South Africa: Party to the Plunder? Tshwane Bus Project, Prasa Trains Deal Behind R10m ANC Donation

analysis

Does the ANC in effect feed off government contracts? The first of two new Scorpio investigations links a corrupt trains deal and a lucrative Tshwane transport project to a hefty donation the governing party received in 2014.

Funds from a huge City of Tshwane (CoT) transport project, coupled with proceeds from the Passenger Rail Agency of SA's (Prasa) botched locomotives tender, in effect sponsored a R10-million donation the ANC pocketed in 2014.

Bank statements and other financial records allowed us to trace funds from the two contracts to a shadowy ANC "fundraiser". This person ultimately paid the generous donation into the governing party's fundraising account.

Our two-part series raises pertinent questions regarding the ANC's fundraising machinery. Do the donations flagged in our reports constitute arm's-length contributions from generous businesspeople? Or do they underpin something much more sinister? Is the ANC in effect pocketing alleged kickbacks from government contracts?

Today's investigation examines financial dealings between Gauteng businessman Auswell Mashaba and Angolan national Maria Gomes, two key figures in Prasa's corrupt R3.5-billion locomotives contract.

Gomes, one of the alleged fundraisers linked to the Prasa deal, has long been identified as a recipient of monies from Mashaba. However, the ANC's gain from these dealings has never been illustrated in forensic detail.

Until today, that is.

Swifambo Rail Leasing and Swifambo Rail Holdings, the front companies Mashaba had set up specifically for the Prasa contract, banked R2.65-billion from the state-owned rail...

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