilitation of the deposit from Prasa would be dependent upon ‘NDZ’ succeeding to the Presidency of the ANC at the party’s elective conference held in December 2017. Mukhodobwane testified that after the ‘unexpected’ outcome of the ANC elective conference, a renewed attempt was made… to solicit the R1-billion from Prasa. The plan was stymied thanks to an unrelated (yet connected) investigation into Prasa.

Mukhodobwane himself stole R30-million from the bank, Motau and Werksmans found. He further testified against Danny Msiza, Provincial Treasurer of the ANC in Limpopo. He described Msiza as a “kingpin” in the scheme where municipalities were connected with VBS while the middleman would be paid a “commission” – a fee that classifies as a “bribe” and is illegal under South African law. Motau and Werksmans said Mukhodobwane was “extremely reluctant to reveal [Msiza’s name] and he expressed fear about his personal safety as a result of making this disclosure.”

Hours before SARB released its investigation into the VBS Mutual Bank scandal, the EFF ramped up significant public pressure against ANC stalwart Nhlanhla Nene. He lied about meeting the Gupta family and evidence implicates his son, Siyabonga Nene, as possibly having benefited from a dodgy PIC deal. 

EFF spokesperson Mbuyiseni Ndlozi said on Tuesday that Nene’s “continued stay as a Minister of Finance is not in the interest of South Africa. Treasury cannot be presided over by a person without integrity, Nene lied on numerous occasions about his role in Cabinet and government… He also facilitated the capture of the state by the criminal Gupta syndicate. He was party to the most unpatriotic state capture by a family of foreign nationals.”

The EFF ultimately contributed to forcing the resignation of Nene as minister of finance.

With clever sloganeering, the EFF has, since inception, also created a campaign around the involvement of former President Jacob Zuma’s son Duduzane with the Gupta clan. Parliament was disrupted on several occasions, often turning into violent outbursts. Ndlozi’s famous “uBaba ka Duduzane” was turned into a popular song.

Now the red berets have been caught in a trap of their own making: Their top structures are deeply implicated in the VBS scandal. Brian Shivambu allegedly funneled around R10-million of his stolen R16.1-million to his older brother Floyd through a company of which Brian is the sole director, sources claimed, and the party itself allegedly benefited to the tune of R1.3-million.

It is now a situation, clever Twitter commentators said, where “uBaba ka Duduzane” will be measured against “uBhuti ka Brian”.

On Wednesday evening the Public Investment Corporation (PIC) denied VBS official Phophi Mukhodobwane’s testimony that its CEO Dan Matjila may have received R5-million in cash from the VBS loot.

Motau and Werksmans did state that “… Mukhodobwane is unaware of whether or not the R5-million was indeed paid to ‘Bra Dan’.

The PIC also announced that it has taken important steps against its two delegated Directors on the Board of VBS Bank, Ernest Nesane and Paul Magula. Motau and Werksmans found Nesane received R16.6-million and Magula received R14.8-million in incongruous payments from VBS.

Magula was dismissed for incompetence in April 2018 and Nesane resigned two days after testifying before Motau, the PIC statement said. The Financial Sector Conduct Authority also granted the PIC’s application to debar both officials. The PIC has also applied for Nesane to be struck from the roll of attorneys. Criminal charges will also be laid against Nesane and Magula.

The financial Sector Conduct Authority also granted the PIC’s application to debar both officials. The PIC has also applied for Nesane to be struck from the roll of attorneys. Criminal charges will also be laid against Nesane and Magula.

Motau and Werksmans further found that former KPMG partner Sipho Malaba knew about a nearly R1-billion cash shortage at the bank, but signed off on VBS’ financials anyway. He was gifted about R28-million for being a team player. KPMG must be held liable for damages incurred by the VBS curator, National Treasury and the Prudential Authority, Motau and Werksmans found.

Because Malaba defrauded the Reserve Bank, he should also be criminally charged. Malaba and another KPMG partner Dumi Tshuma had resigned in April 2018 when their part in VBS’ failure became known.

New power plug for South Africa


*All future buildings in South Africa must incorporate electrical sockets that conform to South Africa’s new plug and socket standard.

This is according to Gianfranco Campett, Chairperson of the SA Bureau of Standards SC23B Mirror Committee, who was speaking to 702 Bongani Bingwa on Tuesday

Campett noted that while the standard was first introduced in 2014, few buildings and homes in the country have migrated to the socket.

“South Africa adopted this international standard but ultimately only two countries adopted it, so unfortunately again, South Africa has got another unique standard,” he said.

SANS 164–2, also known as ZA Plug, has the same hexagonal profile as the Europlug seen on cellphone chargers, but includes an earth pin, MyBroadband reported.

It is substantially more compact than South Africa’s three-prong plug standard and has much thinner pins.

With the wiring code amendment taking effect in January 2018, each plug point in a new building must have at least one socket that can accommodate a ZA Plug.

Speaking to MyBroadband Cecil Lancaster, a regional director for the Electrical Contractors’ Association of South Africa ECA(SA), said that from the installer’s side there was initially some confusion about the wiring code requirements.

There was also some initial resistance due to the price difference between installing an outlet with at least one ZA Plug socket in it, and outlets that only support the older standard.

The price has since reduced to the point where it is no longer a factor, said Lancaster.

“There was some consumer resistance due to existing appliances bearing the old type plug, but it is mostly satisfied by offering combination socket outlets containing both types,” he said.


Molewa family thanks South Africans for support



THE FAMILY OF the late Environmental Affairs Minister Bomo Edna Edith Molewa has thanked all South Africans for their messages of condolences following the untimely passing of their daughter, mother, grandmother and sister.

The late Minister’s brother Fana Mmethi said his sister passed away yesterday following complications of Legionnaires’ disease.

“Knowing she had been ill has done little to lessen the blow. South Africa today has lost a great leader: an activist, a patriot and a revolutionary who has been called to her maker, leaving us bereft. It is a testimony to the high regard in which she was held by so many people, that messages of support and tribute continue to be received from not only South Africans, but from people across the globe.

“It is particularly difficult to come to terms with her passing, given that she was cut down in the prime of her life when she still had so much to offer to her family, her friends, her colleagues, her Church, and to her community.

“She has left an indelible mark in the lives of the millions of people who had the privilege and honour of knowing her. Hers was a life dedicated to the service of the people, and to the betterment of the people of South Africa in particular,” said Mmethi.

Mmethi said his sister was a woman of many exemplary qualities; chiefly amongst them was her unwavering, deep and abiding faith.

“It is a faith that sustained her throughout her life, and it is that faith from which we draw sustenance as we mourn her, but also commemorate an extraordinary life lived in the footsteps of Christ and in service to her fellow man. She was a dedicated member of the African National Congress (ANC), an organization she joined in her youth, and to which she dedicated her life.

“She served her movement with distinction, and when she was called upon by the ANC to join the government, she did not hesitate to heed this call. It is a source of enduring pride for us as the family that our sister, who rose from such humble beginnings; became first a member of Parliament, then a provincial MEC, to a Premier, to a Minister. Such was the faith vested in her by our country’s leadership that she was called upon to serve as an Acting President on numerous occasions. She was held in extremely high regard by international leaders especially in the environmental fraternity,” he added.

He said as the family have always known that she was not ours alone, but belonged to all of South Africa; they recall that from her earliest years she was somebody who stood firmly for justice; not content to remain a bystander to history – but taking up the cudgels on behalf of the poor, the oppressed and the marginalized.

“Bomo Edna Edith Molewa took what she had been given in life and multiplied it, over and over again. Not once did she bury her talent in the ground and hope for salvation.

“We as those who knew and loved her should take comfort today that her Lord will say, as he did in the Gospel of Matthew, Well done, my good and faithful servant and welcome her into His Kingdom. Our departed sister will forever be remembered, and she is already sorely missed,” concluded Mmethi.

Meanwhile, the EWN reported that ANC President Comrade Cyril Ramaphosa arrives at the Molewa home to pay his respects to the family. President Ramaphosa has declared a period of mourning and ordered that the National Flag be flown at half-mast countrywide and at South African diplomatic missions abroad. 

Ramaphosa says the African National Congress (ANC) and the country have lost a really talented and knowledgeable person in government.

“We will forever remember Edna Molewa as one of those women who advocated women’s rights. She was also always trying to push the recognition of the role that women should play in our movement [and] in the country. And as far as the ANC is concerned, this is a very big loss.”

The president says he is saddened personally by Molewa’s sudden death.

“I’ve just sent my condolences to her mother, daughters, and family. It is a very sad moment, but we’ve also wished them strength.”

Our country is in mourning today; we have lost one of our most outstanding daughters, Edna Molewa… She was one of the most outstanding, brightest and hardest working Ministers… this is a great loss to the Congress movement. sizwe@citypost.co.za

ANC condemned killing of Councillors

Councilor Esther Mutumane was killed on Wednesday night


THE AFRICAN NATIONAL Congress in Tshwane has condemned the killing of Councilor Esther Mutumane. Eugene “Bonzo” Modise the Regional Secretary of the ANC in Tshwane in a media statement said they are saddened by the untimely passing of Cde Esther Mutumane, Ward Councillor of Ward 19, in Winterveld, after a fatal attack by unknown gunmen.

The ANC leaders visited the family yesterday to convey a message of condolence on the sorrowful incident, on behalf of the entire ANC region family.

“We are deeply hurt and disturbed by the violent incident and find it rather regrettable that a life is taken in its prime by malignant elements. It has now become a trend that Councillors are killed in cold blood! We condemn these acts in the strongest terms possible as the ANC in Greater Tshwane. This is now the second cold-blooded killing of a Ward Councillor in three months in our Region after Cde Sphiwe Montlha was also killed in cold blood in Soshanguve.

Councilor Siphiwe Montlha was killed about 3 months ago.

“We would like to implore our law enforcement agencies to get to the bottom of this criminality and apprehend whoever is responsible for this heinous act. We also would like to put it emphatically and unequivocally that the safety of our Councillors is prioritized by the government with immediate effect.


“We request that all and sundry should respect the family in their time of bereavement and to allow the law enforcement agencies time and space to get to the bottom of this heinous crime. We will treat this time period with the sensitivity it demands and allow for law enforcement agencies the space to perform their work without interference,” said Modise in a statement.

He concluded by saying, “ Esther was dear to us and we will pick up her spear and continue with the fight against poverty, inequality and unemployment. We will also fight against the scourge of crime in her memory”.

Details of the funeral will be released once the family has finalised.

Another ANC councillor KILLED in Tshwane


ANOTHER ANC WARD councillor has been gunned down in Tshwane North township of Winterveldt last night. Councillor Esther Mutumane’s killing came just about four months after councillor Sephiwe Montlha was killed in the same manner.

According to Sergeant Margaret Molane the two unknown suspects were travelling in two cars which are a charcoal Goft 6 and white Renault Megane.

“The suspects followed the deceased until they blocked her way. They got out of their cars and started to shoot at Mutumane on the upper body. She was shot in the head and upper body but the kids were not affected.

“The suspect left without taking anything after the shooting. Mutumane was rushed to Legae Clinic where she was certified dead on arrival. No one has been arrested and a case of murder is being investigated” said Molane.

The ANC Tshwane spokesperson Bafozi Yabo said the REC will visit the family and they will issue a formal statement after visiting the family.

“I heard about the death of Comrade Esther Mutumane on social media, the Tshwane Regional Executive will visit the family today and we will issue a statement after the visit,” said Yabo. africa@citypost.co.za

ANC Youth League celebrated 74 years


*THE ANC YOUTH LEAGUE has celebrated the 74 years at KT Motubatsi Hall in Soshanguve last night. The celebration in Tshwane was attended incoming ANC Youth League president and ANC Youth League KZN secretary Thanduxolo Sabela, ANC Youth League NEC members Joy Maimela, ANC Youth League Regional chairperson Lesego Makhubela and other leaders including more than 5 000 ANC Youth League members from around Tshwane.

Speaking at the event Lesego Makhubela the Regional Chairperson of ANC Youth League in Tshwane said the youth who gathered there are not from Facebook branches but from real ANC branches around Tshwane.

“This is not Facebook branch members, this one is real ANC Youth League members from branches around Tshwane. ANC Youth League is alive in Tshwane and KZN. The ANC Youth League in KZN has programmes that is why we support Thanduxolo Sabela to lead the organization,” said Makhubela.

Speaking the event Thanduxolo Sabela said ANC Youth League in Tshwane is alive and he has hope that it will bring back the city to the people.

“I am here just to greet you; we can see a good work done by the ANC Youth League in Tshwane. The youth league will help to bring back Tshwane to the people.

“You don’t need to EFF to take back this municipality. ANC must win the municipality by 2021 and we are certain that we will win back Tshwane,” said Sabela.

Sabela encourages youth to get an education because the ANC has offered the people of South Africa free education.

“The ANC has delivered free education for people of South Africa, use that opportunity by registering with universities,” he said.

He told the gathering that they should support a programme for removing experience requirements on employing people.

Sabela also distances himself from the Sunday Times story which alleges that he was in a group plotting to remove the ANC president Cyril Ramaphosa.

“I am not part of the plot. We support Ramaphosa because he is democratically elected president of the African National Congress,” concluded Sabela.-africa@citypost.co.za


ANC to retain ward 37


THE AFRICAN NATIONAL Congress has done it again by retaining Tshwane Ward 37 in Soshanguve with more than 60 percent during by-elections held on Wednesday. The people of Ward 37 have spoken, Saki Ntohla is the new councilor for Tshwane Ward 37.

 The ANC got 62 percent while Mickey Mouse parties that emerge during elections got less than half of the percentage. The EFF got 26 percent while the DA received 11 percent and the ACDP got less than 1 percent.

The development which has been done by the ANC’s previous administration has done a lot a talk to the residents. Check City Post for an interview with councilor Saki Ntohla before the end of the day. africa@citypost.co.za

ANC to retain ward 37 tonight


*BY-ELECTIONS WERE held in African National Congress traditional stronghold in Ward 37 Soshanguve South. The area has never been under any political organisation except the African National Congress since 1995 and it still shows that it will win the ward with majority despite a number of political parties that contest the ward.

The ward 37 was formerly under late councilor Siphiwe Montlha who was assassinated on the 21 May this year. This is one of the most developed wards because of the ANC, The ward has a clinic, library, community hall, tar roads, more than 5 000 RDP houses, schools and more facilities that were delivered by the ANC led administration.

Local resident Abram Thipe casting his vote …

Other political parties that are trying their luck sharing a small support which is a drop in an ocean are the EFF, DA, and ACDP. The ANC councilor candidate Saki Ntohla is who known for his community activities is competing against candidates who suddenly appeared during the by-elections. The candidates that are not known to residents of ward 37 are DA’s Amanda Noordman, EFF’s Kenneth Maganye, and ACDP’s Mpho Chauke.

According to Tshwane ANC spokesperson Bafuzi Yabo, the ward has about 18 000 registered vote registered voters and six voting stations.

“As the African National Congress, we will be retaining ward 37 which has been our ward for decades. Ward 37 is one of the bigger wards with about 18 000 registered voters and it is more developed because of the ANC.

“ We will also retain ward 9 in Winterveldt on the 31 October because the ANC always deliver its promises,” said Yabo.

Tshwane ANC Election officer, Victor Seroka confirmed to City post that the result forward 37 by-elections will be ready after 9 pm tonight. africa@citypost.co.za


Miss Urban READY for to be Face of Respublica

*SOSHANGUVE final year student at the University of Pretoria who was recently crowned Miss Urban Nest will be logging head with other contestants on the 8 September in Midrand.
Sarah Khumalo who was crowned Miss Urban Nest 2018 on the 4 August at Urban Nest student accommodation in Acadia will be contesting against winners of other students accommodations from around the country.
This Saturday the 8 September she will be competing for Miss Face of Respublica Pageant at Pearson Institute, Midrand against other pageants from a number of educational institutions like the Tshwane University of Technology, University of Johannesburg, Free State University, Pearson Institute and many more.
In an interview, the Sarah who is in her four years studying Degree in Education at the University of Pretoria said winning this pageant is important to her that is why she tried her best to balance her hobby in modeling with her education which always came first.
 “Education is the key to success but on the other side, we have to take part in other activities to try to accommodate pressure. Except for modeling, I am also an artist, painting pictures to express myself, play netball and I am also the Tuks Ambassador of peace because I am a peaceful person I will never hurt a fly.
“The aim of events like this one is to promote healthy living among students also to encourage students to be active and confident members of the student community, balancing academics and extra-mural activities.
“I enjoy modeling and I have confidence that I will make it to the final but the challenge is that I need a wardrobe sponsor and I invite shops and business people to come forward if they are interested in sponsoring me and I will really appreciate it,” added Sarah.
Anyone who is interested in sponsoring her can call 076 804 7323. news@citypost.co.za

Tshwane under the DA the same like Transvaal


*THE PEOPLE OF Tshwane been living under serious trauma for the past 2 years because they were governed by an administration that doesn’t care about them…We lost 10 kids under this administration because of lack of service delivery. Under the DA administration, 5 kids were killed in Soshanguve by a high mast light because of lack of service delivery and another 5 were burnt alive inside a shack because the administration failed to services…In less than 24 hours Solly Msimanga aka Mr, I don’t Know the so-called mayor of the City of Tshwane will be gone because people of Tshwane are tired to be under a Mickey Mouse DA administration.

Since the City of Tshwane was established about 2 decades ago it is for the first time the people of Tshwane experience worst service delivery while DA leaders are looting City coffers to fill their deep pockets. It is for the first time in the history of Tshwane we experience a flood of the inexperienced head of departments in the city. In fact, Tshwane is being administered like an apartheid-era Transvaal were uneducated whites get top positions while education blacks remain on junior positions. The truth is that Tshwane under the DA the same as Stad van Pretoria and Transvaal apartheid era administrations.

We have Father Smangaliso Mkhatshwa as the first mayor of the City of Tshwane, followed by Gwen Ramokgopa and Kgosientso Ramokgopa all this mayor we serving the people of Tshwane with respect and dignity by delivering best services to all people of Tshwane respective of race. There were lots of service delivery to the people and then in 2016  BOOOOOM!!! We have Solly Msimanga aka Mr I don’t know.

Solly is the worst performing mayor in the history of the city and people of Tshwane have enough of him and we are happy because in the next 24 hours he won’t be our mayor. The people of Tshwane will remember Solly as the mayor who serves his white masters and ignoring service delivery in the whole City especially the townships.  Hamba Msimanga uye lena ku Zille ekapa, you were the worst mayor of our City.

*I would like to congratulate the ANC leadership in Tshwane for doing a good job by exposing the corrupt DA administration under Solly Msimanga in the City. I would also thank the people of Tshwane for supporting the ANC leadership in their fight against corruption in the DA lead administration.

Today the ANC will welcome communities to a night vigil at Burgers Park from 21h00 as per their request through our branch structures. They will also hold a march to the council on Thursday the 30th August starting at 09h00 am and departing from Burgers Park. editor@citypost.co.za

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