The National Union of Mineworkers (NUM) notes the article published by the Mail & Guardian newspaper this morning which suggests that Mrs Vavi, the wife of Cosatu General Secretary Zwelinzima Vavi has already helped secure business for a company called SA Quantum with the NUM ("direct or indirectly") (see report). The reporter goes on to mention the combined membership of the NUM and NUMSA of 500 000 which suggest that our total membership retirement funds are at the mercy of SA Quantum. The NUM took a resolution many years ago to consolidate all retirement funds into a single one and has no relation with SA Quantum.

For the record, the National Union of Mineworkers (NUM) is not involved in awarding tenders for either retirement funds or TEBA Bank as suggested. Retirement funds are run by boards of trustees of which 50% of them come from the employee side and the other 50% from employers. In terms of the law, once these trustees serve on these boards, they become independent in exercising their fiduciary responsibilities. The union is not involved in any of the decisions taken but employee representatives together with employers representatives make decisions on behalf of their constituencies. It is therefore inconceivable how the Cosatu General Secretary could have directly or indirectly influenced the processes.

The newspaper fails to explain how Mrs Vavi who is said to have joined SA Quantum in August could have at the time of joining have already influenced any union (which ofcourse do not run retirement funds) in the same month when a contract is said to have been finalized.

It is totally untrue and fallacious that SA Quantum does HIV training and distributes surplus pension directly for the National Union of Mineworkers. It is equally fallacious to argue that Vavi campaigned for Baleni to be at the helm of the NUM. The leadership of the NUM is determined through democratic processes and Vavi is neither a voting delegate nor is he allowed to meddle in the leadership affairs of individual affiliates.

We reiterate COSATU ‘s call for lifestyle audits and would not be discouraged by an unfounded media report that seek to portray working class leaders in bad light for narrow political gains. The NUM fully supports freedom of the media and would not support any move to gag it. We however call on the media to be scrupulous and avoid sensationalism where there should be none.

Statement issued by the National Union of Mineworkers, April 1 2010

Click here to sign up to receive our free daily headline email newsletter