Latest news with #R4-billion
Daily Maverick
4 days ago
- Politics
- Daily Maverick
The cost of exposing a bribe
This isn't a script for a thriller. It's what actually happened. Earlier this year, Daily Maverick's investigative team got wind of a highlevel scheme involving the Independent Development Trust (IDT) – a state-owned entity that spends R4-billion annually on schools and clinics. Our work showed that this budget is being wasted through dodgy tenders and skimming, resulting in the suspension of the CEO, Tebogo Malaka. Sign up to be a member of Daily Maverick When it became clear that our investigation into Malaka's illicitly acquired property portfolio was still ongoing, WhatsApp messages to chief muckraker Pieter-Louis Myburgh arrived, asking to meet and discuss 'sensitive matters' of 'mutual interests'. These 'mutual interests' came in the form of bound R200 notes in a Dior shopping bag. R60,000 in cash. And the promise of more to come. Not done in a clandestine or dark corner. Handed brazenly to our journalist in broad daylight to kill an ongoing story and to start publishing favourable stories about the IDT and its leadership. And what did we do? We didn't just walk into that trap. We consulted lawyers and advocates to ensure our work was procedurally sound. We briefed security to ensure the safety of Pieter-Louis. We planned surveillance. We rehearsed safety protocols. We prepared affidavits. We recorded everything. The operation cost us more than R200,000. Not including the adrenaline. And the worry that one of our team may be physically assaulted, or worse, if this went badly. The result? A sting operation. With videographic evidence and a story that pulled back the velvet curtain on how far corruption goes to silence journalism. Here's the truth: Good journalism isn't free. It doesn't just happen behind a keyboard and screen. It costs time. It takes many resources. Sometimes it costs safety. But what does it give us? A fighting chance to protect our institutions that are supposed to be serving our people – our schools. Our future. Support the newsroom that said no to hush money. That couldn't be bought. Become a Maverick Insider member today. Not just because it costs a lot to produce but because this is journalism working for the benefit of all South Africans. Your contribution helps us: – Fund investigations like this one – Pay for lawyers, security, editing and more – So we can publish the truth that defends our country
Daily Maverick
5 days ago
- Business
- Daily Maverick
Minister Macpherson to address media as exposé of IDT officials' bribery bid reverberates across SA
Minister of Public Works Dean Macpherson is expected to respond to the details of an explosive exposé by Daily Maverick of an attempted bribery of one of its investigative journalists by the suspended Independent Development Trust CEO and her spokesperson. ANC secretary-general Fikile Mbalula has called for suspended Independent Development Trust (IDT) CEO Tebogo Malaka and her spokesperson Phasha Makgolane to face the law 'if they are implicated in bribery'. Meanwhile, Minister of Public Works Dean Macpherson is expected to address the media on Thursday following an explosive exposé by Daily Maverick of an attempted bribery of one of its investigative journalists by the two IDT officials. On Tuesday, Daily Maverick carried video footage and recordings of this blatant attempt to bribe its journalist, Pieter-Louis Myburgh. Suspended IDT CEO Malaka and spokesperson Makgolane attempted to pay Daily Maverick investigative journalist Pieter-Louis Myburgh R60,000 in cash over the weekend to suppress an investigation into Malaka's personal dealings and questionable IDT contracts. The IDT, a very important, if lesser known, government body, spends upwards of R4-billion each year on social infrastructure projects, such as building schools and clinics, and falls under the Ministry of Public Works. Macpherson last week released a forensic report into a R836-million oxygen tender awarded to a ghost company that was first exposed by Daily Maverick. The report recommended that Malaka be suspended. Malaka was placed on precautionary suspension on Friday. Now Macpherson's remarks at Wednesday's briefing are expected to set the tone for the government's broader response. The attempted bribe, which took place during a meeting in Stellenbosch, was captured on camera. Myburgh photographed the cash, delivered in a white Dior shopping bag, and recorded video and audio of the exchange. Makgolane also sweetened the offer with promises of R100,000 in monthly payments and influence over IDT tenders. In a statement on the briefing, his department confirmed that Macpherson would respond directly to the 'serious allegations by Daily Maverick that Malaka sought to bribe journalist Pieter-Louis Myburgh'. Posting to social platform X yesterday morning, Macpherson said he planned to consult with the IDT board later in the day. The statement also warned that the matter appeared to be part of 'what is now likely a paid-for public campaign aimed at discrediting [Macpherson's] efforts to bring stability and good governance to the entity'. It suggests deeper political and institutional tensions may be at play, especially as Macpherson has been spearheading reform efforts at the IDT. On 22 January, the EFF accused Macpherson of 'brazen and corrupt interference' in IDT affairs, citing an incident where he allegedly instructed staff to process a questionable payment to a construction company. The party claimed that Macpherson had unfairly targeted Malaka and used the PSA oxygen plant tender as a pretext for political interference. EFF secretary-general Marshall Dlamini opened a criminal case of corruption against the minister on 22 January 2025. IDT promises full response While remaining tight-lipped on the details, IDT spokesperson Lerato Modisana said the IDT acknowledged the seriousness of the allegations. The IDT board convened on Wednesday, 6 August, to 'deliberate comprehensively on these matters'. However, Modisana said the IDT was not at this stage in a position to respond to specific media enquiries. The organisation pledged to uphold 'transparency, accountability and good governance' and promised that 'a detailed response will be provided in due course, once the board has fully considered all the relevant facts and implications'. What everyone wants to know Daily Maverick's exposé has garnered significant attention from other media, including radio broadcasts. Readers applauded Myburgh's efforts, while some wondered at the sheer audacity of the brazen bribery attempt. Reader Eddie Maulson summed it up: 'One is gobsmacked at the lack of thought that went into this outrageous attempt at bribery, not to mention the effrontery that these individuals show in their lamentable assumption that they could bribe a man of PLM's integrity in such a crass manner.' A history of red flags Malaka was already under scrutiny, having been placed on precautionary suspension days before the footage emerged on 1 August 2025, following the release of a PwC forensic report into the R836-million PSA oxygen plant project. That report, spurred by Daily Maverick investigations in October 2024, recommended disciplinary action for Malaka, citing her failure to prevent or address serious violations in the project's procurement. The IDT has long struggled with governance and accountability, facing repeated criticism over failed projects and procurement lapses, eroding public confidence in the agency's leadership. DM
Daily Maverick
12-06-2025
- Business
- Daily Maverick
Retail giants step in with millions of rands to help entrepreneurs on their way up
South Africa's small businesses shoulder a heavy load, employing about 13.4 million people, and more than 70% of them don't make it past the seven-year mark. This week, Woolworths and Mr Price joined the growing queue of corporates trying to fix that, pledging millions towards entrepreneurship and empowerment. The business of doing good Woolworths is framing its new Inclusive Justice Institute as a practical demonstration of corporate empowerment, with the minister of small business development, Stella Ndabeni-Abrahams, endorsing it as a model for retail-led development. Backed by R300-million in funding — R200-million from Woolworths and R100-million from the Land Bank for emerging farmers — the institute will operate through two non-profit arms. One focuses on developing suppliers and the other on community programmes like food security and education. The retailer says it increased its procurement from SMMEs by 42% to R4-billion last year, and donated R816-million worth of surplus food to under-resourced communities. Woolworths' corporate social justice director, Zinzi Mgolodela, said: 'Our support for MSMEs [micro, small and medium enterprises] has helped stimulate economic growth by empowering beneficiaries to create jobs and expand their businesses. 'Through our NGO partnerships, we support rural and semi-urban communities to grow food and become self-sufficient, and our education initiatives have improved learning in under-resourced schools and promoted child safety, giving children the opportunity to thrive in safe, supportive environments.' The Land Bank's CEO, Themba Rikhotso, said: 'This initiative aligns directly with Land Bank's mission of empowering previously disadvantaged communities and to increase the inclusion of emerging farmers in the commercial agricultural sector, thereby enhancing the country's long-term food security.' Fishing for hustlers under 35 Meanwhile, Mr Price's Bindzu Youth Fund offers black and youth-owned businesses the chance to apply for R3-million in grant funding, spread across bootcamp training, mentorship and seed capital. The retailer's efforts seem to be focused on the right goal. Data from FinScope indicate that 30% of SMME owners are under the age of 35. To qualify, applicants must have been operating for at least 12 months, be between the ages of 18 and 34, and earn less than R5-million in annual turnover. The foundation says the goal is to help young entrepreneurs cross the resource chasm, which kills most early startups. 'The country has no shortage of young minds with bright ideas and business know-how,' said the foundation. 'So, although training and mentorship have been foundational to the success of young entrepreneurs, a greater need lies in real resources, and the willingness to release these resources to the youth.' The closing date to apply to the Mr Price Foundation is 30 June. Credit desert According to the Tips State of Small Business in South Africa 2024 report, SMMEs secure considerably less external funding than large corporations. They receive a paltry 13% of total bank credit. Corporations gobble up 51%, while regular consumer clients get 36%, which leaves small enterprises starved of working capital. The Woolworths and Mr Price programmes signal that retailers are no longer content to just manage supply chains but want to manufacture credibility. With government interventions slow and often mired in inefficiency, the private sector is positioning itself as both rescuer and reinforcer of South Africa's SMME ecosystem. DM
The Citizen
12-06-2025
- Automotive
- The Citizen
E-toll debt bites into traffic light repair budget
The DA has raised serious concerns about an imminent budget shortfall that will see Gauteng's provincial traffic light maintenance grind to a halt before the end of July. This looming crisis threatens the safety and mobility of millions of road users across the province, including key urban areas such as Pretoria. 'This will affect the whole of the province,' warned Evert du Plessis, DA Gauteng spokesperson for Roads and Transport. 'There are traffic lights that belong to and are maintained by the province in every metro and municipality. Pretoria will definitely be affected as well.' The budget shortfall was revealed during a recent Gauteng Provincial Legislature (GPL) Transport, Roads, and Logistics Committee meeting. Committee members were told that the allocated funds will be exhausted before the end of July, just three months into the financial year. In Pretoria, provincial roads, designated by the letter 'R', crisscross the city and act as vital connectors between suburbs and national routes. These include major corridors like the R55 and connecting streets, where intersections often depend on traffic signals to regulate the complex flow of daily commuters. The problem is exacerbated by the fact that provincial roads often intersect with national (Sanral) and municipal roads, creating shared responsibilities between all three spheres of government. 'We don't have a specific list for dysfunctional traffic lights on Tshwane's provincial roads as it changes on a daily basis,' explained Du Plessis. 'There are, however, a substantial number of provincial and national roads that cross metro boundaries. So all three tiers of government must take responsibility for their own infrastructure.' However, without a functional maintenance budget, Gauteng's provincial authorities will soon no longer be able to service their share of these intersections. Du Plessis said this shortfall is more than just an administrative hiccup. 'Non-functioning traffic lights pose a real threat to public safety, placing motorists and pedestrians at risk of collisions, violent crime at intersections, and delays that disrupt the daily routines of workers, parents, and emergency services. 'For the remaining nine months of the year, motorists could be stuck in gridlock, relying on pointsmen instead of functioning systems to reach their destinations,' he said. The DA has linked the budget collapse to Gauteng Premier Panyaza Lesufi's decision to commit provincial funds to paying off e-toll debt, an obligation the province was never legally bound to. Lesufi said on March 18 that the Gauteng government will absorb the e-toll debt and will continue to service it. He also confirmed that the provincial government has gone to the Development Bank of Southern Africa for a loan to be able to service the shortfall on e-tolls. The total e-toll debt that the provincial government has to pay back is more than R20-billion. This includes R12.9-billion for the historical debt, R4-billion for interest, and R4-billion for maintenance. The government has agreed to repay this debt in five equal annual instalments, with the first payment of R3.8-billion being made on September 30, 2024. 'This is another example of service delivery money being squashed by an irrational political commitment,' said Du Plessis. The party has called on Gauteng MEC for Roads, Transport and Logistics, Kedibone Diale-Thabela, and the head of the department, Thulani Mdadane, to urgently redirect funding and prevent a province-wide gridlock. 'New technology and the assistance of law enforcement would also go a long way to address this ever-escalating problem,' he added. The DA pledged to continue pressing the issue in the GPL, demanding answers and accountability from the ANC-led provincial government. 'A DA-led Gauteng government would not allow residents to be placed in such dangerous or frustrating situations,' he said. 'We will prioritise funding for traffic lights as a matter of extreme urgency to ensure the safety and well-being of all road users in Gauteng.' Do you have more information about the story? Please send us an email to bennittb@ or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading! Stay in the know. Download the Caxton Local News Network App Stay in the know. Download the Caxton Local News Network App here
Daily Maverick
10-06-2025
- Business
- 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
