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IOL News
6 hours ago
- Politics
- IOL News
The decline of the NPA under Shamila Batohi
Challenges facing the National Prosecuting Authority under adv Shamila Batohi Image: Henk Kruger Since her appointment as National Director of Public Prosecutions (NDPP) in 2018, Advocate Shamila Batohi pledged to restore integrity and effectiveness to South Africa's embattled National Prosecuting Authority (NPA). Six years on, however, critics argue that the institution is mired in high-profile failures, eroding public trust and casting doubt on its ability to deliver justice. One of the most prominent disappointments has been the botched prosecution of Nigerian televangelist Timothy Omotoso, who faced multiple charges, including rape, sexual assault and human trafficking. After eight years, the case ended in a startling acquittal. The court cited prosecutorial misconduct, poor cross-examination, a lack of corroborating evidence, and an incoherent legal strategy. Professor Buhle Dube, Director of the School of Law at the University of South Africa, said: 'High-profile cases are delicate and require meticulous handling. Unfortunately, the NPA often yields to public pressure, leading to procedural errors that jeopardise justice.' Despite numerous forensic investigations into corruption at state-owned entities such as Eskom, Transnet and the Passenger Rail Agency of South Africa (PRASA), and damning findings from the Zondo Commission, the NPA has yet to secure significant convictions. Delayed or non-existent prosecutions have fuelled perceptions that powerful political interests influence justice. 'Since the controversial landing of the Guptas at AFB Waterkloof over 12 years ago, little has been done to tackle corruption decisively,' said political analyst Professor Tumi Senoekane. 'The recommendations from the Zondo Commission have largely been ignored, and attempts to hold influential figures accountable remain stalled.' 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Advertisement Next Stay Close ✕ Ad Loading Failures to extradite fugitives such as the Gupta brothers and self-styled prophet Shepherd Bushiri have drawn further criticism. Bushiri's continued evasion of justice exemplifies these shortcomings. Meanwhile, high-profile murder cases - including those of soccer star Senzo Meyiwa and rapper AKA - remain unresolved, compounding public disillusionment. The Nulane Investments fraud case, involving a fraudulent feasibility study linked to former Free State Premier Ace Magashule and the Vrede Dairy Project, was described by the court as a 'comedy of errors' after key evidence was mishandled and ruled inadmissible. Dube noted, 'Prosecutorial discretion must be applied judiciously and without political or public pressure. The push for quick wins often results in shortcuts that subvert justice.' Similarly, Political analyst Professor Tumi Senoekane pointed out that 'the NPA has failed to execute its mandate in a timely and effective manner. Political interference, resource constraints, and structural deficiencies contributed to this decline.' Former Executive Director and current Corruption Watch consultant Karim Singh echoed these sentiments. 'The losses suffered by the NPA are demoralising, both for the public and those within the organisation. Stability in leadership and a focus on operational independence are essential for meaningful reform.' Singh suggested that in terms of the NPA's execution regarding corruption, we need to pay attention now to the operationalisation and function of the Independent Directorate headed up by advocate Andrea Johns. 'Some of the questions towards Johnson regarding how are they learning from these mistakes moving forward as key people at the NPA.' Although Batohi's tenure began with high expectations, critics argue it has delivered few tangible results. Calls for reform include reviving the independent investigative model of the now-defunct Scorpions, bolstering resources and instilling a culture of accountability.. 'The recent establishment of the Investigating Directorate Against Corruption (IDAC) is a positive step,' said Singh. 'However, more resources and strategic leadership are needed to ensure it fulfils its mandate effectively.' The Democratic Alliance (DA) has announced plans to hold a media briefing on Friday morning to address what they describe as a deepening crisis within the NPA and the Department of Justice. The DA said it aims to scrutinise recent failures, including the collapse of the Omotoso trial and the delays in implementing the Zondo Commission's recommendations. Conviction rates and the number of criminal cases handled by the NPA have reportedly declined under Batohi, reflecting broader leadership and capacity challenges. Last month, Justice Minister Mmamoloko Kubayi instructed Batohi to submit a detailed report explaining the Omotoso acquittal and the underlying causes of the NPA's failure in the case. This comes despite Batohi's 2022 commitment to prioritising high-profile corruption prosecutions, following a funding injection from National Treasury.
Daily Maverick
4 days ago
- Politics
- Daily Maverick
Same same — how State Capture has become SA's greatest export
As Trump wipes away American history and redoubles down on thought crimes, he'd be horrified to know that the ANC has done it better, which is to say worse. Of all the ANC's masterstrokes — and believe it or not, there have been a few — the capture (and subsequent erasure) of history is perhaps its most successful. Without a past, there is no future — just an eternal now, a limbo that represents political stasis. And as dynamic as South Africa may seem if you have your nose jammed in the news, this is indeed a country of stasis, a country where new ideas and genuine transformation die before they are born. Because the ANC has captured history — it is, after all, the 'liberation party', and that's all there is to know — there is no point in revising history, because it's meant to be forgotten. Take the Zondo Commission. Remember that billion-rand boondoggle? Four volumes stuffed with the nightmare legacy of Zuma era corruption, and the results? Not much. The complaints are simple: all of that taxpayer money blown, and not a single meaningful prosecution. But that is to miss the point. As the political commentator and playwright Richard Calland has noted, 'State Capture was something that was really significant. And yet there was a real danger that we moved on too fast from it, and the lessons were not learned, were not digested. And then all the work that was done to defend democracy was kind of wasted. And it was a huge effort to protect the institutions and the rule of law. And I think, although full accountability hasn't happened yet, that it was a significant effort to defend public democracy from private State Capture.' And yet, the Zondo Commission Report should be required reading — the first thing placed in the hands of a kid hitting Grade Zero, in picture-book form. This, after all, is the story of how the world is hijacked. It's an epic, a fairytale, a parable. It's also universally applicable, at least as far as democracies are concerned. The Zondo Commission tells a linear story: how a state is captured, and corruption formalised, by a norm-breaking executive and its private sector enablers. President Jacob Zuma, who was manifestly and obviously a thief, became a viable candidate to replace the establishment figure Thabo Mbeki because he wasn't Thabo Mbeki. His shortcomings were overlooked because it was time for change. The change he offered — a populist spin on African nationalism — was the only thing that would keep the ANC, and therefore the country, from imploding. Or so we were told. In educational and intellectual terms, Zuma was not a Harvard University business school graduate. But he was at least as unethical and rapacious as one. A spy by (forced) vocation, he employed his louche paranoia as a tool against his enemies. He effortlessly subverted the State Security Agency, using it as a money funnel and a battering ram to enrich his cronies and undermine his enemies. His benefactors were brought into the fold to act as middlemen in the flow of funds from the state to state-owned enterprises and their private sector contractees. Then, Zuma went for the National Prosecuting Authority, and followed that up with attacks on other law enforcement agencies — a very simple procedure, given that the executive has the final say over who runs these institutions. He made foolish choices to head the Public Protector's office and the Constitutional Court, but they were his choices to make. By doing this, he signalled that it was open season for corruption, and that shame no longer had a role to play in moderating political behaviour in South Africa. There are other forebears of the 21st-century style of kleptocratic state vandalism. They include Benjamin Netanyahu in Israel, Viktor Orbán in Hungary and, of course, the OG, Vladimir Putin in Russia. But no other country has 4,000 pages of testimony breaking down exactly how the system works. In this, the Zondo Commission Report is perhaps the most important piece of political literature written in the past 25 years. And outside of Ferial Haffajee, how many South Africans, let alone foreign political observers or analysts, have read the whole thing? From a certain perspective, Zondo is a blueprint for how an empowered and unembarrassable executive performs a coup on his or her own country. There are clues in Zondo for how the 21st century has gone so horribly wrong, and hints at how to fix it. *** If liberal Americans knew what they were doing — and they don't — they'd see South Africa as a bellwether, as a warning. This isn't a Zuma equals Trump comparative thing — this goes far beyond individual personalities. Instead, they'd understand how corruption becomes entrenched — how it underpins, and then entirely supplants, ideology. As in South Africa, in the United States, special interests long ago hijacked anything resembling a functioning democracy. Here, the Guptas were avatars for private parasites latching on to the state and leeching it dry. In the US, corruption was driven through the Supreme Court, which has proved almost gleefully amenable. The biggest moment was the Citizens United ruling in 2008, which effectively allowed unlimited corporate spending in election campaigns. From there, it's been relatively smooth sailing. In recent years, while much of the focus was on the repeal of Roe v Wade and the end of female bodily autonomy, Trump's Supreme Court has done two things. First, it's allowed the executive almost monarchical power. And second, it's made bribery — or, rather, 'gratuities' — legal. You don't have to be a genius to see how this leads to a culture of extreme corruption, and it has. The end of Joe Biden's disastrous term led to a slew of pre-pardons of family members, which slithered into Trump 2 and the Zuma-like strip-down of the state. Congress, ostensibly a lawmaking body, stares on gape-mouthed as Trump rewrites the American order in the Oval Office. The lower courts have held up what might be considered the rule of law, but at this point it's largely vestigial. Trump is so empowered that he's now very literally rewarding corruption. Take the case of Paul Walczak, a medical executive and tax cheat who made an application for a full pardon, which Trump ignored. Until Walczak's mother showed up at a million-dollar-a-plate fundraising dinner, where she hobnobbed with the Republican glitterati and scored her son a get-out-of-jail-free card. It's pay to play, and there's no longer anything ambiguous about it. *** Zuma's genius, as with Trump and his minions, is to make graft ideological. The infamous Bell Pottinger misinformation campaign, which reintroduced White Monopoly Capital into the South African parlance, situated corruption and anti-constitutionalism as a transformation project — as a means to empower the previously unempowered. In essence, this was a 'screw the elite' project, which conveniently ignored the facts of power distribution in South Africa, while exploiting the very real economic disparities. Likewise, the Trump ideology comes down to little more than Fuck The Libs. This is a deplorable uprising, the upending of snooty Harvard/Yale/Columbia shitlibs (which again ignores the specifics of who is currently in power in the US). This is emotion as ideology, a vacuous project of rage-baiting driven by the neo-Bell Pottingers on the likes of Elon Musk's X. 'So loud and quiet at once, ideology becomes a substitute for mood,' wrote the novelist Joshua Cohen. And the mood in the US is dark and rebarbative. The capture of the state by special interests — by the billionaire class and the corporations who will exclusively benefit from the revolution under way — is misinterpreted as fascism. But this is silly. The performance of authoritarianism is secondary to the flood-the-zone-with-sewage approach to governance, which hides the formalisation of corruption. No one bothered to call Zuma a fascist — it simply didn't matter. He worked for his family and his friends and benefactors, and no one else. It was a simpler time. It should hopefully be obvious that rebuilding a functioning state in the wake of State Capture is nearly impossible. The centralisation of corruption under Big Men like Zuma (and Trump) inevitably gives way to a violent contestation when they leave office. This fragmentation is lethal and destabilising, and it breeds nostalgia for the good old days of the God King. Which is where South Africa finds itself now. As Trump wipes away American history and redoubles down on thought crimes, he'd be horrified to know that the ANC has done it better, which is to say worse. The rest of the world should take note: it's not fun digging out from under ideology-as-mood. Very little is left to build with. But it always pays to remember that State Capture is an elite project, prosecuted from the top, that benefits the wealthy and powerful. The rest of us are just suckers and cannon fodder. DM
IOL News
26-05-2025
- Business
- IOL News
Editor's Note: Cabinet must reform the COFI Bill to protect the right to bank
According to the current regulatory frameworks, banks are obliged to notify customers and provide them with the opportunity to make representations before terminating their accounts. The Conduct of Financial Institutions (COFI) Bill, soon to be submitted to Cabinet, is a critical opportunity to address arbitrary bank account closures in South Africa. These closures threaten economic stability, undermine fairness, and grant banks unchecked power to act as de facto regulators of public and private life. However, the Bill in its current form fails to adequately protect the right to bank. I urge parliamentarians to scrutinise this legislation and demand reforms that enshrine procedural fairness, as recommended by the Zondo Commission and grounded in the audi alteram partem principle. Cabinet must address these shortcomings by ensuring the COFI Bill incorporates robust protections, including the right to a fair hearing, as recommended by the Zondo Commission and supported by the audi alteram partem principle. The audi alteram partem rule, a cornerstone of natural justice, mandates that individuals be given an opportunity to respond to allegations before decisions are made against them. In the context of bank account closures, this principle is critical. Banks currently rely on the Code of Banking Practice, which only requires "sufficient notice" before termination. This vague standard fails to ensure procedural fairness, particularly for public figures, large-scale employers, or influential stakeholders whose account closures can have far-reaching consequences The Problem: Arbitrary Account Closures South Africa's banking regulatory framework, including the Code of Banking Practice, allows banks to terminate accounts with minimal oversight. Banks often cite vague reasons like "reputational risk," a term so broad it invites abuse. This practice has far-reaching consequences, particularly for public figures, employers, or influential stakeholders whose closures can disrupt businesses and livelihoods. For example, Independent Media recently faced account closure threats based on flimsy reputational risk claims, while Nedbank, implicated in corruption by the Zondo Commission, faced no similar scrutiny. Such inconsistencies highlight the need for reform. As I've previously written, public outcry over these closures reflects growing frustration with banks' disproportionate power. I have written extensively on the subject: Public outcry over bank account closures due to unfounded 'reputational risk' Reputational risk is a red herring and violates my rights - Dr Survé Dr Survé welcomes FSCA's taking banks to task over bank account closures on basis of reputational risk Legal Context: A Flawed The case of Bredenkamp v Standard Bank (2010) illustrates the dangers of the current framework. The Supreme Court of Appeal upheld Standard Bank's right to unilaterally terminate John Bredenkamp's accounts based on reputational risk, setting a precedent that allows banks to act with minimal accountability. While Bredenkamp's alleged illicit activities raised legitimate concerns, the ruling failed to establish a clear process for customers to contest closures. This precedent empowers banks to target parliamentarians, ministers, lawyers, businesspeople, and academics without due process, effectively allowing financial institutions to influence governance and economic activity. Such power is antithetical to a democratic society and risks undermining public trust in both the banking sector and the state. The Zondo Commission said there was a need for stronger protections against arbitrary closures, warning that banks should not wield unchecked power. Internationally, jurisdictions like the UK have taken steps to curb such practices, prohibiting banks from closing accounts based on customers' political views. The US Senate Banking Committee is also moving to eliminate reputational risk as a basis for banking decisions. South Africa must follow suit. The COFI Bill, designed to shift South Africa's financial regulatory framework toward a principles-based, outcome-driven model, is an opportunity to address these issues. However, in its current form, the Bill falls short. The Financial Sector Conduct Authority (FSCA) and National Treasury, through Commissioner Unathi Kamlana and Ismail Momoniat respectively, have acknowledged the need for legislative reform to curb arbitrary closures. The COFI Bill: An Opportunity for Reform The COFI Bill does not mandate a fair hearing for customers, nor does it impose stricter guidelines on banks beyond the existing Conduct Standard for Banks (2020). This standard vaguely requires a "fair process" for account terminations but explicitly avoids prescribing a hearing in cases involving suspected money laundering or terror financing, citing potential conflicts with other laws. While these exceptions are valid, they should not justify blanket exemptions that allow banks to bypass fairness in other cases. Customers, especially those whose closures impact public interest - such as employers or influential figures - must have the right to challenge terminations in court. Without this safeguard, banks can arbitrarily disrupt businesses, livelihoods, and even political processes by targeting accounts without transparent justification. Recommendations for Cabinet To protect the right to bank, Cabinet must demand the following amendments to the COFI Bill: Enshrine the audi alteram partem principle: Require banks to provide customers with a fair hearing before closing accounts, ensuring procedural fairness. Limit vague justifications: Prohibit banks from using "reputational risk" as a catch-all excuse for terminations, mandating specific, evidence-based reasons. Ensure judicial recourse: Grant customers, especially those whose closures impact public interest, the right to challenge terminations in court. Align with Zondo Commission recommendations: Incorporate the Commission's call for stronger protections to prevent banks from wielding unchecked power. It is important that Cabinet demand amendments that align the Bill with the Zondo Commission's recommendations and the principles of fairness. By failing to act, Cabinet risks allowing banks to continue wielding unchecked power, undermining South Africa's economic and democratic fabric. BUSINESS REPORT
IOL News
22-05-2025
- Business
- IOL News
FSCA to publish findings on racial profiling allegations against banks
FSCA is set to publish the outcomes of an investigation into allegations of racial profiling and discriminatory practices by banks The Financial Sector Conduct Authority (FSCA) is set to publish the outcomes of an investigation into allegations of racial profiling and discriminatory practices by banks 'shortly'. This follows media coverage of the apparent issue as well as findings by the Zondo Commission that banks were participating in this practice. The FSCA indicated, in response to written questions on the progress being made with the Conduct of Financial Institutions (COFI) Bill, that it had investigated the issue. The FSCA said it has 'identified several areas for improvement in banks' processes, procedures and decision-making arrangements'. It noted that its review took place between 2022 and 2024. Its areas of improvement were identified even though it found no 'credible evidence supporting the allegations of intentional profiling and unlawfully discriminatory practices'.
IOL News
15-05-2025
- Politics
- IOL News
Ntshavheni unveils major reforms in the State Security Agency
Minister of the Presidency Khumbudzo Ntshavheni says the State Security Agency is completing the process to establish a panel to undertake disciplinary inquiry related to the work of the Zondo Commission, the High Level Review Panel, and other investigations. Image: GCIS THE State Security Agency is setting up a panel to investigate and discipline those implicated in wrongdoing by the Zondo Commission and other probes, according to Minister Khumbudzo Ntshavheni. 'The agency is completing the process to establish a panel to undertake disciplinary inquiry related to the work of the Zondo Commission, the High Level Review Panel, and other investigations. The implementation of the outstanding recommendations will be prioritised and finalised in the current financial year,' Ntshavheni said. This comes as the SSA is redesigning its structure and redefining its mandate. Responding to questions in the National Council of Provinces, Ntshavheni said a skills audit was conducted across the agency to clarify skills and competency gaps. 'The skills audit outcome has supported the skills refresh through retraining, voluntary severance package or alternative deployment to ensure a steady pipeline of skilled intelligence officers. The supporting training programme is being developed while the most critical programme started being implemented,' she said. Ntshavheni also said the SSA organisational structure redesign and reorganisation process was underway to ensure the organisation operated optimally. 'The agency is redefining its mandate, improving personnel management and modernising intelligence capability.' She noted that the General Intelligence Laws Amendment Bill has been signed into law, and work has begun to prepare for the separation of the SSA into two departments – the Foreign Intelligence Service and the Domestic Intelligence Agency. This work includes redrafting the regulations to improve governance and coordination between the two departments, including the supporting entities, the Office Interception Centre. Ntshavheni assured the MPs that the changes at the SSA would not lead to the collapse of the state. 'Indeed, change resistance is a big issue, more especially when dealing with an organisation facing challenges like the SSA. We have appointed a change management officer who is working with staff and management to ensure that there is minimal resistance to change. 'We have done reconfiguration, including management swaps to make nobody feel there is a purge or anything like that,' she said, adding that the alternative deployment mechanism ensured that people did not feel they were discarded but were put into better use. 'Intelligence officers below management have been happy with the change required as necessitated by the Zondo Commission and the High Level Review Panel. We have great support from general intelligence, and, therefore, there will not be a collapse of the environment or the work of SSA through the process of change,' added Ntshavheni. Cape Times
