Godongwana’s offer to repay funds lauded
The South African Clothing and Textile Workers (Sactwu) on Friday welcomed former deputy economic development minister Enoch Godongwana’s offer to repay some of the money he had received in a scandal which involved R100m of clothing workers’ pension money going missing.
Mr Godongwana told a commission of inquiry he was prepared to pay back any money he and the inquiry investigators agreed he should not have pocketed. He said as a former unionist, he did not want to be involved in “a scheme that has led to the loss of money for union workers”. He stepped down as deputy minister earlier this month but insisted his resignation from his position had nothing to do with the probe. Cape asset manager Trilinear managed money on behalf of Sactwu. The asset manager’s subpoenaed bank records have revealed how money was transferred to private accounts and trusts, and to Canyon Springs, a company 50% owned by Mr Godongwana and his wife, Thandiwe. Sactwu general secretary Andre Kriel said on Friday that Mr Godongwana’s offer to repay some of the monies was the “right thing to do”. The saga has so far led to two arrests, those of former pensions consultant Richard Kawie — who, with Mohan Patel through family trusts owned the other 50% of shares in Canyon Springs — and Sam Buthelezi, who was the owner of Trilinear. Although Mr Buthelezi was granted R500000 bail late last year, he failed to pay.
Mr Kawie is out on bail and is expected to give his testimony today. He is alleged to have facilitated the unsecured loans to Canyon Springs. Mr Buthelezi last week refused to testify despite a Cape High Court order forcing him to do so. Mr Godongwana, during his testimony on Friday, said his main interest was the wellbeing of workers. “I entered that business in good faith … I did not know it (was) a scheme. I would never have wanted to (take) their pensions.” He said his lawyers would discuss with Sactwu’s legal representatives what he could pay back “as a matter of principle”. “What is reasonable and fair to pay back, I will pay back,” he said. Democratic Alliance economic development spokesman Kobus Marais said yesterday it was a “good gesture” for Mr Godongwana to offer to pay back some of the money but it was “too little too late”. “His excuse is that he was not aware (of the scheme), but it is obvious he knew what was happening … he is trying to clear his name ,” Mr Marais said.
The inquiry, which concludes today, has not been short on controversy. Last week Mr Marais said he would push for Economic Development Minister Ebrahim Patel to account to Parliament for his involvement in the Canyon Springs matter. Mr Patel was the general secretary of Sactwu at the time the transactions were made, but has since been told he does not need to testify before the commission. Mr Marais said until Mr Patel spoke on the matter, suspicion would remain about his credibility and the real reasons for Mr Godongwana’s resignation. However, Mr Kriel said last week that forensic investigations had shown there was no reason Mr Patel should be called to testify. “We appeal to political parties of all hues to refrain from now wanting to politicise the work of the commission. The process is a legal one, not a political football,” Mr Kriel said.
Source: BusinessDay
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