South Africa: Party to the Plunder? Transparency Is Needed On ANC's Tender-Linked Fundraising Machinery

analysis

Scorpio's latest investigations raise fresh questions over the ANC's financial gains from government contracts.

Each year, the state in all its varied parts pays hundreds of billions of rands in taxpayers' money to thousands upon thousands of private sector contractors.

This is a colossal pot of gold. Evidence that the governing ANC has been helping itself to little nuggets of the bullion has long tainted the party's fundraising machinery.

Think Chancellor House. The ANC investment vehicle's ties to government contracts were first revealed in 2006. This was a warning call about the dark arts that seemed to underpin the party's finances. In subsequent years, the links between the ANC's fortunes and questionable government contracts were further exposed. The Zondo Commission too heard testimony that proceeds from dodgy tenders had found their way to the ANC's coffers.

Today, Scorpio reveals in forensic detail how the party banked a R10-million donation on the back of dubious tenders. The very mechanism that moved the funds into the party's bank account speaks of possible criminal intent. The party couldn't risk receiving the funds directly from the businessman who'd so richly benefited from the tenders. The donation was instead channelled through a mysterious fundraiser -- a likely attempt to conceal the true source of the funds.

A second...

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