President Jacob Zuma has repaid the money that was used for nonsecurity upgrades on his Nkandla home. According to a statement released by the Presidency, Zuma paid the amount of R7 814 155.00 to the SA Reserve Bank.
“The President raised the amount through a home loan obtained from VBS Mutual Bank on its standard terms,” the statement reads.
Earlier this year, a court order had given the president 45 days to repay the money and the deadline was September 25.
Public Protector Thuli Madonsela found that at least R216 million was spent by the state at Nkandla and almost every item was hugely inflated. A government team comprising several experts eventually settled on the R7.8 million the president was personally liable for, which opposition parties have complained is less than 4% of the amount spent by taxpayers and too little.
ALSO READ >> How Treasury decided on the R7.8m for Nkandla
However, City Press reported in July that Zuma and his family were trying to get a home loan to pay the R7.8 million that Treasury calculated are his outstanding debts for nonsecurity upgrades at Nkandla.
According to reporter Setumo Stone, a little-known black-owned bank called VBS Mutual Bank had been approached by the family to provide the loan. The sources for the article were apparently “family associates and several people close to the discussions”.
Negotiations were said to be at an advanced stage “after the bank and Zuma’s lawyer, Michael Hulley, agreed to terms at a meeting in Sandton”.
Another report had claimed that the Zuma family was claiming they were too poor to pay the R7.8 million for items including a swimming pool, amphitheatre, cattle kraal and chicken run.