Ramaphosa’s ‘crisis of credibility’: Avoiding questions about Sars and the $4 million

As pressure continued to mount on President Cyril Ramaphosa to come clean on whether the alleged millions in proceeds from the sale of game on his Limpopo farm two years ago were declared to the South African Revenue Service (Sars) and the South African Reserve Bank (SARB), political analysts and opposition parties were united in calling on him to make a full disclosure.

This, they said, could save his credibility, which is at risk.

Crisis of credibility

In an attempt to divert attention from the key question of whether he declared earnings from the sale of game on his farm – which, according to former spy boss Arthur Fraser amounted to $4 million (about R62 million) – Ramaphosa used his address to the ANC Limpopo elective conference at the weekend to declare he had not embezzled public funds.

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Ramaphosa has reportedly already told the ANC’s integrity committee he would subject himself to an inquiry as he prepared to face the party’s national working committee on Monday.

In a letter to National Assembly Speaker Nosiviwe Mapisa-Nqakula, United Democratic Movement (UDM) leader Bantu Holomisa called on parliament to institute an investigation into the incident.

Democratic Alliance (DA) leader John Steenhuisen agreed with independent political analyst Dr Ralph Mathekga that Ramaphosa was facing “a crisis of credibility”.

Ramaphosa, Steenhuisen said, could not “hide behind procedural smokescreens to avoid presenting South Africans with the full truth around the money that was stolen from his farm and the subsequent cover-up”.

Conceding that the handling of the farm incident was Ramaphosa’s biggest credibility test since assuming the presidency, Mathekga said the president should realise that “only full disclosure is the right thing to do”.

“Since the damning details came out, a failure to address the key questions can only serve to damage his credibility in the eyes of ordinary South Africans,” Mathekga said.

Transparency is paramount

Acknowledging that details about the Ramaphosa farm incident were scarce, University of Pretoria politics lecturer Roland Henwood said: “What this shows is the risk and difficulty of running the country and your business interests.

“Something that has been underscored is the requirement for transparent and effective management – something the ANC battles to achieve.”

READ MORE: Ramaphosa refuses to provide key details of $4 million robbery

In his letter to Mapisa-Nqakula, Holomisa described the allegations against Ramaphosa as “greatly destructive of the country’s image – both at home and abroad, likely to affect investor confidence negatively”.

“Given the alleged involvement of the police and the State Security Agency, parliament has a responsibility to make oversight over the executive – the UDM would suggest that President Ramaphosa take sabbatical leave until mid-August.

“Then, parliament and the acting president may institute a preliminary investigation into the entire matter, with terms of reference that would include the SA Revenue Service and the SA Reserve Bank,” Holomisa said.

“There is no aspect of any police or other investigation that prevents him from taking the country into his confidence with a full and honest account of events.

“In fact, he has a special obligation to do so, which no other South African has.”

Steenhuisen said: “Too many questions remain unanswered. “How much money was kept on the farm and in what currency? How much of it was stolen?

ALSO READ: ANC refuses to be drawn into Ramaphosa, Fraser spat

“How did this foreign currency get into the country? How long was it stored on the president’s property?

“Were the correct exchange controls observed? And does the president still hold foreign currency at his farm or any of his other properties?”

ActionSA president Herman Mashaba has written to Sarb governor Lesetja Kganyago and Sars commissioner Edward Kieswetter about the alleged theft from Ramaphosa’s Phala Phala game farm.

“It is illegal for South African businesses to transact in foreign currency unless it is for export purposes.

Ramaphosa’s stolen millions an inside job, and the subsequent cover-up