home Featured Why Thuli Madonsela’s state capture report is biased, compromised and a weapon of regime change

Why Thuli Madonsela’s state capture report is biased, compromised and a weapon of regime change

By Andile Mngxitama

This statement was delivered by Andile Mngxitama on 03 October 2016 during a Black First Land First (BLF) press conference at the Universal Hi-Lodge in Yeoville.

This press conference is aimed at clarifying the position of our movement- Black First Land First (BLF) on the two important investigations undertaken by the Public Protector, Advocate Thuli Madonsela. We note that the current Public Protector has only about two weeks left in her office.

BLF is concerned that these investigations may not be concluded with integrity nor guided by principles of fairness.  To this end BLF seeks to ensure that the Public Protector avoids selective investigations which are aimed at protecting white corruption and using her Office as a political weapon for regime change so as to settle political scores and serve the economic interests of white monopoly capital.

Black First Land First has material interests in the following two investigations in which the Public Protector is a stakeholder:

1. The investigation into the R26 billion stolen from the South African Reserve Bank (SARB) as indicated in the CIEX report.
2. The investigation of “state capture” which relates to the events of December 2015 with regard to the appointment of the Minister of Finance.

Furthermore, BLF shall clarify its position on the Fees Must Fall protest and also on the persecution of the current SABC’s Group Executive for Corporate Affairs, Hlaudi Motsoeneng.

On #FeesMustFall demands

BLF believes that the State President, Mr Jacob Zuma, must not fall into the trap created by the regime change agents who want to set him against the students. The demands of the students are legitimate. The President has called for a Commission to address this matter but it has been undermined by Dr Nzimande and Minister Pravin Gordhan. They have created the conditions for a confrontation between the State and the students.

We call on the President to show leadership and to refuse to use any heavy handed tactics to deal with the students. The President has to come out clear and state his position on free education. Furthermore, we call on President Zuma to declare that no fee increase be permitted this year as was the case with the last financial year. The President must declare free education as a policy directive and then engage the private sector to carry part of the burden of providing free education. This must include taxing the rich more. Failure to do so shall only give more ammunition to the regime change agents who are hoping to use the legitimate struggle of students towards realization of their own agenda.

BLF salutes the resolve of the students in their legitimate battle for free education. Furthermore, BLF salutes the revolutionary students who continue to reject pro- imperialist calls for regime change. Free education is a right and is not impossible to achieve. No more delays!

On the persecution of Hlaudi Motsoeneng

BLF is aware that ever since Mr Motsoeneng has shown clear leadership and has become one of the pioneers of transformation he has come under sustained attacks. Mr Motsoeneng is being persecuted because he dared to take a radical stance and for the first time since 1994 ensured the delivery of 90% local content via our radio stations and 80% through television. This move has greatly empowered South African artists and would equally contribute towards the empowerment of the TV and film industry.

Motsoeneng is an example of a patriotic manager who pushes for transformation. BLF is aware of how foreign funded NGOs have appealed to white capital, in particular banks, to join in the fight to silence Motsoeneng. Furthemore, it is clear to us that the regime change and anti-transformation forces inside the ANC are hellbent on satisfying their white masters by persecuting Motsoeneng.

Motsoeneng is a citizen and like all of us, has rights. The kangaroo court set up by Jackson Mthembu in Parliament against the SABC Board is a witch hunt calculated to hound Motsoeneng out of the SABC after all those years of service.

We have to ask what is the point of calling the Board of the SABC before Parliament when Jackson Mthembu has already told the world that he is going to instigate a motion to dissolve the Board even before hearing its side of the story. This is not oversight activity. It is gangsterism and kangaroo court tactics that Mthembu and his cohorts are involved in.

We call on the Parliamentary Committee to protect the SABC Board and Mr Motsoeneng against this unjust attacks aimed at intimidating black managers who are committed to transformation. After they get rid of Hlaudi Motsoeneng who is next, we ask?

On Imperialism and Hands Off Zuma

Our movement! Black First Land First, wishes to extend our gratitude to the progressive and revolutionary people of South Africa for having shown great support for our call last month to stand up against Imperialism and regime change plans aimed to illegally remove the President of the country,  Mr Jacob Zuma.

Our movement has been greatly alarmed by the coup that was successfully carried out in Brazil against the democratically elected President Dilma Rousseff. The President of Brazil was removed illegally from office by the same global forces that seeks to remove President Zuma from office.

The same regime change methods used in Brazil are being applied in South Africa (SA). We have seen how rating agencies have been threatening all kinds of economic terrorism in South Africa. We have also witnessed how entities such as Future Growth have tried to precipitate an economic crisis by unjustifiably refusing to extend credit to the strategic State Owned Entities in SA.

After conducting economic sabotage they use the media they own to spread false propaganda amongst the people and then put the blame on the President they want removed. In Brazil, just like in South Africa, these pro-imperialist agents that claim to be  fighting corruption are themselves corrupt to the core.

The media reports so-called corruption in a biased way. In South Africa, real and often massive corruption by whites is never reported or is under-played. Instead claims (even false ones) of corruption against those who imperialism and white capital want destroyed are exaggerated and given prominent place.

Who wants Regime Change in SA?

The main reasons why imperialism and white settler monopoly capital wants President Zuma removed from office is because of his perceived support for the BRICS process. The development of the BRICS banking system shall significantly undermine the influence of the West (USA, UK, European Union) in the economies of the third world and in particular the countries who are part of BRICS.

The intention of imperialism is to remove the Presidents in those countries who are pro-BRICS and to replace them with those who would be pro-West. This is what they have done in Brazil and hope to do in South Africa.

President Zuma is perceived as a threat to western imperialism through his “look East” policy of BRICS. BLF supports all measures to defend the third world against imperialism and we call on the BRICS countries to take a clear position against imperialism.

The west has earmarked a “ja baas” President to take over from Zuma. Cyril Ramaphosa is their man.  He would certainly destroy the BRICS process and take us back to the slavery of the World Bank and the International Monitory Fund (IMF) with their pro west neo-liberal Structural Adjustment Programmes which are in turn responsible for the economic crises and associated dependency in African and developing countries.

Ramaphosa has already shown that he is an able servant of white capital. To this end he was centrally involved in the Marikana Massacre in service of the interests of Lonmin, which is a London based company that is exploiting our minerals and our people.

The second force that wants President Zuma removed is white settler monopoly capital led by the two most powerful families in South Africa – the Rupert and the Oppenheimer families. It must be remembered that these two families control most of the South African economy. Nicky Oppenheimer and Johann Rupert – these two are so wealthy that they have more wealth than that of 25 million South Africans put together.
They made their wealth from colonial land dispossession as well as from the super exploitation of blacks in the mines and agriculture. Both families benefited from the colonial and apartheid state. They have also captured most of the senior politicians of the ruling party through giving them shares and BEE deals.

These two families have managed to capture the post 1994 state primarily through the control of the Treasury. They have the monopoly and hence the power to decide who the Minister of Finance should be. These two families have been spoilt by both the former SA Presidents – Nelson Mandela and Thabo Mbeki. In this regard they have always been consulted about who the Minister of Finance must be and have made sure that the said Minister is captured to make sure that the Treasury is also captured.

President Zuma is the first SA President who went against this established pattern of state capture by white monopoly capital and appointed a Minister of Finance without getting a go-ahead from white capital.

This show of independence by Zuma has frightened and angered white capital into action, including illegal action. Consequently, the appointment of Des Van Rooyen as Minister of Finance was reversed through a combination of economic terrorism and threats of further economic meltdown if he is not removed. This is regime change!
After President Zuma demonstrated his capacity to be independent white capital, in particular the said two most powerful families, have supported anyone who is against the President. The opposition parties where given carte blanche on the media owned by white capital.

Johann Rupert has come out in public to call for President Zuma to go! He has also called for the Guptas to be removed from South Africa. This is because the Guptas are seen as threatening the interests of white capital, in particular in the mining sector.
White capital has created the narrative that the problems of South Africa are all created by President Zuma and the Gupta family. The media has now ran a long propaganda campaign to turn the people into believing this lie.

We have also seen that the Oppenheimer family has later also openly joined the regime change campaign to entrench state capture through its representative, Sipho Pityana, who is employed as the Chairperson of AngloGold Ashanti. Sipho Pityana represents the Oppenheimers, just like Johann Rupert represents the family interests of the Ruperts.

These two families have historically and since post 1994 captured the state. But they now feel that President Zuma is not listening to them. They are fighting the Guptas only because it is supplying 5% of ESCOM’s coal needs. These families have monopoly in the mining sector and do not want any competition.

These are the main reasons why there is a new attempt at regime change so as to entrench white state capture.

These are dangerous times. We have been fed lies.  State institutions are used for regime change and state capture by white capital. The media is feeding our people lies everyday. White capital which is the real enemy of our people is no longer the subject of our anger. It has skillfully and through money shielded itself from view by projecting President Zuma and the Gupta family as the enemies.

When last have we heard any call for Nationalization of the Banks and Mines? When last have we heard calls for “Land Expropriation Without Compensation”? It’s now been a full year since there was a threat to occupy ABSA bank. Twelve months later, not even an ABSA ATM has been occupied!

BLF says that all corruption must be given the same attention. Furthermore, claims of fighting corruption must not be used for political and economic battles in order to entrench white settler monopoly capitalism and safe guard the interests of imperialism.
The question that must be asked is the following? Has Advocate Thuli Mandonsela been captured by white capital and imperialist interests? Can her work during her term of office (which soon comes to an end) be regarded as serving the interests of the country or is she serving partisan interests?

BLF believes there is now reason to believe that the two reports, on State Capture and the stolen R26billion, are going to be used as the last political weapons to support regime change.

We believe that Advocate Thuli Madonsela is no longer an objective investigator.  Therefore her work towards the reports on the two matters already carries the apprehension of bias on her part. Consequently her reports will be compromised and contaminated in its design to absolve white capital and implicate President Jacob Zuma and the Gupta family as the wrong doers. The aim is not to attain the truth but to cause significant political and reputational damage so as to aid and facilitate the regime change agenda to ensure state capture by white capital.

Why do we say Advocate Thuli Mandosensela’s  two investigations are already compromised? Let us consider each of the investigations in turn:

R26 billion investigation

In 2011 the Office of the Public Protector received a complaint to investigate what happened to the CIEX report which was commissioned and paid for by the post 1994 government. The report, which was compiled by a British investigation entity called CIEX on the instruction of the post 1994 South African government, has shown that more than R26 billion was stolen from the South African Reserve Bank (SARB).

The significant aspect of this report is that the stolen R26 billion is recoverable. In fact, the report clearly indicates that those who stole this money were prepared to pay back the money.

The 2011 complaint has laid dormant in the Office of the Public Protector until last year when BLF started to demand action and a progress report. Advocate Thuli Mandosela has provided conflicting reasons why no action has been taken for almost five years on an investigation of such magnitude and significance. Some of the excuses are ridiculous. In this regard she claimed that the investigation was given to an intern who abandoned her post. An intern? Another excuse she has given is that the delay in finalizing her report is because she has no jurisdiction to investigate apartheid crimes despite the fact that the complaint is about what happened to the report commissioned and paid for by the post 1994 government.

The reluctance of the Public Protector to investigate this matter has led BLF to take various actions since last year to try to get progress on the matter. This year on Nelson Mandela Day, 26 BLF members staged a protest at the Office of the Public Protector demanding yet again that she acts on the matter. Instead of chasing after the stolen R26 billion, the Office of Public Protector called the police on BLF. All 26 BLF members were subsequently arrested and are currently out on bail just for demanding that action be taken to recover the R26 billion stolen by whites.

After the arrests of its members, BLF was afforded a meeting with the Deputy Public Protector who treated us with respect and courtesy. In the meeting, BLF was assured that it is now regarded as a stakeholder in the investigation and shall be kept informed of the developments around the stolen R26 billion investigation.

This commitment was repeated to the media and is captured on film. Needless to say, no such updates have been forthcoming. In fact at the last press briefing the Public Protector gave, she again goes against the commitment of her Office and says BLF is not the complainant. An irrelevant issue completely.

The most disturbing aspect of the “now on now off” investigation on the stolen R26 billion, is that the Office of the Public Protector seeks to narrow the investigation into only R3.2 billion which implicates ABSA.

Such a course of action is without any justification. Narrowing the investigation in such a way that a significant portion of the stolen funds are not accounted for, can only be seen as an attempt to protect certain white families which are directly implicated in the theft of public funds.

The Rupert family is named as one of the beneficiaries of the R26 billion! The Public Protector is purposely shielding the Rupert family from the investigation. This is a massive course for concern.

The R26 billion implicates the following entities:

1. R3.2 billion (ABSA)
2. R3 billion (Sanlam/Rembrandt- Now part of the Remgro Group being the Rupert family business)
3. R5.5 billion (Daimler Chrysler)
4. R14.4 billion (Amscor)

It boggles the mind why the Public Protector would choose to investigate only the R3.2 billion when the report in question actually shows that R26 billion was stolen from the SARB through similar methods?

Having taken into account how the Public Protector has handled this investigation BLF has come to the conclusion that if the report doesn’t include the whole R26 billion, then it’s a whitewash calculated to protect in particular the Rupert family.

BLF calls upon Advocate Thuli Madonsela not to issue a report which is biased and incomplete. BLF completely rejects a selective investigation aimed at protecting white capital. BLF demands that Advocate Madonsela either reports on the entire R26 billion or not issue the report at all and thereby leave the investigation to the incoming Public Protector whom we believe would be more impartial and shall be brave enough to investigate the matter without fear or favor.

On State Capture

In March this year BLF lodged a complaint of State Capture with both the police and Office of the Public Protector. BLF summited a detailed statement to the OPP supporting its claim for state capture by white capital.

BLF alleges that the following individuals are implicated in the state capture activities: 

1. SA Businessman and Chairman of Richemont, Johann Rupert.
2. Barclays Africa Group Chief Executive Officer, Maria Ramos.
3.  Goldman Sachs’ South Africa Head, Colin Coleman.
4.  Investec Bank’s global CEO, Stephen Koseff.
5.  Imperial Holdings’ CEO, Mark Lamberti.
6. Sanlam CEO, Ian Kirk.
7. Business Leadership South Africa Chairperson, Bobby Godsell.
8. Toyota Europe CEO, Johan van Zyl.
9. First Rand CEO, Johan Burger.

BLF asked the Public Protector to investigate the involvement of the above people being Johann Rupert and eight others, amongst other things, in respect of:

1. The subversion of the Constitution as well as all the Arms of State including the Legislature in terms of which the President is accountable to through the people.
2. Illegal usurpation of the constitutional and other legal powers which vests in the President of the Republic.
3. Specifically, (to investigate) how the provisions of the Corruption Act had been violated by the named persons and businesses they represent.
4. The firing of DesVan Rooyen from the post of Finance Minister and the hiring of Pravin Gordhan in the same post. 

Subsequent to lodging the complaint against Johann Rupert and 8 others for state capture, we discovered new evidence which in our view is even more damaging. It turns out the same bankers and captains of industry who forced the President to hire Pravin Gordhan as Minister of Finance are his business partners.

Gordhan has shares in almost all the companies owned and managed by the 9 white capitalists who wanted him hired as Minister of Finance. If this is not conflict of interests, then what is?

Pravin Gordhan if he was a person of integrity, would have resigned upon discovering that the people who insisted that he be employed are his business partners. BLF is appalled by how the OPP is handling our case of state capture by white capital. Our matter is not treated with any seriousness or urgency. We believe this is a deliberate ploy to protect white capital.

We note that Advocate Madonsela is in a great hurry to conclude and announce the report on the complaint of state capture by the Democratic Alliance (DA). We further note that Minister Pravin Gordhan has without any delay provided funds for the conclusion of the investigation of the said complaint by the DA. Moreover, we note that the lack of funds has been the perennial claim of why matters are not investigated, including the R26 billion which is a five years old complaint.

We have reasons to believe that the only reason Advocate Madonsela is in such a great hurry to publish her report on the DA complaint is because it’s a complaint against the Guptas. To this end she hopes that her report shall provide political fodder to the opposition parties and thereby serve to strengthen the hand of the regime change agents.

BLF is clear that Advocate Madonsela cannot be selective in her investigations.
There are two similar claims before her. Firstly, the DA alleges state capture by the Gupta family. Secondly, BLF alleges state capture by white capital (Johann Rupert and 8 others).

BLF has repeatedly asked that the two complaints be dealt with together. It makes no sense to investigate the one and not the other. The two complaints were lodged with the Public Protector more or less at the same time. We ask Advocate Mandosela, “why do you prioritize the DA complaint?”. Is it because it serves the agenda of regime change?

BLF has received information implicating some of the individuals we have asked to be investigated, to be involved in a conspiracy of regime change and state capture through using the investigation laid by the DA.

BLF has written a letter to the OPP asking questions including, who are the drafters of the report on the state capture claim by the DA as well as, who has already been given the draft report and for what reasons?

The information we have indicates that there exists a systematic plot to use the OPP to effect regime change and entrench state capture by white monopoly capital.
The DA claim of state capture is seen as the last resort to finally realize the “Zuma must go” campaign, as wished for by imperialism and white capital in SA.

The Public Protector is called upon to include the allegations of state capture by Johann Rupert and 8 others in her investigations against the Gupta family. She is further called upon not to release a report which doesn’t cover all the complaints of state capture including by white business. If she releases such a report it would then be a clear case of using her office to engage in biased investigations so as to serve narrow political and economic interests.

BLF rejects a report that shall come from a selective and vindictive investigative process as a whitewash aimed to protect white capital and advance the interest of imperialism and white monopoly capital. 

It doesn’t do Advocate Thuli Madonsela any good that she has openly been assisting the illegal and murderous state of Israel. For us, this alone marks her out as not a fit and proper person to be investigating anyone. Israel is declared a criminal state by most progressive and fair minded people of the world.

To pursue these matters, in particular the recovery of the R26 billion and the state capture by white capital, BLF is calling for a march on the Office of the Public Protector on the Thursday, 6 of October 2016. 

We say – Advocate Thuli Madonsela, investigate white capital for state capture!u
We say – Advocate Thuli Madonsela, we want the full R26 billion returned so that it can be deployed towards contributing to Free Quality Education and empowering the black unemployed youth. 

We call on progressive organizations and the people of SA to support the peaceful march this Thursday. BLF has already notified the Tshwane Metro Police of this. The march is to the Office of the Public Protector at the Hillcrest Office Park, 175 Lunnon Street, Pretoria and shall start at 10am.

We won’t rest until justice is done!

Andile Mngxitama is the National Convener of Black First Land First. 

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