Mr CM Ramaphosa
President of the Republic of South Africa
Private Bag X1000
Dear Mr President
RE: Alleged looting of state resources, through the DBSA, by some of the same people who have been fingered in the Public Investment Corporation investigation
1. I wrote to you a little more than a month ago, on 17 June 2020, regarding my grave concerns over the apparent looting of state resources by some of the very same individuals who were found to have had an enhanced ability to secure easy access to Public Investment Corporation (PIC) funds, as well as some new characters, who have now seemingly set their sights on looting from the Development Bank of Southern Africa (DBSA).
2. In the 17 June-letter I also suggested that Treasury intervene and cause the DBSA to urgently stop the Crede Power and Infrastructure funding, via a vehicle called Poseidon, and that investigation be made into the allegations of impropriety.
3. Much water has flown under this bridge and, since then, the individuals who I had named in my letter, first tried to bully me via a lawyers’ letter and had ultimately run to the courts in an attempt to, what appears to me, intimidate and of course gag me. Their first volley failed as the court removed their application from the urgent court roll and they were ordered to pay the wasted costs occasioned by the set-down on the urgent court roll.
4. I had also made a Promotion of Access to Information Act (PAIA) application to the DBSA to obtain all the information pertaining to the Crede Power and Infrastructure/Poseidon water project but was unsuccessful because the DBSA relied on frivolous technicalities to refuse my request. I am of the view that this was a gambit to play for time. Speculating about the real reason why they acted in this manner, leads me to think someone was up to no good.
5. The DBSA’s chief executive officer and managing director, Mr Patrick Dlamini, had also decided to engage with me in letter-warfare, which I believed to be yet another effort to intimidate me. But, knowing what I know now, I suspect it might also have been a play for time to cook the books.
6. I was quite disturbed, last week, to learn that there had been alleged interference with the DBSA’s computer systems, where electronic documentation and records on the Crede Power and Infrastructure/Poseidon water project had been made to vanish at the time of my PAIA application, thus frustrating a good cause, whilst aiding and abetting those suspected of ill deeds.
7. Up to now, there have been far too many coincidences, that point to a massive cover-up. For instance, Crede Power and Infrastructure’s website being unavailable, just after my complaint to you and a threat from some lawyers, when I wanted to double-check my researched information. Then the DBSA spitefully refused my PAIA application and Mr Dlamini inadvertently confirmed, in writing, that the information at my disposal was accurate. Now we have an alleged sudden clean-up and wipe-out of critical information on the DBSA’s funding of the Crede Power and Infrastructure/Poseidon water project.
8. This brings another serious matter into focus and that is whether there are any other current funding deals at the DBSA, involving the same parties, of which we are unaware and whilst the grass is growing underneath your feet, evidence of such are also disappearing.
9. Given the information I have imparted to you in this writ, I wonder whether you and/or Minister of Finance Tito Mboweni can rely on any information provided to you by, who in my view are, potentially discredited DBSA executives.
10. I submit to you that there is a clear need for an independent forensic investigation to review the entire matter and in particular the alleged tampering with the DBSA’s computer records. Forensic investigators will be able to validate which files and what information have been tampered with and/or have been deleted. Computer experts will also be able to ensure that any restored information is legitimate.
11. The other matter that I had raised in my 17-June letter had been that PIC board member, Ms Irene Charnley, had allegedly received a USD 20 million loan from the DBSA and that she has yet to pay that back. It might behove you to also have investigation made of the DBSA’s loan practices and whether those loans are serviced, and who the culprits are that do not pay their instalments as per the agreement with the bank and why.
12. I remain at your disposal to discuss these matters and I reiterate my request that a forensic audit is urgently needed to get to the bottom of what seems to be the machinations of the greedy and the looting of state resources.
Mr Bantu Holomisa, MP
President of the United Democratic Movement
Copied to: Minister of Finance, Mr Tito Mboweni
DBSA Chairperson, Mr Enoch Godongwana
DBSA Chief Executive Officer and Managing Director, Mr Patrick K Dlamini