DA/NASPERS'S SUSPICIOUS DEAL

11 March 2012

Media reports that the Democratic Alliance-run City of Cape Town is intending to buy a piece of parking space from media group Naspers, which independent property analysts have valued at no more than R50 million,for a whooping R106 million,  is gravely suspicious and calls for urgent investigation (see report).

According to the reports, the City is set to buy a piece of parking space from Naspers for the expansion of the Cape Town International Convention Centre, in which the City holds shares. It is unacceptable and unfair to expect the public to pay more than double the value of the property. The value looks extremely inflated.

This transaction, dubbed ‘an extremely sweet deal for Naspers', exposes an interesting collusion between the DA and the media group to short change the taxpaying public. Serious questions ought to be asked regarding: who is benefitting from this? Whose palms are being greased? Whose interests are being served in this dubious transaction?

The role of Naspers in this sinister deal is curious and should raise eyebrows. The public should be extremely concerned that a company that, through its media publications prides itself on being the public watchdog and acting in the interest of the public, is expecting the public to fork out R56 million more on a piece of parking space.

The Office of the ANC Chief Whip will during the course of the week write to the Public Protector asking her to investigate this deal.

Statement issued by The Office of the ANC Chief Whip, ANC Parliamentary Caucus, March 11 2012

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