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By Citizen Reporter

Journalist


Investigate #GuptaLeaks, says Kodwa, in wake of KPMG ‘bloodbath’

The ANC's spokesperson says the evidence against the Guptas can no longer be ignored.


The jobs bloodbath of senior staff at auditing firm KPMG has elicited strong reaction from ANC spokesperson Zizi Kodwa, who made it clear that it is high time for the leaked Gupta emails to be investigated.

The email evidence would presumably form part of a judicial commission of inquiry into state capture allegations, which is being delayed because President Jacob Zuma wants to be the one to appoint the judge to head it up, contrary to the recommendations of the former public protector, who called for the chief justice to name the judge.

Thuli Madonsela expressed the concern that Zuma should not be allowed to name his own judge as he has himself been implicated in the project of state capture.

In a statement issued on Friday, KPMG listed the names of the executives who had resigned. The statement said the CEO and COO had also decided to “step down in the best interests of the firm”, while it was taking disciplinary action against Jacques Wessels, the lead partner on the audits of non-listed Gupta entities.

KPMG was behind a report on the South African Revenue Services’ (Sars) rogue unit which allegedly spied on senior government officials and supposedly set up a brothel, allegations that have since been discredited. Former minister of finance Pravin Gordhan was taken to task over the unit, which fell under his department as head of treasury.

“To be clear, the evidence in the documentation provided to KPMG South Africa does not support the interpretation that Mr Gordhan knew – or ought to have known – of the ‘rogue’ nature of this unit,” said KPMG.

The audit firm has now offered to pay back the R23 million it received for its work on the report or donate it to a charity and to donate R40 million to non-profit organisations fighting corruption.

In relation to the work done for the Gupta companies from 2002 until 2015, KPMG said it fell short in auditing standards, issuing work of a high quality, but they “failed to apply sufficient professional scepticism”.

Kodwa took to Twitter on Friday to say that it was clearer than ever that the Gupta Leaks must surely now be considered authentic and they “can’t be ignored as fabrication”.

He also stated in Twitter replies that the ANC’s official position on the Gupta emails has always been that they should be investigated, particularly in light of the fact that several people have authenticated them.

“ANC official statement was that they must be investigated to establish veracity, [because] some [people] have confirmed them.”

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