Malema’s cousin linked to VBS Bank scandal

A report by Mail and Guardian (M&G) has revealed that Mahuna Investments, a company owned by Matsobane Phaleng, who is also EFF leader Julius Malema’s cousin, received various payments from Sgameka Projects – a company owned by Brian Shivambu, the brother of EFF deputy leader Floyd Shivambu.

M&G reports that the payments range from R1m in June last year to R500,000 in February this year, and a total of about R5.9 million has been deposited to date.

This comes after reports that Brian is one of the many beneficiaries on a list of people who fraudulently received a collective total of over R53 million from the bank.

It was later reported by the Daily Maverick’s investigative unit that the EFF may have received over R1.3 million of the illicit VBS funds after as much as R10 million of Brian’s millions may have been given to Floyd.

ALSO READ: Floyd Shivambu denies receiving R10m from VBS

Payments made by Brian Shivambu to Phaleng and the payments he made to his brother, Floyd, are being investigated by the banks whose accounts were used to transfer the money flagged by Motau reports M&G.

“It is unclear what the purpose of the payments [was]. Both declined to comment on whether they had any contractual agreements and what services were rendered,” stated M&G.

When contacted for comment by the publication, Phaleng said: “After [a careful] reading of the VBS report and consulting with our team, we couldn’t find our name implicated in whatever way possible, and we wish not to get involved. I will advise that you send all your inquiries to Sgameka.”

Malema has denied knowing anything about his cousin’s involvement and said that his cousin should answer for himself if he is implicated.

For more news your way, download The Citizen’s app for iOS and Android.