logo
EFF calls for termination of R34 million monthly office rentals for Gauteng provincial government

EFF calls for termination of R34 million monthly office rentals for Gauteng provincial government

IOL News30-04-2025

EFF Gauteng chairperson Nkululeko Dunga condemns R34 million monthly office rentals, calling it a systematic programme of self-enrichment while 41 state-owned buildings remain vacant and crumbling from neglect.
The Economic Freedom Fighters (EFF) in Gauteng have called on the provincial government to immediately terminate all lease agreements with private landlords, following revelations that over R34 million is being spent monthly on office rentals despite the availability of 41 unused government-owned buildings in Johannesburg and Pretoria.
This shocking expenditure, admitted by Gauteng MEC for Infrastructure Development Jacob Mamabolo in the provincial legislature, has raised alarms over fiscal mismanagement, inefficiency, and alleged corruption.
According to Mamabolo, 11 provincial departments are currently operating from leased properties while state-owned buildings lie derelict due to years of neglect.
The Gauteng government's justification that its buildings are in poor condition has been met with sharp criticism and demands for transparency.
The EFF argues that this deterioration is not accidental but the result of "calculated neglect" aimed at creating artificial demand for private rentals, often benefiting politically connected individuals.
EFF Gauteng Provincial Chairperson Nkululeko Dunga condemned the spending, labelling it "a deliberate and systematic programme of self-enrichment."
He said: 'This is not a case of administrative incompetence but a deliberate and systematic programme of self-enrichment.'
Dunga further dismissed Gauteng Premier Panyaza Lesufi's claims of ignorance, stating that 'his feigned surprise is disingenuous, as this pattern of mis-governance is well-known and longstanding.'
According to the EFF, the Office of the Premier alone spends nearly R4 million each month on rented office space. Other departments, including Education and Social Development, contribute tens of millions more to what the party describes as an ongoing "looting scheme."
In October 2024, the EFF publicly rejected the Department of Education's R192 million rental bill and proposed that the province repurpose and renovate its vacant buildings or work with municipalities to utilise underused local facilities. These proposals were allegedly ignored to protect entrenched interests.
Calling for an end to what it describes as 'criminality and betrayal,' the EFF is demanding the immediate cancellation of private leases, short-term renegotiation of fair rental terms, and a prioritisation of public property refurbishment.
The party also wants a full forensic investigation into the cost and beneficiaries of these leases, warning against further 'sham investigations' under Lesufi.
'The collapse of public infrastructure is not incidental, but rather orchestrated,' Dunga said, adding that the province has lost out on thousands of potential jobs that could have been created through building renovation and maintenance.
hope.ntanzi@iol.co.za
Get your news on the go, click here to join the IOL News WhatsApp channel.
IOL Politics

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

How Sarb and SA's banks are wiring the country's green finance grid
How Sarb and SA's banks are wiring the country's green finance grid

Daily Maverick

timean hour ago

  • Daily Maverick

How Sarb and SA's banks are wiring the country's green finance grid

How do you price the risk of a dying planet? The South African Reserve Bank and the country's financial institutions are mapping out a new financial grid for an economy hit by climate extremes. At what point does climate risk become financial risk? And how does a central bank protect the economy when the shocks are fiscal as well as physical? During a recent talk at Stellenbosch University, South African Reserve Bank (Sarb) deputy governor Fundi Tshazibana clarified the central bank's role. 'We are not the drivers of climate policy in the country, we are not the drivers of environmental policy in the country,' she said. 'Where we are focused as central banks is to say there are risks that are associated with climate change, there are risks that are related to extreme weather events, there are risks related to deterioration in nature.' Sarb doesn't set carbon targets, but it does police the intersections between financial stability and ecological collapse. The mercury is rising. South Africa's inflation could spike by 15 percentage points if climate shocks continue, said Tshazibana. Droughts are intensifying and floods are more frequent. In 2022, Sanlam estimated its risk exposure to the floods in KwaZulu-Natal at around R4-billion. And that was just one insurer. The KZN government estimated economic losses in the province amounting, overall, to about R17-billion. Tshazibana noted that when the Sarb asked banks how much of their credit risk exposure lay with companies vulnerable to climate-related events, the answers ranged from 30% to 60%. Inside Sarb's climate risk arsenal In response to the financial risks climate change poses, Sarb has beefed up its toolkit: Bi-monthly inflation reviews now take climate shocks, such as food price spikes due to droughts, into account. Advanced modelling using dynamic and general equilibrium frameworks with granular data, aims to capture the multidimensional impact of climate change. Climate stress-testing: Banks completed Sarb's first round of scenario tests in 2024, and insurers are next. Guidance to financial institutions: Tshazibana urged financial institutions to 'go talk to your clients and start collecting that information so that you yourself can understand the risk exposure'. Greening Sarb's operations: Sarb has developed a strategy to reduce its carbon footprint by 30% by 2026 and reach net zero by 2035. Treasury's call to mobilise sustainable capital Deputy Minister of Finance, David Masondo, told the SA Financial Competitiveness Lekgotla that economic growth stagnated at around 0.6% in 2024, with infrastructure limiting transformation. Masondo affirmed the department's commitment to 'mobilise capital for investment and enhance the competitiveness of South Africa's financial markets'. The Treasury is working with global financial networks and development institutions to mobilise blended finance for adaptation, ensuring capital flows into climate-resilient infrastructure, Masondo said. How does this affect you? Food prices could increase. Climate shocks like floods and droughts disrupt farming, which means your grocery bill could spike. Jobs are on the line. As banks adjust their lending strategies to favour low-carbon sectors, carbon-heavy industries may miss out on financing. Your bank is watching your carbon footprint. Financial institutions are beginning to factor climate risk into loan and credit decisions. Pensions and savings are exposed. If insurers buckle or banks miscalculate the risks of the effects of climate change, your savings could be expected to carry the cost. Banks get down to green business Banks such as Standard Bank are on the frontlines of implementing green financing strategies – trying to turn sustainability into a return on investment. The bank recently launched a Sustainable Finance Product Framework, mapping out how green, social, and transition-labelled debt instruments will be structured and tracked. 'Green categories like climate adaptation or resilience funding or funding for nature-based projects may require greater use of innovative blended finance structures… regulatory incentives that enable green funding are required,' said Boitumelo Sethlatswe, Standard Bank's head of sustainability. Sethlatswe said that South African banks were investing in analytical tools and building internal models using client and open-source data to assess climate risks, but noted that inconsistent data and long-term modelling were a problem for Africa. The system is catching up While Sarb stress-tests the system, Absa says the entire financial sector is making strides. 'South Africa's financial institutions, including Absa, are taking significant steps to improve the way we identify, assess and manage climate-related financial risks,' a spokesperson said. Absa points to growing alignment with global frameworks such as the Task Force on Climate-Related Financial Disclosures (TCFD) and said that internal risk governance was catching up. But in a country with sky-high unemployment rates, the climate conversation should take social realities into consideration. 'The South African Reserve Bank and other monetary authorities play a critical role in facilitating a just transition,' Absa said. 'In a high-unemployment country, it is essential to strike a balance between climate goals and inclusive growth. Absa believes that regulators are increasingly asking the right questions. 'The supervisory focus on climate exposure and transition risk is helping to elevate climate risk management within financial institutions,' the bank said. Nedbank prepares for more demanding disclosures Nedbank, which published its first TCFD report in 2021, says the sector is already preparing for more stringent mandatory disclosures. 'We submitted stress tests last year to the Sarb in line with the rest of the banking sector,' said Priya Naidoo, Nedbank's executive for strategy. 'We maintain a focus on ensuring that we are ready for the enhanced disclosures.' The bank has also introduced a Climate Risk Materiality Framework, aligning its lending decisions with guidance from Sarb, the Basel Committee, and international bodies such as the Intergovernmental Panel on Climate Change and the Network for Greening the Financial System. A strong focus for Nedbank is on integrating climate risks into all major risk types, including credit, market, operational, and funding risk. 'Credit risk management is in place to incorporate and monitor progress toward the bank's strategic climate-related objectives of reducing exposure to all fossil fuels by 2045,' said Naidoo. This includes tracking exposure across sectors and implementing transition 'glidepaths' to gradually reduce carbon-intensive assets, she said. Nedbank also flags that the success of climate-aligned finance depends on cross-functional collaboration across business, finance, risk and sustainability teams. Climate resilience is now a core strategic pillar as consumer and investor expectations evolve. DM

FSCA warning: These well-known people cannot help you to invest
FSCA warning: These well-known people cannot help you to invest

The Citizen

time5 hours ago

  • The Citizen

FSCA warning: These well-known people cannot help you to invest

The FSCA urges consumers to exercise extreme caution when investing their hard-earned money and to verify that they are dealing with a legitimate and authorised entity or broker. The Financial Sector Conduct Authority (FSCA) is warning consumers to be cautious of deepfake videos featuring well-known individuals promoting specific investments, as well as fraudsters impersonating legitimate brokers and investment firms to scam consumers out of their money. The FSCA warns consumers to watch out for investment platforms claiming to be associated with business mogul Dr Patrice Motsepe, broadcaster Leanne Manas, President Cyril Ramaphosa and his deputy Paul Mashatile. The authority says in a statement that it has learned that the platforms may be providing financial services to the public without authorisation, while it promises unrealistic returns of between R13 000 and R17 000 per day, on an investment of only R4 500. These platforms also use fake images and deepfake videos using Motsepe, Manas, Ramaphosa and Mashatile's faces. In one of the deep fake videos, a digitally altered version of Motsepe promotes investments offered on the platform, while a manipulated video of Mashatile confirms that the platform is authorised and that investors will receive returns. Another video uses a deepfake of Ramaphosa to promote investments and guaranteed returns. The FSCA says consumers must remember that the individuals behind the platforms are not authorised in terms of any financial sector law to provide financial services to the public. When the FSCA tried to contact the individuals behind the platforms, there was no response. ALSO READ: FSCA says watch out for these scammers FSCA also warns about Momentum Metropolitan and Risto Ketola impersonators The FSCA also warns consumers to look out for fraudulent WhatsApp groups where individuals impersonate Momentum Metropolitan Holdings Limited and Risto Ketola. It says consumers must be careful when engaging with a WhatsApp group operating under the names 'Q23 Momentum Official Securities Group' and 'Q923 MOSG Official Securities Group'. These groups falsely claim to be affiliated with Ketola, the group finance director of Momentum Metropolitan Holdings, after receiving reports of a scheme where individuals use WhatsApp to solicit funds from unsuspecting consumers. The FSCA points out that the administrators of these groups fraudulently impersonate Ketola and misuse his name, image and professional credentials to promote what is described as 'structured guidance and risk-managed investment strategies'. The group claims to offer returns exceeding 160% and advertises a so-called 'check-in reward initiative,' promising up to R2 000 per month to individuals who promote the group. According to the FSCA, Momentum Metropolitan confirmed that neither it nor Ketola has any association with the WhatsApp groups. Momentum Metropolitan expressed its concern over the growing number of advertisements on Telegram, Facebook and WhatsApp fraudulently linking its brand and executives to unauthorised investment schemes. ALSO READ: FSCA warns consumers about investments with these unregistered entities FSCA also warns about individuals impersonating Brokstok The FSCA also warns consumers to be careful of individuals impersonating Brokstock SA, an authorised financial services provider (FSP) with FSP number 51404 after it received information that Zibu Masotobe Sibiya with WhatsApp number +2771 768 4632 and her associate Mike Mabuyakhulu with WhatsApp number +2779 429 3027 are impersonating Brokstock SA. The FSCA says Sibiya and Mabuyakhulu are unlawfully acting as representatives using Telegram and WhatsApp groups called Brokstock Beginner/s and an FNB bank account in the name of Brokstockshares and the account number 62871907790, with an email address brokstockshares@ Sibiya and Mabuyakhulu lure consumers into depositing funds into a fraudulent bank account. The FSCA points out that Brokstock SA confirmed that the individuals are in no way associated with Brokstock and that any representations suggesting otherwise are entirely false and misleading. Brokstock SA emphasises that it will never share its banking details on public communication channels, such as Telegram or WhatsApp. The FSCA urges the public to exercise caution regarding scams conducted through messaging services and various social media platforms, as these incidents are on the rise. ALSO READ: FSCA warns against FXnonstop offering 40% returns per week Scammers even impersonate the FSCA The FSCA also warns consumers about people impersonating the FSCA and financial services providers. The impersonators use the FSCA logo, details of its staff and fake FSCA certificates to claim an association with the authority to entice consumers to use their services or make investments. The FSCA impersonators offer members of the public help to claim refunds from investments they made with financial service providers, and also offer help to recoup losses they suffered through trading in investment instruments such as crypto assets. 'The impersonators of the FSCA are not authorised in terms of any financial sector law to provide financial services. The FSCA has no association with those impersonating it.' The impersonators also use the FSP numbers issued to authorised financial service providers to solicit investments from members of the public. In addition to using the FSP numbers, the impersonators also use the details of staff and management of financial service providers to lend legitimacy to their operations. The FSCA emphasises that the impersonators are not authorised in terms of any financial sector law to provide financial services. The financial service providers who were impersonated denied any association with these impersonators: Geronimo 2 Audacity Capital, USA Sarasohn Ximen and Aguilar Navarro Joaquin. Despite its attempts, the FSCA was unable to get hold of any of the impersonators. The FSCA reminds consumers to treat any entity or individual purporting to represent the FSCA or to be a financial service provider on any platform with suspicion and to contact the FSCA immediately. ALSO READ: FSCA fines 2 pension fund bosses R30 million each, debars them for 30 years FSCA says this is how to stay out of trouble with the impersonators The FSCA says to avoid unnecessary risk, consumers must not accept financial advice, assistance, or investment offers from individuals or entities not authorised by the FSCA. Authorised financial services providers must clearly display their authorisation status in their documentation. 'If this is not present, consumers must first investigate further before making any payments. We also urge consumers to exercise caution when considering investment or trading offers on social media platforms or any unsolicited offers,' the FSCA says. The authority recommended that you protect yourself by first verifying: That an entity or individual is authorised by the FSCA to provide financial products and services, including giving recommendations about how to invest The category of advice the person is registered to provide, as there are instances where companies or people are registered to provide basic advice for a low-risk product and then offer advice on far more complex and risky products. The FSP number of the entity or individual offering financial services matches the name of the financial service provider on the FSCA database. The FSCA says you can use one of these methods to confirm the status and FSP number of a service provider or someone who claims to be an authorised service provider:

Trump and Malema are more similar than they would like to admit
Trump and Malema are more similar than they would like to admit

Mail & Guardian

time7 hours ago

  • Mail & Guardian

Trump and Malema are more similar than they would like to admit

EFF leader Julius Malema. Photo: X The What Trump probably intended as a damning exposé of societal ills in South Africa inadvertently illuminated the bemusing congruence between himself and the very figure he sought to condemn. Despite occupying vastly different ideological poles, Trump and Malema are, in essence, two sides of the same political coin: larger-than-life figures who wield hyperbole and spectacle to bend public discourse to their will. Trump built his brand on disrupting norms, lambasting elites, and speaking in a vernacular that resonated with a segment of the American populace feeling unheard. His rallies are choreographed performances, his pronouncements often designed more for shock value and media capture than for precise policy articulation. Malema, too, is a showman par excellence. From his early days as a firebrand youth leader in the ANC to his role as the self-styled 'commander-in-chief' of the EFF, Malema has consistently pushed boundaries, employing confrontational rhetoric that electrifies his base and forces opponents to react. He thrives on controversy, using provocative statements and symbolic gestures, such as the controversial 'Kill the Boer' chant, to rally support for his vision of radical economic transformation and social justice. Malema is ' The core of their shared political artistry lies in their strategic deployment of hyperbole. For Trump, every challenge is a 'witch hunt,' every unfavorable media report 'fake news' and every policy critique an existential threat to the nation. This exaggerated language simplifies complex realities into digestible narratives of victimhood and heroism, positioning himself as the sole defender against perceived adversaries. Similarly, Malema employs stark, often revolutionary, language to frame South Africa's systemic inequalities as a direct continuation of colonial and apartheid injustices, demanding radical solutions like land expropriation without compensation. While What makes Trump's recent White House stunt so profoundly ironic is that in attempting to expose Malema, he merely exposed his own methods. The 'ambush' of Ramaphosa with a video clip was a calculated act designed to dominate the narrative and assert a particular, unsubstantiated, viewpoint. This is the very essence of both Trump and Malema's political styles: the transformation of political discourse into a dramatic spectacle, where facts are often secondary to emotional impact and media virality. They are both adept at wielding 'alternative facts' and 'dog whistles', using carefully constructed ambiguity to appeal to their base while maintaining a degree of plausible deniability. This mutual reliance on political theatre, despite their opposing ideological agendas, is a critical lens through which to understand contemporary populist movements worldwide. Whether it is the right-wing nationalism espoused by Trump or the radical left-wing populism championed by Malema, the playbook often involves bypassing traditional political discourse, appealing directly to raw emotion, and manufacturing continuous engagement through engineered controversy. They both thrive on being perceived as 'outsiders' challenging a corrupt system, even when they occupy positions of significant power or influence. The political world watched Ramaphosa's composed response to Trump's calculated ambush. Yet, the wider public must scrutinise not only the content of such stunts but also the shared theatrical impulses that drive them. When one larger-than-life, stick-it-to-the-man figure attempts to discredit another by highlighting their provocative rhetoric, it is not merely a diplomatic incident; it is a curtain-drawing moment. It reveals the shared DNA of political personalities who understand that in the age of constant information flow, it is often the most audacious, the most hyperbolic, and the most dramatic performance that captures the public imagination, for better or for worse. The true 'genocide' we face might not be of a specific race, but of nuanced debate and factual integrity, orchestrated by those who understand the formidable power of the political stage. Lindani Zungu is a Mandela Rhodes scholar pursuing a master's in political studies and is the editor-in-chief of the youth-oriented publication, Voices of Mzansi.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store