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Tag Archives: Nkandla

Jacob’s reply to the Nkandla scandal


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In the last few weeks we have had the report issued by the Public Prosecutor’s office regarding the excessive amount of work done to Jacob Zuma’s private dwelling in KZN.
Apart from the ground not even belonging to the president, and being leased from the local tribal chief, it seems that an amount of over R260 million was spent on upgrading.
The president now claims he didn’t know what was being done to his private residence and therefore why should he have to pay any of the money back!
During my musings while travelling to and from work, I began to wonder how can it be that the person chosen by his political party to run the country, for the good of all citizens, cannot even keep track of what goes on at his own house?

I also thought it was pretty nifty of the president to state in Parliament that his family had paid for their own homes to be built. This is very noble of him. Yet it doesn’t explain how come the tax payers have had to pay for a visitors centre, cattle kraal and chicken run, swimming pool, amphitheatre plus a tuck shop for one of his wives. So the president makes a mistake and addresses parliament “in good faith” and conveniently forgets about all the other items that were being built.

The ANC as a liberation party was against the forceful removal of people from where they had lived for years. District Six is an example of this. Yet when Nkandla needed to be upgraded there were at least three neighbouring families that had to be relocated. The costs of relocating these families ran to R7.9 million!! For that type of money the State could have built a couple of houses for other needy people or even a much needed clinic.
And above all the relocation and setting up of some of the installations involved unlawful actions and constituted improper conduct and maladministration. These did not comply with section 237 of the Constitution.

Will the president stand up and with hand on heart declare that he was once again totally unaware that the very constitution that he swore to uphold, was being flaunted?

Now the president is saying that he should not be held responsible for the upgrade even though he tacitly accepted the implementation of all measures at his residence.

So, if the president doesn’t want to repay just over R240 million as “he didn’t ask for it”, why are we the motorists in Gauteng, expected to repay the funds that were wasted on the e-Toll system linking Pretoria and Johannesburg? The upgrade to the roads should have easily been covered by the BILLIONS that are made from the fuel levies for the purpose of funding road maintenance. The public has from the very start stated that they did not want the e-Toll system as it was not properly thought out and would hurt a lot of people when implemented. The Government has to get money from the e-Toll system as they need to pay back the pension fund the money that was used without obtaining the required permission to do so.

Another bit of my musing had to do with trying to reconcile how Zuma’s architect, Minenhle Makhanya, was paid R16.5 million. I cannot see anything that would justify being charged such a large amount of money. And now I hear he has got another government contract to do some more work for them !! This gravy train just keeps on steaming ahead with no sign of letting up.

 
 

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NKANDLA


anc folly

 
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Posted by on 28/03/2014 in Constitution, Musings

 

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Apology to Dr Zeus and the Cat in the Hat


Zuma and the cat in the hat

 
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Posted by on 28/03/2014 in Uncategorized

 

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South African banks are also corrupt.


Now that Jacob Zuma has been elected to run the country for the next five years one has to wonder if the banks helped fund his election campaign? If he had been kicked out, would they have to call up all the money he owes them.

Some interesting reading in an article published by Stephan Mulholland which makes one wonder about banks who are supposed to be pillars of moral standing – and they deal with our money…..

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Stephen

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THIS IS THE BUSINESS: Our banks sink into a pit of corruption

by Stephen Mulholland, 16 December 2012, 08:53

BANKS have three basic sources of cash: shareholders’ funds, depositors’ funds and other loans and the revenue they earn on these.

This is aided and abetted, of course, by those endless, complicated schedules of exorbitant fees which no one, including those who design them, appears to understand.

Banks are licensed by the state to accept, and safeguard, our deposits and are expected to abide by high standards of probity and responsibility.

Theirs is a sacred obligation, one which is a pillar of any modern economy and whose balanced and moral behaviour is essential if society is to function efficiently.

It was thus disturbing to learn in the brilliant Mail & Guardian report on the KMPG investigation into the financial affairs of President Jacob Zuma and others how some of our major banks played fast and loose with shareholders’ and depositors’ money to curry favour with our political elite.

These bankers ladled out millions to a proven and reckless spendthrift with an appalling credit record, a known defaulter notorious for spending well in excess of his means on properties, cars and so forth while consistently dishonouring his obligations, like any common schlenter.

They advanced him money for one reason only: to buy political capital.

Those banks – Standard, Absa and FNB – are as guilty as sin of influence peddling, a crime in the US and other jurisdictions.

In the full knowledge that Zuma was a totally unreliable borrower, this is what Absa business centre manager Raymond O’Neil put in writing to his colleagues and superiors: “[Zuma’s] bank balance was the last item on his mind, with more important matters regarding the country and the province to deal with.”

O’Neil went on: “We recommend the opening of the Unique package account for Minister Zuma based on his strategic positioning and importance to the group.” This was after O’Neil acknowledged that he was aware of Zuma’s bad credit record with Standard and Nedbank.

It gets worse. O’Neil then told his bank that Zuma was likely to be elected deputy president and that Nelson Mandela was going to settle his debts. Mandela did come to the party with R2-million for Zuma, which then disappeared into various corners but for a paltry R100000 left in the permanently overdrawn Zuma account.

Absa went further and signed Zuma up as a “private client”, a status then reserved for those with at least R1-million spare for investment. Zuma never had R1 to spare, never mind R1-million.

His private client status was noted in the bank’s records as a political decision, which the M&G says was “seemingly in line with [then] chief executive Nallie Bosman’s view, stated in bank records, that ‘in terms of all financial matters’ Zuma was considered a strategic client”.

This “strategic” client immediately plunged into a huge overdraft which elicited this comment: “The conduct leaves much to be desired, but we have little option but to live with this client in view of his position.”

Standard Bank, which apparently escaped unscathed from Zuma’s shenanigans, cancelled his much- abused credit card and obtained a court order against him.

This did not deter FNB from approving a R900000 bond against the fabled Nkandla compound, chicken feed, of course against the R240-million odd of taxpayers’ money now sunk into that remote hideaway.

In support of this bond an FNB official wrote: “I am sure that the powers that be will assist where we need to bend the rules a little.”

Asked for comment last week FNB responded: “When evaluating risk in a loan application there are cases where we apply management discretion and judgment to determine lending decisions.

There are some loan applications that require discretion and our objective remains to ensure we are making the correct decision in determining the likelihood of repayment of the loan. Reference to bending the rules should be interpreted as management applying its discretion.”

It is sad to see our great institutions sinking into that stinking pit of corruption that many of our ruling political elite inhabit. What a sad example they have set.

* This article was first published in Sunday Times: Business Times

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Just a passing thought – what do the banks tell their shareholders when the arrears figures go up, and it is due to the high profile political players not paying what they owe?  And 10 out of 10 to Standard Bank for cancelling his credit card and taking it to court!!

O’ yes, I was told to include a bit about the above views being expressed are those of the author / blogger and that is is not the view of the banks mentioned, and that although it may be acceptable to me it does not represent the views and policies of my employer.

 

 

 
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Posted by on 20/12/2012 in South Africa, World happenings

 

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Jacob Zuma Incorporated.


Jacob Zuma once again.

After reading the book “Zuma Exposed” by Adriaan Basson, which collates nearly a decade of journalistic investigations into the goings on of Jacob Zuma, one gets an inkling as to why our controversial president isn’t locked away yet.

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As the former head of the ANC’s intelligence unit, Zuma would know everything about the people who surround him and he was quotes as saying in court that if he was taken down he would spill the beans on everybody. Jacob Zuma has through manipulations, cunning and deceit become head of this ANC elite which runs our country as if it was their right to enrich themselves at every turn.

And if someone dares to differ with him, they are demoted, moved or transferred.

 

Some of the things mentioned and alleged to in the book would in other countries have had the president removed from office and more.

1) Receiving payments from Schabir Shaik,  after Shaik had been convicted for corruption. This on its own should be enough to make it clear that Zuma wasn’t fit to hold office if he couldn’t allegedly even run his own finances

2) The list of charges that were instigated against the president would impress even the most hardened Mafia boss! At one stage there were 783 counts of corruption against him. Charges against Zuma included racketeering, 11 charges by the South African Revenue Services (SARS) and all the corruption charges. Now even if the corruption charges were dropped for the time being, I am sure that those raised by SARS could have been made to stick. If either you or me didn’t declare some income we would be fined and possibly face a jail sentence as well.

3) The intrigue surrounding how and why the case against Zuma were dropped after the so-called spy tapes were produced takes up quite a few pages but is worth reading. My conclusion is that Zuma knew who to remove from office at crucial times and then quickly replace them with allies that he could manipulate to withdraw the case against him. We even have a person moved from an investigative position to the World Bank!

4) The book also covers the Zuma families sudden rise to some serious wealth since Jacob Zuma became president of the ANC and subsequently president of South Africa. I thought about how was it that Jacob Zuma was so poor at one stage that Shabir Shaik was paying his accounts to keep his kids in school? Vivian Reddy had to pay the “loan” on his kraal, Nkandla, because he could not afford it.

5) One thing that that I can agree with Basson is that the allegations made by various ANC sources is that as president of South Africa Jacob Zuma is a man out of control. In the last five years of his presidential term he and his family have cost the taxpayer more than R754 million!

For those that have been following the Jacob Zuma road show, the book does contain a lot of information obtained from various printed media sources, but it does also contain some new information which has been obtained from those who were previously close to Zuma, but are now worried that Zuma no longer has the country and its people in proper focus, and is out to fast-track his wealth accumulation before he retires to Nkandla where he will be safely guarded by his selected protection corp.

 
 

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Jacob Zuma and bending the truth.


The saga about the upgrading of Jacob Zuma’s cultural village just won’t go away as he may have hoped.

The fraud and corruption trial of his former friend Schabir Shaik is revealing where some of the funds for his home “Nkandla” came from. It seems that some outside sources (French weapons manufactures) helped the President pay a bill of R1,3 million towards the costs of this village. There was also an amount of R140,000 paid from Bohlabela Wheels to the construction company working on the Nkandla site. (I will blog about Nora Fakude-Nkuna later)

Banks bending the rules.

Now the saddest part of the latest report has to do with the alleged financing of a housing loan from FNB.

Evidence revealed during the trail that President Zuma got a housing loan of R900,000 and that a businessman  stood surety for nearly half of the loan, R400,000. From court records it seems that the businessman, Vivian Reddy, also made repayments during 2003 and 2004 to this home loan. (I will blog about Vivian Reddy later)

It would seem that a FNB home loan official made the cardinal sin of putting in writing “I’m convinced that the appropriate authorities will help us bend the rules slightly.”

Now it would seem that the rules really got bent by the bank! Firstly from all reports and rumours doing the rounds it would seem that the actual ground does not belong to Zuma. One story has it that the ground belongs to Zulu King Goodwill Zwelithini. Another story has it that the ground belong to a tribal trust. A search of the Deeds Office has not revealed any deed over the property in the name of Jacob Zuma. So in who’s name did the bank register the bond? And why was it necessary to bend the rules according to the bank official?

If my memory serves me, I seem to recall that at one stage Jacob Zuma was living way above his means and  Schabir Shaik was even paying his children’s school fees and debts. Now if this was the case, surely the bank would have been aware of the state of Zuma’s affairs? They do all these checks to see if you can afford to repay the loan. And heaven forbid that you are on ITC and paid an account late! Your loan will not be approved.

So it seems as long as you have the political connections you can get the banks to break the rules but what is the payback? You scratch my back and I’ll scratch yours? And at the time of the alleged loan Mac Maharaj’s was a director of FirstRand, the holding company for FNB.

Personally I think the President should get his spokesperson, Mac Maharaj,  to keep his comment to himself. His ducking and diving in this matter is just making matters worse!! Also check the following article for Mac’s involvement in various deals (especially the new toll roads).

http://mg.co.za/article/2011-11-25-the-evidence-that-damns-mac

Bank refutes giving Zuma a loan:

http://mg.co.za/article/2012-11-20-fnb-we-couldnt-have-given-zuma-a-bond-for-nkandla

 
 

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