Thembi Simelane
By Sello Masilo
Justice Minister Thembi Simelane, a senior figure within the African National Congress (ANC), is set to appear before the ANC Integrity Commission today, 25 September 2024, to address allegations related to her involvement in the VBS Mutual Bank scandal. The commission, a body designed to uphold accountability within the party, will scrutinize the claims that Simelane, during her tenure as the mayor of Polokwane in 2016, accepted a loan linked to the now-defunct VBS Bank, which was embroiled in corruption and mismanagement scandals.
The Controversial VBS Loan
At the center of this case is a R575,600 loan that Simelane received from Gundo Wealth Solutions, a company allegedly involved in brokering illicit investments of nearly R350 million from municipalities, including Polokwane, into VBS Mutual Bank. The loans were made during Simelane’s time as mayor, raising questions about her role in the scandal and whether she benefited improperly from the financial arrangements made at the time.
Simelane has repeatedly denied any wrongdoing, asserting that she repaid the loan in full, with interest. During a recent appearance before Parliament’s Justice Portfolio Committee, she clarified that the funds she used to establish a coffee shop in Sandton came from personal savings and the aforementioned loan, not from stolen VBS money. In her defense, she stated that she had called for the withdrawal of the Polokwane Municipality’s investments from VBS before it collapsed but was met with resistance from Treasury officials.
ANC’s Stance and Public Accountability
Secretary-General Fikile Mbalula confirmed Simelane’s appearance before the Integrity Commission, emphasizing that the process was essential for preserving the integrity of ANC members. Mbalula stated that Simelane had provided a full account to the party’s officials, and the Integrity Commission would now determine the appropriate course of action based on the facts presented.
Mbalula also assured the public that the ANC would not protect Simelane or any other members implicated in the VBS saga. He insisted that the matter would not be swept under the rug, echoing sentiments recently expressed by President Cyril Ramaphosa, who has also received a detailed report from Simelane on the matter. Ramaphosa affirmed that the ANC would handle the situation transparently and that all members involved in the scandal would be held accountable.
Calls for Accountability
Simelane’s case has drawn widespread attention and calls for accountability. Opposition parties, including the Democratic Alliance (DA) and ActionSA, have demanded that Simelane step aside while the investigation continues. The DA has been particularly vocal, urging Ramaphosa to suspend the minister until her name is cleared. The party argues that Simelane’s continued tenure as a minister undermines public confidence in the justice system, given the gravity of the allegations against her.
ActionSA has also criticized Simelane’s involvement in recent official engagements, such as the BRICS Justice Ministers’ meeting, arguing that her presence sends a negative message about the ANC’s commitment to ethical leadership.
ANC Integrity Commission’s Role
The ANC Integrity Commission plays a critical role in ensuring accountability within the party. It serves as an independent body that reviews cases involving allegations of misconduct by ANC members. Although the meeting is set to be held virtually and closed to the public, the ANC has promised to communicate the outcome of the proceedings once they are concluded.
Zuko Godlimpi, the ANC’s acting national spokesperson, reiterated the commission’s importance in maintaining the party’s credibility, explaining that it allows members to defend themselves based on facts. The commission’s decision could have far-reaching implications for Simelane’s political career, as well as for the ANC’s broader approach to handling the fallout from the VBS scandal.
Broader Implications of the VBS Scandal
The VBS Mutual Bank scandal remains one of South Africa’s most notorious cases of financial misconduct, with billions of rand lost due to fraudulent schemes involving municipalities, officials, and business entities. Several senior political figures, including those from the ANC, have been implicated in the scandal, with varying degrees of accountability enforced by the party and the justice system.
Simelane’s case is just one of many being reviewed, and her appearance before the Integrity Commission underscores the ANC’s attempts to clean up its image ahead of the 2024 national elections. The party faces increasing pressure to demonstrate its commitment to ethical governance and transparency, especially in the wake of multiple corruption scandals that have tarnished its reputation.
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