JOHANNESBURG – The South African Communist Party (SACP) has once again been linked to the VBS Mutual Bank scandal, this time allegedly in exchange to remain silent on the bank’s relationship with the Gupta family.
The City Press is reporting that a branch manager at VBS was ordered to make a R3 million payment to fund the SACP’s national congress, but the SACP has denied this.
The South African Reserve Bank has approached the Pretoria High Court for the final liquidation of the bank, after over 50 companies and individuals stole R1.8 billion from the bank.
A senior executive at the bank has spoken out about how a SACP official allegedly demanded R3 million from the bank’s chairman, Tshifhiwa Matodzi, to stop making noise about its relationship with the Gupta family.
The City Press reports that in July 2017, just days before the start of the SACP Congress, Matodzi ordered the branch manager to make the payment, as he was getting pressure from party officials.
The executive has also revealed how VBS parent company, Vele Investments, allegedly conspired to use a subsidiary company account to conceal the link to the SACP payment.
Matodzi is one of two accountants who failed to attend disciplinary proceedings against them by the South African Institute of Chartered Accountants (Saica) for their involvement in looting the bank