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  • Brian Molefe, Anoj Singh and co-accused granted bail after arrests in Transnet fraud case
    Former Transnet chief executive officer (CEO) Brian Molefe, Anoj Singh, the parastatal's former finance boss, and their co-accused were granted bail on Monday after being arrested in connection with a R93-million corruption and fraud case linked to the procurement of 1 064 locomotives in 2015.
    The two former executives were joined in the dock by Niven Pillay and Litha Nyhonyha, directors at the Gupta-linked firm, Regiments Capital.
    The four men were granted R50 000 bail.
    The case has been postponed to 14 October.
    Earlier in the morning, six other people, who had already been charged in the matter, appeared briefly in the same courtroom.
    The six - another ex-Transnet group CEO, Siyabonga Gama, Regiment Capital's Eric Wood, former Transnet acting chief financial officer Garry Pita, former group treasurer Phetolo Ramosebudi, Trillian Asset Management director Daniel Roy and Kuben Moodley, owner of Albatime - previously appeared in court in May.
    Wood has requested that his bail conditions be amended. He will be back in court on 7 October for the hearing.
    The matter stems from a payment of R93-million to Trillian Capital, a Gupta-linked proxy company, to secure funding for the purchase of the locomotives.
    The transaction advisory contract was initially awarded to global investment bank, JP Morgan, before the deal was cancelled. It was subsequently awarded to Trillian.
    The estimated cost of the project ballooned from around R38-billion in 2012 to more than R50-billion.
    In its report, the Zondo Commission recommended that the police investigate Molefe, Gama and Singh for their alleged roles in siphoning money from Transnet to the Gupta family.
    A 2018 forensic report found that Molefe had misled the state-owned entity's board about its obligation to inform then-public enterprises minister Malusi Gigaba about the spike in the project's costs.
    BAIL APPLICATIONS
    During their first appearance, Molefe, Singh, Pillay and Nyhonyha detailed their personal circumstances to the court as they sought to secure bail.
    All four indicated that they intended to plead not guilty.
    Nyhonyha told the court he was married in community of property. He also said his children had previously studied in America and Britain, but that they had since returned home. He added that he held shares in various companies.
    Molefe said he didn't have any relatives outside of South Africa's borders.
    His lawyer, Mpho Molefe, told the court the former Eskom CEO was married with two minor children, who relied on him for support.
    He said he also supported his mother.
    Molefe said he received R52 000 monthly from his pension, and he earned a R12 000 salary from his directorship at a company.
    Singh's attorney, Anneline van den Heever, said he had no previous convictions and wasn't a flight risk.
    Van den Heever told the court her client wouldn't interfere with the State's evidence or witnesses.
    4 min
  • July unrest instigators back in court
    Logistics was at the forefront of the brief court appearance of 37 accused arrested for being instigators in the July 2021 unrest, in the Durban Magistrate's court on Friday.
    Thus far, 48 suspects have been nabbed by the Hawks. Only two of the accused made their first appearance in court on Friday in a packed courtroom. With the dock being far too small, the accused were forced to line the first three rows of the public gallery for their court appearance.
    More arrests are expected, with the Hawks indicating their operation to nab instigators was ongoing. The matter was postponed to 30 November.
    1 min
  • Transnet and unions declare wage deadlock, strike looms
    South Africa's Transnet announced on Friday a deadlock in wage negotiations, with two labour unions raising the prospect of a strike that could further cripple the State-owned logistics company and impact Africa's most advanced economy.
    Transnet has been operating below capacity due to the shortage of locomotives, inadequate maintenance, vandalism and theft of its infrastructure, costing miners billions of rand in potential revenue.
    In a statement, Transnet said a wage dispute had been formally declared with the South African Transport and Allied workers Union (Satawu) and the United National Transport Union (UNTU) after negotiations which started in May.
    Transnet said the unions had rejected its offer of a 1.5% increase on employees' pay, excluding medical and housing allowances.
    "Their position remains unchanged from the previous rounds of wage negotiations, with a demand for a 12% increase on annual guaranteed pay, as well as other demands which add up to a total increase in labour costs of 21%," Transnet said.
    UNTU General Secretary Cobus van Vuuren told Reuters that his union, which he said was the majority at Transnet with more than 50% of the workforce, had rejected Transnet's offer as it was way below the inflation rate, recorded at 7.8% year-on-year in July.
    He said the formal declaration of a dispute allowed a 30-day "cooling off period" for further negotiations with Transnet.
    "However, if there's no compromise reached by the parties, that would enable labour to go through a balloting process where members will mandate whether we can embark on protected industrial action or not," van Vuuren said.
    Satawu described Transnet's offer as an "insult", but said it remained open to further negotiations.
    "Satawu wants to emphasise that going on strike is not our priority. However, at this stage, the employer is forcing us to go through that route," it said in a statement.
    3 min
  • Babita Deokaran: Gauteng Health boss Lerato Madyo suspended amid R850m Tembisa hospital scandal
    Gauteng health department CFO Lerato Madyo was suspended on Friday morning as the R850-million Tembisa Hospital scandal, discovered by Babita Deokaran, deepens.
    Well-placed sources in the department said Madyo was placed on suspension on Friday morning, a month after News24 began publishing a series of exposes, titled 'Silenced'.
    In the weeks before her assassination last year, Deokaran stumbled across a surge in spending out of the East Rand hospital, and called for a stop to payments and an urgent investigation. Her pleas were ignored.
    Deokaran confided in Madyo that her life may be in danger just days before the killing. News24 revealed that Madyo sat on her concerns until after she was murdered, and never acted on a report into the "possibly fraudulent" payments from the hospital.
    Gauteng Premier David Makhura last week announced the appointment of an independent investigator, and the SIU also announced that it had started the process to launch their own inquiry. This came as Madyo faced an internal inquiry, called upon to explain her inaction around Deokaran’s warnings around Tembisa Hospital, and why her concerns were not escalated.
    News24 identified a web of shell corporations which extracted more than R110-million through dubious contracts in a matter of weeks, selling everything from medical equipment to skinny jeans to the hospital.
    Madyo could not be reached for comment at the time of publishing.
    2 min
  • Court dismisses AfriForum application to have 'Kill the Boer' declared hate speech
    Judge Edwin Molahlehi on Thursday morning dismissed lobby group AfriForum's application to declare as hate speech the singing of two songs – Kill/Kiss the Boer and Bizani iFire-Brigade.
    AfriForum also sought to have Economic Freedom Fighters leader Julius Malema and party MP Mbuyiseni Ndlozi pay R500 000 to a charity organisation for singing the inflammatory songs.
    They also wanted the pair to apologise for singing the songs.
    Molahlehi said AfriForum failed to make their case.
    1 min
  • South Africa seeks to curb immigration, plans policy revamp
    South Africa plans to end most special permits for foreigners as it revamps its immigration policies to manage an influx of economic migrants.
    The government announced that a special dispensation allowing Zimbabweans to live and work in South Africa will expire at the end of this year, while similar concessions for about 90 000 people from neighbouring Lesotho will expire in 2023 and won’t be extended, Home Affairs Minister Aaron Motsoaledi said. Permits for Angolan residents were terminated in August 2021.
    “We are not targeting” any particular nationality, Motsoaledi, 64, said in an interview in Bloomberg’s Johannesburg office. Many “economic migrants” abused the nation’s asylum provisions by falsifying reasons for leaving their countries, he said, adding that implementing sovereign laws wasn’t xenophobic.
    Africa’s most industrialized nation has been a magnet for people seeking better economic opportunities from across the continent, particularly from the Southern African Development Community countries. Arrivals ballooned in 2008 as the global financial crisis combined with an economic collapse in Zimbabwe triggered mass migration, the minister said.
    That year as many as 227 000 people from Zimbabwe moved to its southern neighbour, according to Motsoaledi, a medical doctor by profession. Many were given permits, which were extended until 2021.
    South Africa is grappling with a 33.9% unemployment rate -- the highest on a list of 82 nations monitored by Bloomberg -- and its economy is stuck in its longest downward cycle since World War II. The country of about 60.6-million people is home to almost 4-million migrants, according to government data.
    The presence of foreigners in South Africa has sparked resentment among some locals, who see them as competitors for scarce jobs, health care and housing, and the country has been wracked by intermittent xenophobic violence.
    A video circulating on social media this week showed Phophi Ramathuba, the head of the health department in Limpopo province, which borders Zimbabwe, reprimanding a Zimbabwean patient for seeking treatment in South African. Residents from the neighbouring country put a “huge strain” on Limpopo’s medical facilities, she said on the clip.
    Divisive Issue
    “Nobody will be denied medical service,” Ramathuba, a member of the ruling African National Congress, later told News24, while reiterating that she stood by her comments. The South African Medical Association said it “deplores the manner” Ramathuba chose to address the challenges facing the health care system.
    Public hospitals and clinics are struggling to meet the needs of citizens “and reduce backlogs due to unpredictably high number of undocumented migrants” seeking care in the country,” South Africa’s Department of Health said in a statement, responding to the Ramathuba’s comments.
    As South Africa heads into the 2024 general elections, the presence of foreign nationals in the country has become a divisive point, with some parties positioning their electoral propositions around reducing their numbers.
    At a recent ANC policy conference. it was proposed that South Africa withdraw from the 1951 United Nations convention on refugees. The convention constrained the government’s ability to deal with the migration crisis and “a new instrument,” needs be adopted, the party said.
    Meanwhile, the end of the Zimbabwean exemption permit has spurred legal action against the government challenging its constitutionality. About 178 000 citizens who were issued the permits have until December 31 to apply for a regular visa or leave South Africa.
    So far, 6 000 Zimbabwean Exemption Permit holders have asked the Department of Home Affairs not to terminate their documents, according to the Daily Maverick.
    5 min
  • Phala Phala saga: Independent panel investigating Ramaphosa will have 30 days to complete its work
    National Assembly Speaker Nosiviwe Mapisa-Nqakula says the independent panel set up to investigate the Phala Phala saga involving President Cyril Ramaphosa will have 30 days to complete its work.
    Mapisa-Nqakula is waiting on political parties in Parliament to nominate candidates to serve on the panel. They will be expected to decide whether Ramaphosa will be subject to a process that may lead to his removal from office.
    This emerged during Thursday's meeting of the National Assembly's Programming Committee.
    Political parties have been requested to submit names to serve on the panel by 1 September.
    Mapisa-Nqakula said according to the rules, the process after the appointment will take about 30 days.
    "Once the panel has been announced and appointed, that panel will have 30 days to do its work and present a recommendation to my office. We have up to 1 September to make submissions. On 2 September, we may be announcing the panel, and they will start their work. The panel has 30 days from the date of the announcement," she said.
    Earlier this month, Mapisa-Nqakula referred to an independent panel the African Transformation Movement's (ATM) call for Parliament to set up an inquiry into the Phala Phala saga.
    Section 89 of the Constitution provides for the National Assembly to remove a president of the republic from office on the grounds of either serious violation of the Constitution or the law, serious misconduct, or an inability to perform the functions of office.
    "Once the Speaker has received all the names, which will be more than three names, the Speaker has then to select the three [names] out of the many names that have been submitted. From there, we must establish the availability of the selected names. It could very well happen that a particular name (person) is not available, then we need to go to the next name (person). We will try and speed up that process and finalise procurement issues," said Secretary to the National Assembly Masibulele Xaso.
    Xaso also said the terms of reference have already been clarified.
    Former spy boss Arthur Fraser alleged in June that at least $4-million was stolen from the farm in February 2020 and that, subsequent to the theft, off-the-books means were used to try to locate the culprits and the money.
    News24 recently reported that burglars stole an estimated $600 000 in cash from Ramaphosa's farmhouse – far less than the millions of dollars that were initially speculated to have been taken.
    So far, Ramaphosa has not answered any questions on the Phala Phala matter, and he has maintained that due process should be followed.
    In a separate move, eight opposition political parties backed a motion of no confidence against Ramaphosa.
    3 min
  • Babita Deokaran murder: Defence issues stall start of highly anticipated trial
    The case of the six men accused of killing Gauteng health department official and whistleblower Babita Deokaran has been postponed again – this time to give the defence an opportunity to take further instructions on funding and certain documents.
    The accused – Phakamani Hadebe, Zitha Radebe, Nhlangano Ndlovu, Sanele Mbhele, Siphiwe Mazibuko and Siphakanyiswa Dladla – appeared briefly in the Gauteng High Court in Johannesburg on Wednesday morning, a day after the one-year anniversary of Deokaran's death.
    Their lawyer, Shafique Sarlie, told the court: "Regrettably, we have not been able to reach some agreement with family and friends [who are apparently raising money to fund the defence] of the accused. We require more time, my lady."
    Sarlie said the defence had been furnished with more evidence in the docket and that they expected to receive more documents from the State.
    The court postponed the case to 6 October.
    The accused have been charged with murder, and the attempted murder of Deokaran's domestic worker, who was in the car with her at the time of the shooting. They face additional charges of illegal possession of firearms and ammunition and conspiracy to murder.
    All of the accused were denied bail last year.
    At the time of her murder, Deokaran worked in the Gauteng health department's Financial Unit, investigating several corruption cases. Her killing has been widely described as a hit.
    During their bail application in the Johannesburg Magistrate's Court, the defence alleged that the accused were forced to make concessions, including one that implicated former health minister Zweli Mkhize as their paymaster. They claimed police assaulted their clients.
    Mkhize later released a statement denying any knowledge of or involvement in Deokaran's murder.
    A News24 investigation found that five of the six men hailed from the same village in rural KwaZulu-Natal, and that they had gathered for a function before Deokaran's murder.
    Another exclusive revealed that Mbhele was still receiving a salary from the Inkosi Langalibalele District Municipality in Estcourt, KwaZulu-Natal, where he worked, even though he was behind bars and went AWOL in March.
    3 min
  • Inflation hits new 13-year high
    Annual consumer inflation reached its highest level in 13 years, increasing to 7.8% in July from 7.4% in June. The increase was in line with economists' forecasts.
    The consumer price index (CPI) rose by 1.5% between June and July this year. According to Statistics SA, this was only the fourth time since 2008 that the monthly increase was 1.5% or higher.
    Annual food inflation rose by 9.7% in July, from 8.6% in June. Bread and cereals prices were 13.7% higher than a year ago. Between June and July, there were large monthly price hikes reported in a range of products, including, maize meal (4.2%), cake flour (6.3%), macaroni (5.0%) and white bread (2.8%). But rice prices fell by more than 3%.
    Oils and fats saw the biggest price hikes - up 36% in July from a year ago.
    In July, fuel prices were hiked by more than 10%. This hit transport prices in particular, with taxi fares up 9% in a single month. Taxi fares were 16% higher than a year ago. Petrol is 56% more expensive than it was a year ago.
    The latest consumer inflation rate reflects the annual increase in municipality service tariffs, which are adjusted in July every year.
    Electricity tariffs increased on average by 7.5% - which is lower than last year’s rise of 13.8% but higher than the 2020 increase of 6.3%, Statistics SA reports.
    But services inflation (+4.2%) and durable goods prices (+4.8%) remained much cooler than non-durable goods inflation - mostly driven by food - which is now at 14.4%.
    3 min
  • Steenhuisen urges parties to think hard about coalition alternative
    Democratic Alliance (DA) leader John Steenhuisen said on Wednesday that political parties will have to think long and hard about where they’d like to see South Africa after 2024.
    Steenhuisen explained that, according to latest polling, there was a mere 11% points difference between the African National Congress (ANC) and the DA, explaining that this meant a coalition government, post-2024, would either be led by the DA or by the ANC.
    “Every party is going to have to think long and hard about where they’d like to see South Africa after 2024. Because when we speak of a coalition alternative following the next election, we’re not only talking about one possibility,” he said.
    Steenhuisen added that there were only two realistic coalition outcomes, explaining that every party and its leaders will have to decide which of those two options they want for the country.
    “I can only speak for the DA when I say that our commitment to bringing about change for the people of South Africa will not waver. Our project is to replace the ANC government, and we will see this project through,” he said.
    He said the DA would continue to engage with other political parties that shared its core values as it looked towards 2024 and beyond.
    “Because our coalition - the coalition of reform, accountability and delivery - will need to be ready to step into national government in less than two years’ time. We will also continue, through these metro coalitions, to serve the residents as best we can, because people need to see and believe that coalition governments are not only possible, but also that they can be effective,” he added.
    He assured citizens that his party could fight the ANC, saying the DA’s entire focus was on replacing the ANC government with a coalition government in 2024.
    COORDINATED ATTACKS ON COALITION GOVERNMENTS
    Steenhuisen alleged that there was a coordinated attack on the coalition governments of Tshwane, Johannesburg and Ekurhuleni, orchestrated by the ANC and supported by its small proxy parties.
    “The mayors of these metros - who all happen to be DA mayors - are being targeted simultaneously in an effort to destabilise these governments and let the ANC in the back door. In Tshwane, the ANC has submitted a motion of no confidence in Mayor Randall Williams, while in Johannesburg its allies, the Pan Africanist Congress of Azania and the African Independent Congress, have done the same to Mayor Mpho Phalatse. And we understand there are now similar plans afoot for Mayor Tania Campbell in Ekurhuleni,” he claimed.
    He explained that these coordinated attacks on DA mayors - and also on speakers - were nothing short of a coup attempt by the corrupt.
    Steenhuisen said this was the work of an ANC that found itself cut off from its entire patronage network in these Gauteng metros.
    “As a result it now cannot fund its own operation or pay its own staff, not to mention the blow this has dealt to the lavish lifestyles many of its members have become accustomed to. It desperately needs to get its hands back in the cash register, and it will stop at nothing in its efforts to do so,” he stated.
    Steenhuisen said that by trying to scupper these metro coalition governments, the ANC was effectively attacking the country’s chance to move beyond ANC dominance.
    “They are attacking project South Africa and threatening to drag the country back to a place it should never, ever return to,” he added.
    Steenhuisen stated that the project to replace the ANC government was too important to fail, adding that the DA was determined to keep the ANC and its proxy parties from sabotaging the future of the country.
    He said the DA had no doubt that most of the party’s coalition partners would stand beside the DA to help ward off an attempted power grab from the ANC.
    “There are many of us across multiple parties who share a vision of a South Africa that works for all its people and who believe that this vision is now well within our reach. I am greatly encouraged by the princ...
    5 min

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