Latest news with #Zikalala
Daily Maverick
4 days ago
- Politics
- Daily Maverick
IDT mistrust (Part Two) — Minister Zikalala's ‘whitewash' that secured IDT CEO Malaka her job
Former public works minister Sihle Zikalala lowballed the findings of an investigation he had commissioned, paving the way for Tebogo Malaka's appointment as chief executive of the Independent Development Trust (IDT) despite her involvement in a R45-million lease scandal. Evidence suggests that interventions by former public works minister Sihle Zikalala and his close comrade, then-IDT chair Kwazi Mshengu, stifled National Treasury investigations into allegations against then acting-CEO Tebogo Malaka and substituted a superficial probe by Zikalala's department. Nine days before the 2024 national elections, Zikalala endorsed Malaka's elevation from acting to permanent CEO on the basis that his probe 'found no wrongdoing' against her, but the probe had not been mandated to investigate Malaka. Last month the IDT was slapped down in its attempt to review the contract that Malaka was accused of mishandling after Malaka herself had deposed the founding affidavit. Part One of this series showed how Kwazi Mshengu, Zikalala's confidant and then-IDT chair, led the board in abandoning a National Treasury investigation into the parastatal's procurement of a new head office lease — even refusing to be briefed on its provisional findings. Mshengu and the board asked Zikalala to have his Department of Public Works and Infrastructure, of which the IDT is an implementing agency, investigate instead. The current story shows that while departmental auditors went on to produce a damning report on procedural irregularities, they had also warned Zikalala they were unequipped to probe — and could not investigate — substantive allegations against Malaka and others — a limitation he readily accepted. Despite the auditors recommending a further probe by the department's anti-corruption unit, Zikalala instantly wrote to Mshengu endorsing Malaka's appointment, claiming the auditors had 'found no wrongdoing' on her part. This was on 20 May 2024, just nine days before the national elections that ushered in the Government of National Unity. Mshengu signed off on Malaka's appointment six weeks later, as new ministers — including the DA's Dean Macpherson, Zikalala's successor — were being sworn in. Zikalala's exoneration proved decisive for Malaka, whose elevation from acting to permanent chief executive was blocked after she had entered a five-year, R45-million lease with politically connected Moepathutse Property Investments behind the board's back. This followed a procurement process marred by allegations of favouritism. Moepathutse, which has denied wrongdoing or any relationship with Malaka and sued the IDT for damages and costs, which the IDT itself estimates amount to almost R14-million, after it failed to occupy the building. The IDT responded by washing its dirty linen in court. It argued that the lease was invalid because tender specifications had been 'tailor-made' for Moepathutse's Irene property and because Malaka had signed without the requisite board authority. The IDT's defence took a potentially fatal hit two weeks ago when the Gauteng Division of the High Court in Pretoria dismissed a review application it had brought to set the lease aside. The judge found that the IDT had failed to prove the lease was 'tainted by any illegality' in any way. Malaka — despite being heavily conflicted — had deposed the IDT's founding affidavit. Under pressure In response to amaBhungane's questions, Zikalala, now Macpherson's deputy, did not address why his endorsement of Malaka had claimed 'no wrongdoing' despite the probe's limited remit. He said, however, that he had held back Malaka's appointment for more than a year pending the investigations, and that she had 'engaged in legal challenges through her lawyers relating to [her] appointment'. Zikalala said that when he became minister in March 2023, his predecessor, Patricia de Lille, had already recommended Malaka to the Cabinet. 'I am the minister who withdrew the [recommendation] for investigations to be conducted.' As detailed in part one, the board then considered procuring a forensic firm to conduct a probe, but hesitated to entrust the process to IDT management, then led by Malaka in acting capacity. One thing led to another and the National Treasury, assisted by law firm ENS, commenced a forensic investigation on the board's behalf. Towards the end of the year, a reconstituted board, now chaired by Mshengu, canned the Treasury investigation and asked Zikala to have his department investigate internally instead. The board's resolution still targeted Malaka though, calling for Moepathutse's selection to be probed 'specifically relating to the relationship between the lessor and the acting CEO'. But the new probe was neither forensic nor focused on Malaka. Zikalala — who said he was committed 'to serve with integrity, transparency and accountability' — shared the final report with amaBhungane. This report shows that the request to investigate had been routed through the department's inter-governmental relations unit to the internal audit unit, not its governance, risk and compliance branch, whose remit includes fraud and corruption investigations. The audit unit agreed to help, but only with an 'assurance audit' to check compliance with control prescripts. 'Internal audit performs assurance audits and not investigations/forensic audits which reside within governance, risk and compliance.' So concerned were the auditors that the limitations of their approach be understood that they insisted on Zikalala's approval and board concurrence before they started. 'The minister approved the proposed assurance audit approach on 15 March 2024.' The internal audit chief signed off on her team's report two months later. Within its narrow lane, the report was damning. It was 'unable to provide reasonable assurance that the procurement process was fair, transparent and regular'. It identified multiple gaps in the procurement file and 'material non-compliance to procurement policies, laws and regulations'. However, the report also reiterated that 'our audit did not cover the review of conflict of interest of executive management, the board members, [and supply chain management] officials to any bidder, especially to the recommended bidder'. This, it said, 'requires special tools that we do not have'. The auditors went on to recommend that the board, in consultation with the minister, ask the governance, risk and compliance anti-corruption unit after all 'to investigate further the areas' they could not cover or where information had been unavailable to them. No wrongdoing On 20 May 2024 — the same day the audit report was signed — Zikalala addressed a letter to Mshengu in his capacity as board chairperson. 'You will recall the proposal,' he wrote, 'to hold in abeyance the matter of the confirmation of Ms Tebogo Malaka… pending the conclusion of the investigation… The investigation by the department has been completed and no wrongdoing was found on the part of Ms Malaka. 'As such, I want to confirm my concurrence to the board's decision to appoint Ms Malaka as the IDT chief executive officer.' Zikalala did this knowing his audit team had not probed allegations against Malaka — and despite briefings from the previous board that the Treasury had been tasked to do just that. Zikalala sent the letter nine days before the elections saw the ANC lose its majority and he lost his post. Mshengu signed off on Malaka's appointment on 3 July 2024, the day new ministers, including Macpherson, were sworn in. Both Mshengu and Zikalala denied there was any connection between their respective actions of canning the Treasury probe, declaring Malaka cleared by the department, and getting her appointed before Macpherson took charge. Mshengu, whom Macpherson removed from the board, said: 'You would also know that IDT is a state entity and its operations are not subject to changes in government. Therefore, the appointment of Ms Malaka as CEO had nothing to do with changes in government. In any event, no one knew what would be the outcomes of the national general elections.' Zikalala said the board had terminated the Treasury investigation of its own accord and that there was 'no so-called 'haste' on my part' to appoint Malaka. He reiterated that he had ordered investigations after becoming minister and had paused the appointment 'for a period of more than a year until there were legal procedures initiated against me as minister'. Another investigation Zikalala also stressed that Malaka's appointment was not the end of the road and that the governance, risk and compliance anti-corruption unit had in fact 'commenced its deeper investigation' as recommended by the internal auditors. That probe only started last November, months after Zikalala was replaced as minister. The department confirmed that the investigation was concluded in mid-February, but was awaiting the director-general's sign-off. Its terms of reference included 'determining whether there was irregular, improper and/or criminal conduct by IDT official(s) and/or third parties'. AmaBhungane has submitted a request under the Promotion of Access to Information Act for the canned Treasury investigation reports, and will do the same for the anti-corruption unit report. Who will pay? Meanwhile, the costs of this debacle continue to mount. When Moepathutse filed its damages claim, the IDT responded with a special plea, claiming that the bid had been tailored to suit Moepathutse's building and that Malaka had concluded the lease without board approval, which was required due to its value. The IDT asked the court to pause the damages suit it applied in order to review its own decision and void the lease. When the IDT finally filed the review in March 2024, the deponent to its founding affidavit was none other than Malaka — hopelessly conflicted. She put hardly any admissible evidence on the table and the outcome was predictably dire. In a judgment delivered on 16 May, acting judge S J Myburgh complained repeatedly that the IDT had provided no evidence that its decisions were improper. 'The IDT has failed to show that the agreement concluded between itself and the respondent was tainted by any illegality. I thus find myself in agreement with the argument made by the respondent that this application is simply an attempt by the IDT to avoid liability in terms of the now cancelled agreement.' The court dismissed the IDT's application with costs, and Moepathutse's damages claim, which the IDT's latest annual report says now stands at almost R14-million, is effectively irresistible, unless, perhaps, the IDT throws Malaka under the bus.
Daily Maverick
5 days ago
- Politics
- Daily Maverick
IDT mistrust (Part One) — How Minister Zikalala and his ‘comrade chair' nixed probes into CEO Malaka
In 2023 and 2024, allegations of procurement irregularities against beleaguered IDT chief executive Tebogo Malaka were swept under the carpet by the then IDT chair Kwazi Mshengu and the then minister Sihle Zikalala. These interventions included quashing a forensic probe facilitated by the National Treasury and whitewashing an audit by Zikalala's department. The evidence suggests a parallel effort to stymie investigations into Malaka, clearing the way for her to be elevated from acting to permanent chief executive. Both men deny the accusation. Documents obtained by amaBhungane suggest that former public works and infrastructure minister Sihle Zikalala and his close comrade, the then Independent Development Trust (IDT) chair, advocate Kwazi Mshengu, mounted parallel efforts to shield the parastatal's chief executive from investigations into a R45-million lease scandal. Internal communications, board minutes and draft reports show Zikalala and Mshengu clearing the way for Tebogo Malaka's elevation from acting to permanent chief executive last year despite mounting evidence of impropriety on her part. Allegations include that Malaka concluded a lease agreement with politically exposed Moepathutse Property Investments behind the IDT board of trustees' backs and beyond her delegation of authority. The lease, for a building adjacent to a nature reserve in Irene, Centurion, was intended to provide the IDT with new headquarters, but the IDT never took occupation, leading Moepathutse to sue for R14-million in damages. Moepathutse is directed by former politician Thaba Mufamadi and his relative Vhonani Mufamadi — the brothers of President Cyril Ramaphosa's national security adviser, Sydney Mufamadi. Moepathutse has denied wrongdoing or that it had a relationship with Malaka. Part One of this series shows how, soon after taking over as IDT chair, Mshengu led his board in quashing a forensic investigation facilitated by the National Treasury, asking Zikalala to have his Department of Public Works and Infrastructure conduct a probe instead. Part Two will examine how Zikalala tasked the department's internal auditors — but not to probe allegations against Malaka. The Treasury confirmed to amaBhungane that its investigations were 'already at an advanced stage' when Mshengu pulled the plug, but that Mshengu declined to be apprised of findings so far. Zikalala was minister at the time but has been deputy to the DA's Dean Macpherson since the formation of the Government of National Unity last July. Macpherson removed Mshengu from the board this year. The IDT is a multibillion-rand implementing agency of the department, responsible for social infrastructure like schools and clinics. Mshengu and Zikalala have denied any correlation between their actions, which they maintain were justified. Malaka, who is fighting to retain her position in the face of amaBhungane and Daily Maverick exposés, did not respond to detailed questions regarding the allegations against her. Stop-start tender To casual observers, it may appear as though Malaka's troubles began when Macpherson took over as minister, when in fact they started two years ago under a previous IDT board. The controversy is rooted in an early 2022 board resolution to sell the IDT's existing headquarters at an unassuming office park in Pretoria East and procure leased premises instead. Malaka was already acting chief executive at this point. The tender process was seemingly derailed in May that year when Malaka received a protected disclosure from the head of security, Wilhelm Meyer. An IDT affidavit filed as part of subsequent litigation with Moepathutse alleges that during an impromptu visit to Moepathutse's property, Meyer witnessed the chair of the bid specification committee arriving in the same car as someone connected to Moepathutse. This raised concerns about an inappropriate relationship. At a subsequent meeting of the bid specification committee, the chair allegedly specified criteria — a canteen, a bicycle shed, showers — that 'surprisingly fit' Moepathutse's property. Meyer's disclosure set off a chain of events still rippling out now. A May 2023 draft report from the board to Zikalala states that Malaka did not voluntarily bring Meyer's disclosure to the board's attention until it demanded answers from her. It also alleges that 'an extensive investigation' Malaka promised Meyer was superficial at best. Nonetheless, the tender was cancelled and a second advert placed in August 2022. Despite the protected disclosure, Moepathutse was recommended as the winning bidder and an unsigned lease agreement provided to the board for approval in January 2023. Board in the dark The board was, however, unaware that Malaka had already signed a letter of award to Moepathutse in November 2022. Moepathutse signed its acceptance on the same day. The rental amounted to R45-million over five years. The board was also unaware that in December 2022, Malaka had signed a lease agreement despite her finance chief warning it was above their delegation of authority and needed board approval. The board knew nothing of this when it was time to give its approval. 'An unsigned lease was provided in the board meeting pack, and no reference at all was made by [Malaka] on the fact that a signed lease existed,' the draft report to Zikalala read. It also recorded Malaka's excuse that she was 'not responsible for compiling the board pack'. The board approved the lease agreement in February 2023, in the absence of the then chair, Zimbini Hill, and despite outstanding concerns. The following month, however, after receiving a whistle-blower report deemed 'highly relevant' to the lease procurement, it rescinded its approval. It also resolved to initiate a two-part forensic investigation: into the lease procurement itself and into HR-related allegations against Malaka and other managers. It was only after this that the board was furnished with the lease Malaka had signed months earlier without authority. It is this signed lease that Moepathutse is using to back its R14-million damages claim against the IDT. Draft board minutes display trustees' dissatisfaction with Malaka: 'The board is concerned at the level of dishonesty as management never disclosed the signed lease of 2 December 2022. The CFO informed the acting CEO in an email on 2 December 2022 that the signed lease was beyond the delegation of the acting CEO and the CFO… The board cannot ignore the actions of management in how the lease matter was handled.' The draft minutes and report cite evidence that Moepathutse marketed the same building at significantly lower rates than the IDT lease. Michael Sutcliffe, an ANC-aligned veteran bureaucrat then on the board, submitted documentation allegedly showing that Moepathutse had advertised an annual rental of R4,459,932 — 43% less than the IDT's first-year commitment of R7,851,178. Moepathutse said in response to amaBhungane's questions that its price was 'the lowest of the six bids received by the IDT in response to the public tender'. The draft report to Zikalala, which was circulated to all board members and sent to Zikalala after minor edits from the trustees, states that the board had agreed on the terms of reference for the proposed forensic investigation and that the minister was briefed in detail. It is understood that the document submitted to Zikalala did not differ materially from the draft seen by amaBhungane. Board 'dysfunctional' The board now faced a dilemma. It wanted to procure a forensic firm to conduct its probe, but felt it could not trust IDT management with the process. Initially, the board considered calling for bids from the department's approved panel of firms, but that panel had expired. Questions also emerged about the board's legal authority to initiate procurement. The board then mandated the company secretary to approach the National Treasury about undertaking the investigation as a neutral third party. The Treasury confirmed it could do so, and the company secretary kick-started the process. The Treasury appointed the law firm ENS to assist. A dispute later arose over whether the board had actually mandated the company secretary to launch the investigation or merely to explore its feasibility. This would form the basis for a reconstituted board to halt the Treasury's investigation, despite records showing that both the board and the minister were briefed on the investigation's timeline and costs in September 2023. Moepathutse lodged its high court claim based on the disputed lease contract that same month. Zikalala subsequently intervened with a 'fact-finding mission', citing governance concerns 'arising out of the complaints raised with my office'. Two sources with knowledge of events say that shortly after the Treasury's investigation commenced in October, Malaka allegedly refused to cooperate. When investigators complained, board chair Hill wrote to Malaka urging her to cooperate. Malaka, in turn, lodged a grievance against Hill. Soon after, Zikalala wrote to board members asking them to justify why they should not be removed 'for failure to implement the mandate of the IDT'. Hill resigned on 8 October and was followed by two more trustees. Defending his intervention to amaBhungane, Zikalala said: 'The board members were not aligned and were clearly divided on many issues, rendering the board dysfunctional. After observing this state of paralysis and that this board was nowhere near fulfilling its fiduciary duties, I wrote to all board members, not just Ms Zimbini Hill… Three board members responded while others resigned.' Hill's resignation paved the way for Mshengu's entry. Zikalala appointed him as a trustee in November 2023, after which the board elected him as its chair. A former KwaZulu-Natal ANC Youth League chair, Mshengu enjoyed Zikalala's trust. When Zikalala became provincial premier in 2019, he appointed Mshengu as his education MEC. They served together until their defeat in the ANC's 2022 provincial elections, where Zikalala had stood for chair on the 'Ankole' slate with Mshengu as his deputy. Mshengu had also served as a board member on Zikalala's charitable trust. 'Protect the board' At his inaugural meeting chairing the IDT board towards the end of November 2023, Mshengu set the tone. According to minutes, he shared 'observations' on the Treasury's investigation, questioning its terms of reference and impartiality. The board then resolved 'to consider taking a decision that would protect the board'; 'that the current forensic investigation should be halted'; and that Zikalala should be asked to have his department investigate Moepathutse's appointment, 'specifically relating to the relationship between' Moepathutse and Malaka. A Treasury spokesperson said in response to amaBhungane's questions that it had received a letter from Mshengu that December, 'instructing the Treasury not to proceed further… 'However, by that point, the National Treasury's investigation was already at an advanced stage. Based on the information collected, evidence obtained from imaged computers, and consultations with relevant officials, the Treasury concluded its investigation.' By that time there were already draft reports and contact had been made with the Hawks. The Treasury appears not to have wanted its and ENS's work to go to waste. According to the Treasury, 'In February 2024, the National Treasury wrote to the board chairperson requesting a meeting to present the findings of the investigation as at the time of termination. The chairperson, however, declined, stating that the board would not accept any investigation reports from the National Treasury, referring to the December letter terminating the Treasury's mandate.' Mshengu defended his actions, telling amaBhungane that when Zikalala and the then deputy minister Bernice Swarts introduced him to the rest of the board, they 'indicated that they had received complaints from Ms Malaka on how the investigation was conducted by National Treasury — which she viewed as having predetermined outcomes. The ministry then requested the board to look into these allegations.' The matter was considered at the next board meeting. 'The trustees who had an advantage of being seized with the matter before my arrival unanimously disavowed that they had agreed to the appointment of National Treasury and the terms of reference. 'According to the trustees, the company secretary was mandated to check if either National Treasury or [the department] can do the investigation and advise the board. The company secretary, however, proceeded to appoint Treasury without reverting to the board and to have the board consider and approve the terms of reference.' Mshengu said the decision to terminate the Treasury's mandate was informed by a 'contamination of the process' and that the investigation 'was never squashed but was referred' to the department. He said his relationship with Zikalala was public knowledge and that he had declared it to the interview panel before his appointment. He had met Malaka for the first time when he became a trustee. Either way, the end of the Treasury investigation proved a lifeline for Malaka. As we explain in Part Two, Zikalala would go on to whitewash the investigation entirely, endorsing Malaka for permanent chief executive on the basis that his inquiry 'found no wrongdoing' against her. It never, in fact, investigated her. In July 2024, on the day Macpherson and other Government of National Unity ministers were taking the oath of office, Mshengu signed off on Malaka's permanent appointment. DM
The Citizen
13-05-2025
- Politics
- The Citizen
Joburg needs action, not a ‘bomb squad'
The creation of a bomb squad to tackle Joburg's woes is a misguided solution that distracts from the real accountability needed. There is a school of thought among social media conspiracy theorists that the decline in the provision of quality services by state-owned enterprises and government structures is deliberately allowed to happen by individuals who have either set up their own private entities to step into the gap and profit, or allow their friends and families to profit. For instance, the chaos in the health care system obviously favours private hospital owners as well as providers of medical aid because there would be no need for their services if the state could provide these by efficiently using the money collected from taxpayers. These obviously remain conspiracy theories until proven otherwise, but the chaos in the administration of places like the City of Joburg municipality does nothing to disprove the theories. The mayor of the city has come up with one of the strangest solutions to the failure of the metropolitan municipality to arrest the decay in this once beautiful city at the hub of South Africa's centre of commerce. He has suggested the establishment of a Springbok rugby-inspired 'bomb squad' that will step in when the city fails in the provision of services. In other words, a structure would be established to cover for the failures of the constitutionally mandated structures that form the municipality of Joburg. ALSO READ: Does Johannesburg really need a 'Bomb Squad'? This is probably the most bizarre suggestion yet made to rescue a dysfunctional municipality, the formation of what would effectively become a parallel council. The problems facing the City of Joburg are not new or unique. The breakdown in infrastructure of simple things like traffic lights and the proliferation of potholes on the city's roads are nothing but lack of maintenance. There is the Joburg Roads Agency (JRA) that was formed in 2001 for precisely that purpose – the planning, construction and maintenance of roads. What would the bomb squad do in this instance? What would the JRA do when their job is done for them? The decay in the inner city buildings that has led to shacks being erected in high-rise buildings means that for the past three decades, the member of the mayoral committee on the environment and infrastructure has been sleeping on the job. ALSO READ: Zikalala can crack the whip – but will he? Why is Joburg city centre infested with criminals robbing people in broad daylight? Where is the MMC for community safety? These problems do not need a bomb squad that will also be paid out of taxpayer money, they need those elected like Dada Morero himself to do what they are paid to do. If they cannot they need to move aside and let those who can to do those jobs take over. The DA has proposed a motion of no confidence in the mayor and the speaker. South Africans have seen this movie before. It does not end well. ALSO READ: Morero's vision to make Johannesburg a world-class African city In fact, part of the chaos in the City of Joburg is because of these endless motions of no confidence which result in the disruption of the little service delivery that is happening, with a new team coming in and trying to find their feet while residents suffer. There were murmurs from a 'shocked' President Cyril Ramaphosa about restoring the city to its former glory a while ago. Maybe he needs to put that in motion before the upcoming elections because the suggestion that is on the table right now is proving the conspiracy theorists right. There must be individuals or entities that benefit from a run-down City of Joburg, otherwise why would they allow the chaos to continue? Joburg can easily return to its former glory if everyone did their job, without bomb squads.
IOL News
10-05-2025
- Politics
- IOL News
Afrikaners can now keep South African citizenship while living in America
The Constitutional Court judgment means that Afrikaners who will take the US refugee status offer would remain South Africans. Image: Independent Media Archives AFRIKANERS who will be leaving to take up new citizenship in America because of the South African government's transformation policies will leave with peace of mind knowing that they could still come back if they are not happy in their new home country, said political analyst Thobani Zikalala. This followed a Constitutional Court ruling on May 6 in favour of a Democratic Alliance (DA) application to protect people who are taking new citizenship in a foreign country from losing citizenship of their country of birth. 'This ruling means that people can now leave to get a passport of another country because they are gatvol with South Africa, but can return to be South Africans when convenient. 'This judgment says that those people who left South Africa to become citizens of other countries can now come back,' said Zikalala. He said the judgment was convenient for the DA because most white people who left the country before 1994 in fear of the black government, could now vote for the DA. International media had reported this week that US government officials had organised a media briefing to be held at the Dulles airport in Virginia on Monday to welcome 50 Afrikaners, which would be the first group to be granted US refugee status and citizenship. In March, it was reported that there were up to 70 000 Afrikaners who expressed interest in taking President Donald Trump's offer for them to move to his country. In his executive order, Trump alleged that the South African government had passed policies that would allow it to confiscate Afrikaners' private property and discriminate against them. He also accused South Africa of practising white genocide. The Constitutional Court ruling invalidated Section 6(1)(a) of the South African Citizenship Act 88 of 1995 (the Act) that said South Africans who would take the citizenship of another country would cease to be South African citizens. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ 'People who are outside of the country can now claim citizenship and vote in the South African elections. 'For me, this is something that we should be concerned about because the citizens of the country should be about loyalty, because if you go to another country and claim its citizenship, you should lose the citizenship of South Africa, the country with which you are not happy, because you chose to relinquish your citizenship.' He said his concern was that those who left the country to avoid being ruled by the black government but found the situation not conducive for them in a foreign land, would now come back to the country that they had not been loyal to. Zikalala said this judgment was coincidental with the Afrikaners leaving for America, but said it would work for them when they found that their stay outside the country was not working for them. 'White people have been leaving South Africa before, even before the idea of the American refugee status came up, people have been leaving South Africa for countries like New Zealand, Australia, since 1994. 'It is good for white people who will go to the US, although I don't think this is for the benefit of Afrikaners. But by way of coincidence, they will benefit because they will continue to run their businesses in South Africa not as foreigners but as citizens, as they will carry a passport of South Africa and a passport of whatever country, and in this case, the USA,' he said. The DA had launched an application on behalf of South Africans who, unbeknownst, lost their citizenship. It told the Gauteng High Court, Pretoria, that the automatic loss of citizenship deprived the affected people of their citizenship rights enshrined in Section 20 of the Constitution of South Africa.
IOL News
27-04-2025
- Business
- IOL News
Transnet's rail improvements usher in sales growth for Kumba Iron Ore
This comes as Zikalala said Kumba was continuing to 'work closely with Transnet and the Ore Users' Forum (OUF) to prioritise the maintenance related to the independent technical' assessment. Image: Supplied Tawanda Karombo JSE-listed commodity exporter Kumba Iron Ore has reported a significant uptick in sales volumes, with a 6% increase recorded during the quarter ending 31 March 2025. This boost comes on the heels of enhanced rail performance by Transnet, marking a promising recovery for the South African bulk commodity sector, which has been grappling with operational inefficiencies over the past few years. Kumba Iron Ore's CEO, Mpumi Zikalala, on Thursday said that Transnet's capacity has improved in the first quarter of the year. 'The 5% uplift in Transnet's rail performance, which supported a 6% increase in sales volumes, is encouraging,' said Zikalala. Kumba's production for the quarter period dropped by 3% to 9 million tons despite Kolomela's production increasing by 12% to 3.0 million tons. Sales volumes for the period also amounted to 9 million tons. 'Following this positive start to the year, we are maintaining our production and sales guidance of 35 – 37 million wet metric tons and our unit cost guidance of $39 per ton,' said the company. This comes as Zikalala said Kumba was continuing to 'work closely with Transnet and the Ore Users' Forum (OUF) to prioritise the maintenance related to the independent technical' assessment. 'As part of the OUF, we are also working through the Department of Transport's request for information, due for submission on 9 May 2025, which will be followed by the request for proposals later in the year,' Zikalala said. Kumba Iron Ore is readying up for the potential extension by a few days of Transnet's annual maintenance shutdown in the third quarter of the current year as part of the work related to the independent technical assessment. Finished stock of 7.8 million tons for the end of March compared to 7.5 million tons in December 2024 included stockpiles of 6.2 million tons at the mines and 1.6 million tons at the Port of Saldanha Bay. 'Ore railed to port by Transnet increased by 5% to 9.8 million tons, up from 9.4 million tons in the comparative period, enabling a drawdown in our mine stockpiles which ensures a more balanced value chain,' said the company. For the quarter period under review, Kumba realised an average free on board export iron ore price of $98 per wet metric tons, 11% above the average benchmark price of $88 per wet metric ton. This comes against the backdrop of iron ore markets that were underpinned by higher steel exports in China. This partially offsett property weakness and lower steel output in traditional sales markets such as Europe, Japan, and South Korea. 'Iron ore supply was hampered by seasonal weather disruptions in the southern hemisphere. Lower coal prices and steel stocks in China supported steel mill margins and consequently demand for high quality iron ore products,' said Kumba. In the year to December 2024, Kumba's total revenues of R68.5 billion slumped by 21% as a result of a 21% decrease in the average realised full on board iron ore export price of $92 per wet metric ton.
