IFP NEC Statement: VBS Bank Heist

The IFP NEC has expressed concern that VBS depositors have been left in the lurch without any relief package presented to them in the face of serious and heavy losses they have suffered at the VBS heist due to politically motivated grand looting.

Whilst much of the focus has been on the heist beneficiaries, the IFP is of the view that those who have been hit hardest deserve urgent relief.

The IFP therefore calls on the Department of Social Development to lead an intervention with other government departments and relevant stakeholders for the benefit of the poorest of the poor who form the majority of the banks 22 000 depositors.

The IFP further reiterates that now would be an opportune moment for President Cyril Ramaphosa to establish a National Task Team to assess the Banking Practices of all Banks particularly in the critical areas of adherence to regulations; and to determine the extent of collusion and corruption amongst banks.

The Financial Intelligence Center (FICA) is also duty bound to explain how the red flags were not seen and acted upon.

As the Zuma administration shenanigans unravels it is becoming crystal clear that corruption had become embedded as a norm in the course of governance without any due regard for consequences. The VBS bank falls within this ambit.

Accordingly, the IFP believes that South Africa would be well served to establish a Corruption Court to deal with various allegations related to transgressions of the PFMA, MFMA and other Treasury Regulations and Auditor General findings in order to fast-track cases and to ensure that justice is served swiftly.

The NEC also noted the latest allegations insofar as Steinhoff is concerned to the effect that Mr Markus Jooste had alerted certain shareholders of the pending collapse of Steinhoff. These are serious allegations which must be investigated to their fullest extent, and ensure successful prosecution of all those responsible.

The extent to which we abhor corruption, fraud and maladministration in the public service must be extended to the private sector which in itself is not “white as driven snow” as is the popular narrative.

Mkhuleko Hlengwa, MP
IFP National Spokesperson
071 111 0539