Limpopo ANC refers VBS Bank report to ANC integrity body

The Limpopo African National Congress (ANC) provincial executive committee (PEC) decided to refer the VBS Mutual Bank report to the party’s national integrity commission for immediate consideration.

This decision was taken after the PEC met with the ANC’s national executive committee (NEC), including President Cyril Ramaphosa, on Monday at its Luthuli House headquarters over the alleged looting by some senior provincial officials of the failed bank.

The PEC said it also met yesterday to extensively discuss the VBS scandal.

The South African Reserve Bank (Sarb) commissioned report titled The Great Bank Heist, which was released last Wednesday, reportedly implicated the deputy chairperson of the ANC in the province, Florence Radzilani, and provincial treasurer Danny Msiza.

Radzilani allegedly invested R300 million of the Vhembe District Municipality’s money and had allegedly been bribed, while Msiza was alleged to have had a hand in ensuring that municipalities illegally deposit to the bank.

The Limpopo PEC resolved to await the report of the party’s integrity commission and committed to fully implement its recommendations.

In a statement today, the PEC said that it had placed it on record that criminal and unethical behaviour by those within its ranks would not be tolerated irrespective of their leadership positions within the ANC.

“As leaders of society, the ANC implores on all its members to be exemplary in our conduct at all times,” the statement reads.

The ANC in Limpopo said it had been “irritated” that the province had lost more than R1.1 billion “due to incompetence and dereliction of duty” by councils in Limpopo “and officials bestowed with the responsibility to manage the bank and those managing municipal finances”.

The PEC further resolved to mandate all ANC-led municipal councils affected by the VBS scandal in the province, provincial Treasury and the Department of Cooperative Governance and Human Settlements and Traditional Affairs to implement appropriate corrective measures with immediate effect.

“They must ensure that there is prompt consequence management by the end of October 2018.”

The PEC further called on municipal councils to strengthen political management teams to ensure effective political oversight.

The PEC acknowledged that the criminal activities which took place at VBS have caused untold suffering to the depositors, a majority of whom are elderly and poor.

The ANC provincial executive emphasized that it empathises with the Vhembe community, adding that it is committed to doing all within its means to ensure that justice is served.

The PEC said it appreciates the VBS report, acknowledging that it is being considered by various law enforcement agencies.

“We pledge our support for the work they are doing and hereby call on them not to leave a stone unturned in ensuring that all those involved in wrongdoing face the full might of the law.”

The PEC said it appreciates the fact that VBS is the only black-owned institution in the Limpopo province in possession of both banking and insurance licenses, adding that the bank carries the potential to play a critical role in Broad-Based Black Economic Empowerment.

“The PEC resolved to work with all relevant stakeholders in fighting for the resuscitation of the Bank.”

(Compiled by Makhosandile Zulu)

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