Zuma must release proof of Nkandla bond to the public

04 October 2016

I have today sent a formal request to President Jacob Zuma, calling on him to make public sufficient proof of his alleged home loan obtained from VBS Mutual Bank to pay back the R7.8 million for non-security upgrades to his private residence in Nkandla (see report).

While both Zuma and VBS Mutual Bank claim a home loan agreement or mortgage does exist between the two parties, there is no evidence of a such a bond registered in the deeds registry, raising the question as to whether a home loan indeed does exist.

Without evidence confirming that a loan in the name of Jacob Zuma in fact does exist, we cannot be satisfied that the finding made by the Constitutional Court – which states that “The President must personally pay the amount determined by the National Treasury…” – has been fully complied with. 

While we recognise the right to privacy, the merits of this case are unprecedented. This involves a President satisfying a Constitutional Court judgment ordering him to personally pay back millions of rands of public funds he effectively stole. 

Therefore, it is in the public interest to ascertain (a) whether a loan in fact exists; and if so, (b) what the conditions of the loan are; (c) whether Jacob Zuma has personally signed surety on the loan, and not any of his cronies; and (d) what effect, if any, does this have on the Court’s finding that the President must personally pay back the R7.8 million determined by National Treasury.

I have thus asked the President to make such information publically available.

I have previously written to President Zuma, on 13 September, requesting that he provide substantive proof that he has personally paid the R7.8 million owed, including evidence of the loan application; the agreement and its conditions, and any other relevant supporting documentation.

In a flippant responding letter, the Presidency simply stated that the President has advised the Constitutional Court that the money has been paid – which he deems sufficient to satisfy the court order. With the alleged loan now coming into question, the President must show the public that he personally paid back the money for Nkandla.

President Zuma has a long track record of getting his pals to pay his bills. A 2006 KPMG report found that Zuma has previously benefited from benefactors to the value of at least another R3 million. These benefactors include politically connected businessperson Jürgen Kögl; Zuma’s friend, Nelspruit businessperson Nora Fakude-Nkuna; Durban mogul Vivian Reddy; Zuma’s nephew Khulubuse Zuma, who provided cash that was used to partially repay Reddy; Zuma attorney Julie Mahomed; and French defence company Thomson-CSF.

We cannot risk this occurring again – this time in the execution of a Constitutional Court order. 

The Nkandla saga is far from over – in fact this is only just the beginning. The DA will continue to fight so that every cent of taxpayers’ money that was irregularly spent at Nkandla is accounted for, and paid back in full. 

Anything less is a slap in the face of the South African people.

Statement issued by DA leader, Mmusi Maimane, 4 October 2016