Embattled Minister of Justice Thembi Simelane. (Photo: Sharon Seletolo/Galo Images via Getty Images)
JIndian National Congress (ANC) secretary-general Fikile Mbalula said on Monday that Justice Minister Thembi Simelane would appear before the ANC's integrity committee to provide details about a R575,600 loan received from the now-dissolved VBS Mutual Bank.
He told reporters at a press conference in Boksburg, Ekurhuleni, that the party was adhering to established procedures in dealing with the issue and that the final decision rested with President Cyril Ramaphosa.
The report comes after the ANC's national working committee and Gauteng provincial leadership met to assess the party's poor electoral performance in the province in May.
“The matter of Minister Thembi Simelane is ongoing. She has been asked to provide an explanation by the president. Given our own situation, that work is continuing and a report has been submitted to the president,” Mbalula said.
He added that the integrity committee would recommend to the national executive committee what to do and the party would consider Simelane's explanation of the incident in accordance with the committee's procedures.
“She will appear before the Integrity Commission, which will hear details from her about what actually happened and then recommend to the national executive committee what to do about her comrades. That is our position. There are checks and balances within the party,” Mbalula said.
In 2016, while Simelane was mayor of Polokwane, he received a loan linked to Gundo Wealth Solutions, a company allegedly involved in the VBS scandal. At the time, the Municipality of Polokwane illegally invested R349 million in a mutual bank, and the deal was brokered by Gundo owner Laliom Raswinane, who is currently on trial for fraud and corruption.
Simelane has always denied any wrongdoing. Last week he told parliament's justice committee the loans were legitimate and had been repaid in full.
She denied allegations of a conflict of interest despite having oversight powers as minister for justice over the National Prosecuting Authority (NPA), which is investigating the VBS scandal.
Simelane also distanced herself from the Polokwane City's decision to invest in VBS, insisting she had no involvement in the Gundo deal, adding that it was during her tenure that the investment was discontinued.
Several MPs, including Eloise Denner of the Freedom Front Plus and Glynis Breytenbach of the Democratic Alliance, called for Simelan's resignation due to the seriousness of the allegations. The matter has been referred to the parliament's legal service for further advice.
Action SA has filed a complaint with the Public Protector alleging the minister may have breached the Executive Officer Ethics Act and is calling for an independent investigation, expressing concern about her continuing in her role as justice minister, particularly given her influence over the NPA.
Action SA parliamentary group leader Athol Trollip has been a vocal critic, saying on Monday that given the minister's position of authority over the NPA, “it is not possible for him to remain in his position until the cloud of suspicion has been removed”.
ActionSA has also written to the speaker of parliament and the chair of the justice committee, asking them to suspend Simelane pending the outcome of their investigation. The party is calling for a full and independent investigation into Simelane's involvement in the VBS scandal.
“As the minister has not indicated she will step down until her honour has been vindicated and the allegations surrounding her role as minister of justice have been cleared, Action SA has written to the Speaker and Chairperson requesting that an investigation be launched and that the matter be referred to the President as a matter of urgency so that the minister can be suspended until all investigations have been completed,” Trollip said in a statement.
Mbalula on Monday said that given his role as justice minister, any concerns about a possible conflict of interest would be addressed by the president and that the ANC would address the issue through its internal procedures.
“We do not want to bias any individual so we will follow the organisational process that we have set up,” Mbalula said.
“Whatever an individual does to publicly prove her innocence in terms of her involvement is up to her to decide. She is doing it in her own interest and not at the behest of the ANC.”
Mbalula reiterated that the ANC would not take premature action, saying: “We are following procedures. This matter will be dealt with by the integrity commission and we await its recommendations.”
