Health MEC Nomagugu Simelane threatens legal action over 'false and malicious' corruption claims linked to family business
KwaZulu-Natal Health MEC Nomagugu Simelane has denied allegations that she used her political position to influence funding for a company linked to her family, describing the claims 'false and malicious.'
This follows a call by the uMkhonto weSizwe Party (MK Party) for Simelane's immediate resignation, citing alleged corruption and political patronage. The party claims that her family business, Kwazi-Gugu Investments CC, received duplicated payments totaling R1.42 million from the provincial Agriculture Department, and linked her to a controversial farm loan granted in 2008 by Ithala Bank.
The party also alleged that financial benefits to her family continued during her tenure as Health MEC, even as healthcare services reportedly declined.
In a statement, the MK Party said it viewed the matter with 'deep concern and serious disappointment at the troubling revelations recently brought to light.'
Simelane issued a statement to set the record straight.
'The company in question was established in 1996 by my parents, and I resigned from it in 2004. I have no business interests in it. I have never benefited from any of its dealings.'
She explained that the company received financial support from a state-owned development finance institution years before she held any position of authority.
'Furthermore, the company in question received a loan from Ithala Bank in 2008. At that time, I was a junior official in Government, with no authority or influence over Ithala or any funding decisions.'
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