Deputy Chief Justice Raymond Zondo
Private Bag X1
STATE CAPTURE INQUIRY: INVESTIGATION NEEDED INTO AFRICAN NATIONAL CONGRESS AND ZONKIZIZWE INVESTMENTS’ INVOLVEMENT IN GAUTENG ROU HOUSING LOAN PORTFOLIO DEAL BETWEEN HLANO FINANCIAL SERVICES AND THE GAUTENG DEPARTMENT OF HUMAN SETTLEMENTS
To provide context, we refer you to a 2016 agreement between Hlano Financial Services, Nimble Collection Services and the Department of Human Settlements regarding the resolution of Hlano Financial Services’ ROU housing loan portfolio – see attached.
We in particular refer you to a November 2015 collection mandate between Hlano Financial Services, and Nimble Collection Services and NMI Housing Solutions in respect of the Gauteng ROU housing loan portfolio. We point you to a “bulk settlement” of R350 million, specified on page 6 of the document, which government was requested to consider and approve as the aggregate outstanding balance of R443 million in respect of 5,159 properties located in the Gauteng region over which Hlano held mortgage bonds.
On a Zonkizizwe invoice, dated 16 August 2018, (attached) African National Congress (ANC) Treasurer General Paul Mashatile, was invoiced for “consultancy services” rendered in terms of “collection of Hlano Financial Services; Gauteng Housing Loan Portfolio at 3% of R350,000,000.00”.
It is clear that something untoward is going on here. The origins of Zonkizizwe Investments are common knowledge and like with former ANC Treasurer General Dr Zweli Mkhize’s involvement in the Afric Oil/Public Investment Corporation loan mess, it seems as if the incumbent ANC Treasurer General is also involved in odd transactions involving the ANC, Zonkizizwe Investments and government.
I further draw your attention to a letter dated 22 March 2017, regarding a further 2016/2017 budget adjustment request, from the national department of human settlements to its Gauteng counterpart which lists an approved amount of R200 million for “Hlano Financial Services”. What is the connection between this R200 million-item to the aforementioned R350 million? What was the money used for and, if it relates to the same deal, where did the balance of R150 million go? Perhaps Zonkizizwe’s management and Mr Mashatile should be made to explain if they had any involvement in this?
Given the above information, it is clear that there might be some elements of state capture in this deal and the United Democratic Movement humbly requests that the Judicial Commission of Inquiry into Allegations of State Capture also investigates this matter.
Lastly Sir, even if claims were to be made that any or all pertinent documents were lost in last year’s fatal fire that destroyed Gauteng Health, Human Settlements and Co-operative Government and Traditional Affairs’ office building, it would be easy enough to have a look at the bank statements to see how much money were paid into whose bank accounts.
Mr Bantu Holomisa, MP