EFF wants justice minister Simelane to resign over VBS Bank allegations

The EFF has called for the immediate resignation of justice and constitutional development minister Thembi Simelane over allegations she received a loan of more than R500,000 from a company that allegedly received “unlawful” funds from VBS Mutual Bank. 

"The EFF demands Simelane step down immediately as justice minister. Her resignation is the only appropriate course of action to preserve the integrity of our justice system, and to allow for an independent and impartial investigation into her actions. Furthermore, we call on law enforcement agencies to act swiftly in holding her accountable," the party said.

The loan was allegedly obtained from Gundo Wealth Solutions when she was mayor of Polokwane.

Convicted former VBS boss Tshifhiwa Matodzi alleged in his plea-bargain affidavit that the company, owned by Ralliom Razwinane, had helped secure deposits for VBS from municipalities in return for an average of 2% of the capital investment.

The EFF believes Simelane must answer questions about the investments made by the Polokwane municipality during her tenure.

The party has also raised concerns about Simelane's role as someone who has significant influence over the National Prosecuting Authority (NPA), which is investigating those involved in the collapse of the bank.

"This presents an untenable conflict of interest. How can the person implicated in a scandal be expected to ensure a fair and thorough investigation into that same scandal? Simelane’s continued presence in this role threatens the integrity of the investigations and undermines the pursuit of justice."

Other political parties, including the DA, want Simelane to appear before the justice parliamentary portfolio to answer to the allegations.

“At the very least, the minister needs to be brought before parliament to account for what measures she intends to put in place to manage the glaring conflict of interest between herself as minister of justice and constitutional development and her role involving the NPA, which must surely be investigating the minister and this transaction,” said DA MP advocate Glynnis Breytenbach.

ActionSA parliament caucus leader Athol Trollip wants the public protector to investigate the matter.

“We simply cannot afford to overlook this issue, given the implications for our justice system. Everyone involved in the looting of VBS Mutual Bank needs to be prosecuted, regardless of their political affiliation,” he said. 

“ActionSA believes this is a clear case of an obvious conflict of interest, with the integrity of the justice system under her stewardship at stake. It is simply untenable that the person entrusted with ensuring justice is upheld in SA may herself be compromised, which in turn casts a shadow over the NPA’s ability to carry out its mandate impartially and without favour.”

Should the public protector conclude there is sufficient evidence of wrongdoing, ActionSA is determined to take the matter to President Cyril Ramaphosa and request Simelane's immediate removal from cabinet, he said. 

VBS Mutual Bank collapsed in 2018, leaving thousands of depositors with significant financial loss. The bank's collapse was attributed to widespread corruption.

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