Latest news with #StateCapture
Zawya
a day ago
- Business
- Zawya
South Africa: $614mln assets linked to State Capture Commission recovered
As government continues to implement the President's response to the recommendations of the State Capture Commission report, the asset recovery linked to the commission has increased from R2.9bn in October 2022 to R11bn by March 2025. This was revealed by Minister in The Presidency, Khumbudzo Ntshavheni, on Thursday, during a media briefing in Cape Town, on the outcomes of a Cabinet meeting that was held on Wednesday. 'Cabinet was briefed about substantial progress made in the implementation of the recommendations of the State Capture Commission. Major reforms include the enactment of eight new laws addressing corruption, procurement, intelligence services, and corporate accountability,' the Minister said. The criminal investigations and prosecutions work has resulted in the conclusion of four state capture commission cases with guilty verdicts. Eleven other cases involving 51 natural persons and 27 companies have been enrolled in court. 'The erstwhile Department of Public Enterprises referred 71 former State-Owned Enterprise (SOE) directors to the Companies and Intellectual Property Commission (CIPC) for delinquency proceedings resulting in nine active court cases. 'The CIPC has completed reviews for 10 private sector entities implicated in the State Capture Report, with six investigations ongoing and eight new Special Investigating Unit (SIU) referrals under assessment,' Ntshavheni said. The National Treasury has imposed a 10 year (2022-2032) ban on Bain & Co on doing business with the state, which Bain is challenging in court. Various reforms to prevent future state capture are underway while some have been implemented. Amongst those are: - The establishment of the Investigating Directorate Against Corruption which commenced its operations on 19 August 2024. - The National Framework towards the Implementation of Professionalisation of the Public Sector was approved by Cabinet in October 2022 and the National Anti-corruption Advisory Council has concluded research into the institutional reform recommendations of the State Capture Commission. All rights reserved. © 2022. Provided by SyndiGate Media Inc. (
Daily Maverick
3 days ago
- Politics
- Daily Maverick
Process to appoint Shamila Batohi's successor must be handled with great care and expertise
The Government of National Unity has promised to fight corruption and restore trust in state institutions. That pledge will ring hollow if it fails to act boldly on one of the most important appointments of the next five years. In January next year, National Director of Public Prosecutions Shamila Batohi will reach the mandatory retirement age and vacate her office. This moment presents South Africa with a crucial opportunity — not only to appoint a mission-critical leader, but to restore credibility to a deeply damaged institution: the National Prosecuting Authority (NPA). If we are serious about rooting out corruption, prosecuting State Capture and re-establishing the rule of law, then we must recognise that, as it stands, the NPA is failing to execute its constitutional mandate. This is not a criticism of one individual, but a reflection of a systemic crisis. Unless the appointment of Batohi's successor is handled with great care and expertise, we risk entrenching the dysfunction that has made justice so elusive for the perpetrators of State Capture. The Centre for Development and Enterprise recently released a report outlining two urgent, interlinked interventions: the creation of a robust and transparent appointment process for the new National Director of Public Prosecutions; and the establishment of an inquiry into the NPA's performance, led by a retired senior judge. Neither step can wait. And both, if implemented correctly, could help revitalise one of the most important institutions in South Africa's democracy. The NPA is the constitutional bulwark against the abuse of power. Yet it has been weakened by decades of political interference, flawed appointments, and institutional mismanagement. Since its establishment in 1998, no National Director of Public Prosecutions has completed a full term. Several were removed by court rulings that found their appointments to be unlawful or irrational. That revolving door at the top has undermined stability, effectiveness, and morale. Turmoil of the Zuma years Shamila Batohi has brought a measure of steadiness to the role after the turmoil of the Jacob Zuma years. But the structural damage done during the State Capture era has proved hard to reverse. Even Batohi recently acknowledged that the prosecuting authority was 'not out of the woods yet', and admitted that — despite progress with general conviction rates — the NPA had failed to successfully prosecute any major State Capture cases involving high-level political actors. This is a devastating admission. The Zondo Commission and investigations by various journalists have laid out, in painstaking detail, the networks of corruption and abuse that hollowed out the state. But far too many implicated individuals are still at large. The withdrawal of charges in the case of Moroadi Cholota, a former assistant of former Free State premier Ace Magashule, is the latest reminder that something is fundamentally wrong with how high-level cases are being pursued. These failures embolden wrongdoers and erode public confidence in the state's ability to hold the powerful to account. That is why the Centre for Development and Enterprise is calling on the president to act swiftly and decisively. Reformed process Our first proposal is that the president should reform the process for appointing the National Director of Public Prosecutions. The current practice, governed by the NPA Act, gives the president broad discretion with little built-in transparency or accountability. This has led, time and again, to poor outcomes. President Jacob Zuma's disastrous appointments of Menzi Simelane and Shaun Abrahams — both ultimately declared invalid by the Constitutional Court — still cast a long shadow. We need to do better. The Centre for Development and Enterprise recommends a two-stage appointment process, modelled on the one used in 2019 to appoint the current Commissioner of the South African Revenue Service (SARS), Edward Kieswetter. That process emerged from the Commission of Inquiry into Tax Administration and Governance by SARS, headed by a retired senior judge, which exposed deep dysfunction and offered actionable recommendations to restore good governance. Its impact is evident in SARS's turnaround since then. We believe a similar approach can rescue the NPA. In terms of our proposal, the president would begin by identifying candidates who meet clearly defined criteria: they would have to be legal practitioners qualified to appear in all courts, as well as individuals with significant prosecutorial and managerial experience, unblemished integrity, and a demonstrable commitment to the NPA's independence and constitutional role. These candidates would then be assessed by a high-level, independent panel. This panel should comprise individuals with high credibility across sectors: a retired judge, a senior advocate or attorney, a former National Director of Public Prosecutions or experienced prosecutor, a respected civil society leader, a retired senior public servant, and a business leader with considerable turn-around managerial experience. This diverse and balanced composition would ensure that legal, managerial, ethical, and governance expertise are all represented in the evaluation process. Importantly, while the panel's membership, criteria, and final recommendations should be made public, the actual interviews and deliberations should remain confidential. As we have seen with the Judicial Service Commission, public interviews can dissuade good candidates, encourage superficial discussions, and turn serious assessments into media spectacles. A more discreet approach fosters thoughtful deliberation and single-minded focus on finding the best person for this vital job. Shortlist Once the panel has concluded its work, it should submit a reasoned recommendation — or shortlist — to the president, who retains the final decision but must publish both the panel's advice and the rationale for his choice (even if it is different from that of the panel). This process would significantly enhance public trust and reduce the risk of political manipulation. Legally, the president has the option of extending Batohi's term by up to two years. The Centre for Development and Enterprise believes this would be a mistake. The NPA needs new leadership and a reinvigorated mandate. Extending the status quo would squander a rare opportunity to introduce fresh energy into a flailing organisation. To ensure a smooth transition, the next National Director of Public Prosecutions should be named by December 2025. That provides enough time for a meaningful appointment process and ensures there is no leadership vacuum at the top. Appointing a capable National Director of Public Prosecutions alone will not solve the NPA's challenges. The incoming leader must know what they are up against. That is why the Centre for Development and Enterprise's second recommendation is equally urgent: the establishment of an inquiry, led by a retired senior judge, into the structure, leadership, independence, and performance of the NPA. This inquiry — ideally completed by the end of 2025 — would provide a detailed, independent diagnosis of the challenges facing the prosecuting authority. Like the Nugent Commission did for SARS, it would offer a roadmap for reform based on facts, not speculation. The inquiry should deliver an interim report to the president and minister of justice before the new National Director of Public Prosecutions takes office, with a final report tabled in Parliament within eight weeks of its completion. Where the state decides not to adopt a recommendation, it must provide reasons publicly. Transparency and accountability must be central throughout the process. Political test Reviving the NPA is not just a legal necessity — it is a political test. The Government of National Unity has promised to fight corruption and restore trust in state institutions. That pledge will ring hollow if it fails to act boldly on one of the most important appointments of the next five years. The office of the National Director of Public Prosecutions is not merely another job; it is a vital instrument in the defence of democracy. It must be filled by someone of real capability and independence, chosen through a process that inspires confidence rather than suspicion. Done right, this appointment could mark the beginning of a new chapter for the NPA. Done wrong, it will confirm the worst fears of a public that has waited far too long for justice. DM
Daily Maverick
17-06-2025
- Business
- Daily Maverick
After the Bell: Want a decision from the SA government? Don't hold your breath
There are plenty of cases where the government just takes a long time to make decisions. Even decisions that need to be made by one person can take forever. In some cases, the process is just too technical, with too many steps. And while it can be frustrating, it is also really expensive for our economy. One of the great and terrible certainties about South African life is that you know any kind of government process is just going to take forever. And while it can be frustrating and taxing, in the end it is also hugely expensive for our economy. On Tuesday, 17 June 2025, BusinessLIVE reported on the CEO of Afrimat, who had told shareholders in the annual report that a delay by the Competition Tribunal over its deal with Lafarge SA might have cost the company about R185-million. That's because while the tribunal was considering the case, the equipment, including kilns, fell into disrepair. By the time the tribunal allowed the deal, it was exactly a year since it was first announced. And remember, all the tribunal had to do was consider the recommendations of the Competition Commission — it wasn't as if they were starting the entire case from scratch. Something similar has happened with the Vodacom-Maziv deal, where the two want to work together to roll out fibre. This is something that should greatly benefit our economy. That case took three years before the Competition Tribunal eventually ruled that the merger could not go ahead. And even then, the parties had to wait for months before the final reasons were actually published. Considering how the fibre market has changed in the past three years, this might well have a material impact on whether the deal still has the same value as it did when it was announced. It's easy to pick on the Competition Tribunal. And we should. But there are plenty of other cases where the government just takes a long time to make decisions. In some cases, the process is just too technical, with too many steps. There are also, arguably, too many different forums. For example, Vodacom now has to appeal against the Competition Tribunal ruling in the Competition Appeal Court. It is even possible that if it fails there, it could go to the Constitutional Court. That would mean the whole thing will probably take more than five years. But it is not just our judicial and legal processes that take a long time. Even decisions that need to be made by one person can take forever. Jacob Zuma once took nearly two years just to appoint a new head of the Special Investigating Unit. That was clearly political; he didn't want anyone in the job for reasons that became pretty obvious. But President Cyril Ramaphosa sometimes isn't much better. The head of the National Prosecuting Authority (NPA), Shamila Batohi, has asked him to suspend the head of prosecutions in Joburg, Andrew Chauke. He is accused of a litany of sins, including sabotaging prosecutions during the State Capture era. Her request was made nearly two years ago. And Ramaphosa has still not made a decision. Considering that he has claimed to want to support our independent institutions, and the NPA, what could his motive possibly be? Two weeks ago, Police Minister Senzo Mchunu withdrew an advert for a new head of the Hawks, after Godfrey Lebeya retired. The process to find a new head will now start again, meaning they will be without a boss for four months. At least. And I'll bet you the cost of a double ticket to see the Springboks at Ellis Park that it will take longer than that. There are many other examples. Former Department of Trade, Industry and Competition Minister Ebrahim Patel was accused by the current head of the National Lotteries Commission, Professor Barney Pityana, of delaying the appointment of the agents who formally assign money to groups that are supposed to benefit from it. The current Health Minister, Dr Aaron Motsoaledi, appeared to take forever to publish regulations around the digital nomad visa when he was at Home Affairs. In the end the new minister, Leon Schreiber, had to do it. And was able to claim something for the DA in the process. I think sometimes when there is a long delay we have to ask who is really responsible. In the case of the Competition Tribunal, it is not just that they make decisions businesspeople don't like. It's that the delay is caused because they don't have enough members. As columnist Michael Avery has pointed out, it appears to be seriously understaffed. By the way, they're not the only ones. Mbekezeli Benjamin from Judges Matter once pointed out that the Electoral Court had been without a full complement of staff for a full five years. That's astonishing, no matter how you look at it. And it's only because of the politicians; they are the ones who are ultimately in charge. When there are delays like this, I think we're entitled to ask why. And this is the risk to the politicians. When Ramaphosa can't make up his mind about Andrew Chauke for two years, it looks like he's defending him, even if he's not. When tribunals and courts are left without their full complement of judges and commissioners, it must make them weaker. But sometimes it can be something else. DM
Daily Maverick
17-06-2025
- Politics
- Daily Maverick
‘I will not step down,' NPA head Shamila Batohi tells MPs
With much riding on the shoulders of the NPA's Shamila Batohi, she says she won't quit amid calls for her resignation. Shamila Batohi, the head of the National Prosecuting Authority (NPA), has made it clear that she will not leave her position as National Director of Public Prosecutions (NDPP) following renewed calls for her resignation amid growing concerns about the NPA's failure to prosecute State Capture cases. 'I want to say that, as the NDPP, I will not be stepping down because I believe that we are doing a really good job to serve the people of this country – as we have been – and, particularly, the victims of crime,' Batohi told MPs in Parliament. Batohi was responding to demands for her resignation by uMkhonto Wesizwe (MK) MP Sibonelo Nomvalo and Economic Freedom Fighters (EFF) MP Mathibe Mohlala during a parliamentary justice committee meeting on Tuesday, 17 June. Minister of Justice and Constitutional Development Mmamoloko Kubayi also appeared before the committee to table the department's annual performance plan. Batohi has faced fresh calls to resign or be removed from office in recent weeks, after the NPA was accused of bungling the extradition of Moroadi Cholota, the former personal assistant of corruption-accused former Free State premier Ace Magashule. The Free State Division of the High Court in Bloemfontein ruled earlier this month that Cholota's extradition from the United States was unlawful and unconstitutional on the grounds that the extradition had been requested by the NPA rather than Kubayi. Judge Phillip Loubser concluded that the court therefore did not have the jurisdiction to try her. The mishandling of Cholota's extradition was the latest in a series of NPA failures in prosecuting high-profile State Capture cases. Other mishaps include the institution's failure to secure a conviction of pastor Timothy Omotoso and the failed extradition of the fugitive Gupta brothers in April 2023. Following the Cholota ruling, ActionSA called for Batohi's removal as NDPP and for a 'full parliamentary inquiry' into the NPA's failures. The DA proposed a set of reforms to 'rescue South Africa's broken' NPA. In an interview with SABC Morning Live Host Leanne Manas hours before the DA and ActionSA issued their statements, Batohi said that there were 'less than a dozen' matters that had 'led to this very, very severe criticism of the NPA'. 'There certainly have been setbacks and I don't want to underplay that. There've been major setbacks for the institution. But we're dealing with them,' Batohi said. Batohi took the same line with Parliament on Tuesday, saying she conceded that there 'have been about a dozen cases' for which the NPA had received 'a lot of flak'. However, last week the NPA scored a major win when the Supreme Court of Appeal (SCA) overturned a Bloemfontein judge's decision to acquit all the accused in the R24.9-million Nulane Investments case, Daily Maverick's Ferial Haffajee reported. This came after acting judge Nompumelelo Gush threw out the case in April 2023, against three former Free State officials, long-time Gupta enterprise employee Ronica Ragavan and businessman Iqbal Sharma. The SCA order means the accused face a retrial before a new judge. Batohi said the SCA order 'vindicates' the NPA and its prosecutor, because 'the courts agreed with our view'. 'The point I make is that there are legal processes, and I urge that we consider these cases individually,' she said. Batohi said there are 'huge systemic problems in the criminal justice system' and as NDPP, she would 'welcome some kind of commission that looks into systemic issues' about addressing South Africa's high crime rate. 'There are huge challenges within the NPA, within the police, [and] within the court system that we need to address to try and address the crime problem in our country,' she said. NPA doing a 'fantastic job' At the meeting, the MK's Mohlala accused Batohi of being 'incompetent', saying that under her leadership the NPA – which he ironically said 'used to enjoy integrity and credibility' – has been turned into 'a basket of shame'. 'We are very surprised that she has not resigned; it means she has a very stubborn conscience,' said Mohlala. He further accused Kubayi of misleading the House when she, in her earlier remarks, said that the NPA had been doing 'a fantastic job' concerning Truth and Reconciliation Commission (TRC) matters, particularly the work of the Missing Persons Task Team. 'Maybe you can fool your friends, not us,' said Mohlala. At the end of the meeting, Batohi hit back at Mohlala's comments, praising the work of the NPA. 'The question was asked whether we are doing a fantastic job, and I'd like to say that the NPA is, in fact, doing a fantastic job,' she said. 'I will never mislead this House. My integrity is really important and I will always be fair and honest. There are some things that we may not be able to speak about, but I will always be transparent and share whatever I can with the people of this country,' said Batohi. In the National Council of Provinces (NCOP) later on Tuesday afternoon, Kubayi was again confronted with questions about the performance of the NPA. 'We do take cognisance of the public outcry and we do pay attention to what is being raised… If we look at these two cases [Omotoso and Cholota] there are lessons to be learnt out of them and more work can be done by [supporting] and providing in terms of oversight over some of the cases,' said the minister. Kubayi highlighted some of the institution's gains. 'The NPA has moved from an annual performance of 50% in [the] 2020-21 financial year, to an organisation that is performing at 73% in 2023-24… Though challenges remain, the improvement in performance is a demonstration of a well-capacitated, well-resourced organisation,' she said. DM
Daily Maverick
17-06-2025
- Politics
- Daily Maverick
Reimagining unity: The imperative of National Dialogue 2.0 in SA's political crisis
It is a common cause that 31 years after the formal demise of apartheid, the promises, great expectations and dreams of democracy are rapidly turning into horrific nightmares for the poor and disadvantaged. At the same time (new and old) elites rule the roost. Socioeconomic and spatial inequalities of the apartheid era widened while the politically connected continued to accumulate wealth and power at the expense of the poor. Crime and corruption escalated exponentially and are inextricably connected to political elites; global mafia operations of every genre magnetically gravitate to our country; and gender-based violence is a pandemic. South Africa has one of the highest unemployment rates in the world (33%), especially among young adults. The poor have inadequate access to essential services like water, electricity, healthcare and basic education. Many of these challenges were aggravated by State Capture. As highlighted by the Zondo Commission, State Capture in South Africa involved the systematic and deliberate subversion of state-owned enterprises (SOEs) for private gain. State Capture eroded good governance practices within SOEs and government departments (including law enforcement and intelligence services), decreasing operational performance and effectiveness. This entailed influencing appointments, procurement procedures, governance, and institutional structures to favour specific individuals and organisations. Key SOEs like Eskom, Transnet, and South African Airways were significantly affected by State Capture, with subsequent multiplier effects on all aspects of South African life, destroying the economy. Hegemonic rule of the ANC All these problems and challenges were aggravated during the hegemonic rule and reign of one political party, the ANC. Not surprisingly, some of its senior members were implicated in the State Capture report. Still, no one has yet been convicted because of the hollowing out of capacity in the National Prosecuting Authority. When he was firmly ensconced on the throne, Jacob Zuma said on more than one occasion that the 'ANC will rule until Jesus returns'. However, there were some obvious indications that the ANC was haemorrhaging — for example, in the 2021 Local Government Elections it received 45.59% of the vote. In the May 2024 General Elections, the ANC lost its parliamentary majority, winning 40.18% of the vote. Ironically, Zuma's newly established uMkhonto Wesizwe (MK) party (while he still claimed to be a disciplined member of the ANC) eroded the support of the ANC, winning 14.58% of the vote. The notion of a National Dialogue entered the public domain against the background of the ANC's declining electoral support. Former president Thabo Mbeki initially proposed a national dialogue in May 2024, calling for 'seismic reflections'. This was endorsed by President Cyril Ramaphosa, who in his inauguration address after the May 2024 national elections, invited 'all parties, civil society, labour, business and other formations to a National Dialogue on the critical challenges facing the nation'. Ramaphosa said: 'By establishing the Government of National Unity, by preparing for a National Dialogue, we have deliberately set ourselves along the path towards a 'co-operation nation'. We would like all of us as South Africans to behave like 'weaver birds'… despite all the challenges, despite our differences, despite all the headwinds.' Political legitimacy There is a view that ruling elites have frequently utilised National Dialogues to obtain or regain political legitimacy. According to the Geneva-based Inclusive Peace and Transition Initiative: 'National Dialogues are typically convened when the fundamental nature or survival of a government in power is questioned. Thus, they usually intend to redefine the relationship between the state, political actors, and society by negotiating a new social contract.' A National Dialogue can be used for peacebuilding and reconciliation to increase confidence and trust among national actors, encourage inclusive engagement, and advance agreement on critical social, political, and economic challenges. The National Dialogue Handbook defines National Dialogues as 'nationally owned political processes aimed at generating consensus among a broad range of national stakeholders in times of deep political crisis, in post-war situations or during far-reaching political transitions'. The goal is for national leaders (political, business, religious, civil society, sports, etc.) across the ideological spectrum to debate, discuss and encourage inclusive engagement and advance agreement on significant social, political, and economic challenges. It is worth noting that the first National Dialogue was the Convention for a Democratic South Africa (Codesa), which took place in Johannesburg in December 1991. It was a critical step in the process of transitioning South Africa from apartheid to a democratic state. Nineteen political organisations participated, including the ruling National Party and the dominant African National Congress (ANC), comprising 228 delegates. Key aspects of Codesa included signing a 'Declaration of Intent' committing to negotiations and creating a new, democratic Constitution. The parties agreed on the principles of a unified, democratic, and non-racial South Africa, with a supreme Constitution and an independent judiciary. Crucial step Codesa established the foundation for negotiations for a democratic South Africa. While there were many disagreements, Codesa was a crucial step in the process of dismantling apartheid and building a new nation. The procedure was sufficiently adaptable to permit the creation of new forums and committees and modifications to existing ones based on political exigencies. As South Africa's transition from apartheid proceeded (with all its twists and turns), a Multi-Party Negotiating Process was established in March 1993, culminating in the adoption of an interim Constitution and preparations for the country's first non-racial elections. Parties with opposing views had to make substantial concessions during this process. Given the protracted conflict and violent past, the comparatively quiet and orderly democratic transition was praised globally as a miracle. Essential outcomes from the first National Dialogue were the Reconstruction and Development Programme and the Constitution. The National Development Plan, which presented a long-term vision and goals for South Africa to achieve by 2030, was released in 2012. All three documents can influence outcomes in the National Dialogue 2.0. There is no need to reinvent the wheel. Almost a year after it was initially proposed, on 10 June 2025, Ramaphosa released the names of the Eminent Persons Group to 'guide and champion the National Dialogue'. The problems in South Africa cannot be solved by National Dialogues alone. For a National Dialogue to be successful, several challenges must be addressed, including political actors' opposition and resistance to change, a lack of support from groups, persistent violence, crime, corruption, instability, and a lack of inclusivity. The National Dialogue 2.0 should not be about saving the ANC. It is about saving our country. All stakeholders must put their shoulders to the wheel, rise above personal, parochial, and party interests, and put South Africa first.
