News / South Africa

Gosebo Mathope
2 minute read
26 May 2017
1:26 pm

‘Politics of betrayal’ report fingers Gigaba as state capture go-to man

Gosebo Mathope

The report details that the looting of state-owned entities by the Guptas began in earnest soon after Gigaba was appointed the minister of public enterprises

Home Affairs Minister, Malusi Gigaba is seen at the National Treasury during a meet and greet opportunity, 31 March 2017, he was still Finance Minister. Picture: Jacques Nelles

According to the scathing report compiled by academics and released yesterday, the controversial appointment of former home affairs minister Malusi Gigaba to the finance ministry was a continuation of the Gutpas positioning themselves as “key strategic brokers”.

“It is now clear that while the ideological focus of the ANC is ‘radical economic transformation’, in practice, Jacob Zuma’s presidency is aimed at repurposing state institutions to consolidate the Zuma-centred power elite,” the report states in its executive summary.

“The appointment of Malusi Gigaba as minister of public enterprises marked the start of the systemic reconfiguring of the SOE [state-owned enterprises] boards,” it states.

The report details the genesis of state capture via Gigaba through his appointment of department of trade and industry senior official Iqbal Sharma to the board of Transnet.

This was followed by the New Age, a Gupta-owned newspaper, reporting in December 2010 that Brian Molefe would become Transnet CEO.

READ MORE: READ: Damning new state capture report

Indeed, in February 2011, Brian Molefe was appointed as Transnet CEO. In July 2012, Anoj Singh was appointed Transnet chief executive officer.

“This duo sign off on some of the most controversial Gupta-Transnet linked contracts, including work directed to Trillian,” the summary reads.

In June 2011 Gigaba “announced wholesome changes to some SOE boards”, it continues.

At Eskom, “Nazia Carrim is the wife of Muhammed Noor Hussain, family member of Gupta business associate Salim Essa,” further revealing Romeo Khumalo was a co-director with Essa in a company.

“Mark Pamensky is a former director in a Gupta company Oakbay,” and “Marriam Cassim previously worked for a Gupta company, Sahara,” it says.

“Ben Ngubane was in business with Essa,” and “Kuben Moodley was in business with Pamensky and advises Gupta-aligned minister Mosebenzi Zwane,” it is revealed.

Another board member, Viroshni Naidoo, “is Kuben Moodley’s husband”, it states.

At Transnet, Gigaba “tries to make [Iqbal] Sharma board chair, but Cabinet veto’s reportedly based on his proximity to the Gupta family”, it is explained.

“Transnet then creates the Board Acquisitions and Disposals committee to supervise the planned pipeline of future large-scale infrastructure spending tenders worth more than R2.5 billion,” and “Sharma is appointed to chair this committee,” the report emphasises.

Mayihlome Tshwete, spokesperson for the finance minister, told Timelive this afternoon that the report is riddled with inaccuracies and “continues the trend of defamation”.