POLITICS

AG must audit Masibambisane contracts - Mpowele Swathe

DA MP says ECape govt has paid over R240m to initiative since 2009

AG must audit all Masibambisane government contracts 

The DA will today write to the Auditor-General, Terrence Nombembe requesting that he audit all government contracts connected to the Jacob Zuma-chaired NGO, Masibambisane Rural Development Initiative.

This follows reports today that the Eastern Cape government has paid over R240 million to the NGO since 2009.

The fact that President Jacob Zuma, who chairs the organisation, has been intricately involved in the process of lobbying government departments to channel funds through this organisation, represents a major conflict of interest. 

The president cannot sit in a meeting, both in his capacity as the Head of State and the Chairperson of Masibambisane in an effort to get Ministers to commit funds to a private organisation that he chairs.

Furthermore, Masibambisane seems to have an unfair advantage over similar organisations as it has been prioritised on contracts awarded by national and provincial departments across the country. 

In the past, the following departments have awarded multi-million rand contacts to this organisation:

  • In April 2012, the Department of Agriculture, Forestry and Fisheries, handed out agricultural aides to the Eastern Cape rural community. The programme was ‘coordinated' by the very same Masibambisane organisation, while President Zuma was acting in both his capacity as the Head of State and the chairman of this organisation.
  • In August 2012, the department of Agriculture was said to have ear-marked R800 million that was budgeted for the Zero Hunger Campaign, towards the building of ‘Zumaville' town project, to be built near President Jacob Zuma's Nkandla residence.
  • According to reports on Sunday, a food security programme, that will be approved by cabinet later this month, will to be ‘coordinated' by Masibambisane. The R895 million project will be funded by various national and provincial departments.
  • Reports today reveal that the Eastern Cape department of agriculture has contracted with Masibambisane on various projects to the tune of R250million.

It is essential that the AG audits all government financial transactions that have flowed through this organisation.

The DA supports rural development initiatives aimed at empowering communities and creating jobs, funding intended for this purpose cannot be used to enrich only the politically connected. 

Statement issued by Mpowele Swathe MP, DA Shadow Minster of Rural Development and Land Reform, July 17 2013

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