Citizen reporter
2 minute read
11 Aug 2020
1:08 pm

Court sets aside report’s finding that Danny Msiza was VBS Bank looting ‘kingpin’

Citizen reporter

Suspended ANC Limpopo treasurer Danny Msiza has been cleared of allegations of wrongdoing as set out in 'The Great Bank Heist' report.

Former ANC Limpopo Treasurer Danny Msiza, who is returning after being suspended for two years over alleged links to the looting of VBS Bank. Picture: Twitter/ANC

Suspended ANC Limpopo treasurer Danny Msiza has successfully challenged parts of Advocate Terry Motau’s report into the collapse of VBS Bank, in which he was identified as a “kingpin” in the widescale looting of the bank.

The report, titled The Great Bank Heist, said that Msiza used his political influence numerous times to persuade municipalities in Limpopo to invest in the bank.

About nine Limpopo municipalities lost over R1.2 billion in the bank’s scams. Msiza was labelled as “kingpin” in the heist by a bank official, alleging he masterminded the deposits by 12 municipalities.

The report also said that the so-called commissions agent Kabelo Matsepe, who was allegedly an intermediary between the bank and municipalities that invested in the bank, worked for Msiza.

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Mzisa said in his application that “the report was scandalous and, as a result, he has suffered serious reputational damage as a citizen of the Republic, as a father, husband, political figure, a businessman”.

The report also caused untold distress to his family friends and colleagues. His wife and children have been tormented by the false defamatory claims and he fears for his personal safety, he added.

The North Gauteng High Court in Pretoria ordered that the “adverse findings, remarks and conclusions by the first respondent [Motau] in the report titled “THE GREAT BANK HEIST” contained in paragraphs 72; 73; 80; 81 and 90 are reviewed and set aside”.

The court also found that Motau’s “failure to afford the applicant the right to procedural fairness prior to the release of the report titled “THE GREAT BANK HEIST” is unlawful and unconstitutional and violated the applicant’s right in terms of section 34 of the Constitution”.

The South African Reserve Bank, which commissioned the report, was ordered to pay costs.

This is a developing story.

(Compiled by Carina Koen)

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