Mkhwebane on Vrede dairy project: Ace Magashule and co ‘failed’ to hold state functions to account

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Mkhwebane on Vrede dairy project: Ace Magashule and co 'failed' to hold state functions to account
Mkhwebane on Vrede dairy project: Ace Magashule and co 'failed' to hold state functions to account

Africa-PressSouth-Africa. The office of Public Protector Busisiwe Mkhwebane has found that there was political involvement in the Vrede Dairy Project in the Free State, implicating former premier Ace Magashule and Gupta-linked Mosebenzi Zwane.

“The process followed by the then executive of Free State provincial government in approving the Vrede Dairy Project after it was presented for consideration by the erstwhile MEC of the Department of Agriculture and Rural Development, and thereafter through concluding the agreement with Estina, provides credence to the allegation of political involvement in the project,” she said on Monday.

Mkhwebane’s office was releasing 14 reports after the conclusion of several investigations. Five of the 14 reports found allegations were not substantiated, but the rest had adverse findings.

Regarding her investigation into Estina, she said there was outside interference from the evidence she had analysed.

“The evidence that I considered to arrive at my conclusion confirms the presence of outside involvement and undue influence by persons linked to the Gupta family on politicians in how the project was conceptualised and implemented.”

Mkhwebane found that top-tier leadership had failed to provide oversight.

She said that Magashule, former MECs Zwane, Mamiki Qabathe, and Elzabe Rockman, “… failed to execute their oversight responsibilities entrusted to them in terms of section 125,133, 136 and 195 of the Constitution.

“[This], even after they received the [auditor general’s] report which was notifying the [Free State government] of improprieties relating to the Vrede Dairy Project.”

She said Magashule, Zwane, Qabathe, and Rockman “failed” to hold state functions to account.

“In this regard [this] therefore amounts to maladministration and improper conduct… ”

Mkhwebane also found the allegation that the executive “… improperly appropriated funds to ensure the payment of Estina even after Rural Development and Agriculture Department’s cancellation of the contract, is substantiated.

“The continued approval by EXCO of the appropriation of funds to [the] Mohoma Mobung project in order to ensure payments towards Estina, long after the contract had been terminated, is improper.”

Remedial action, prosecution

Mkhwebane also found that Magashule was indeed involved in the project.

“Furthermore Mr Magashule’s submission under oath that he had no involvement in the project or implementation thereof is contradicted by the evidence adduced during the investigation, some of which come from the former members of EXCO whom I interviewed and even received affidavits from.”

Among remedial action recommendations, Mkhwebane said the Investigative Directorate should, “… consider this report in conjunction with their current investigation in relation to the possible criminal charges, including offences under the Prevention of Organised Crime Act, in respect of the Vrede Dairy Project.

“As I conclude, I look forward to the acceptance of the findings and the full implementation of remedial action in all of the above reports in the interest of good governance and the rule of law. Where clarity is needed, we are available to assist.”

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She also advised that within 30 working days of receipt of her report, the Speaker in Free State government had to table it, “… before the House, for deliberations and consideration of issues relating to my findings.

“Within 30 working days of receipt of this report [they must] ensure that measures are put in place for the members of the executive to be inducted and sufficiently trained on their accountability and oversight responsibilities as provided for in the relevant sections of the constitution cited in this report.”

She said the Free State government had to consider issuing appropriate sanctions against Qabathe in her role with Estina, “… and her omission to exercise oversight responsibility as the MEC for Agriculture and Rural Development”.

Mkhwebane said the project should also be revived in 60 working days of the report, “… and the beneficiaries as 51% shareholders, are full participants in the project along the same vision of the Mohoma Mobung as was envisaged by the Free State government executive when it launched the Vrede Dairy Project as its ‘flagship project'”.

Commenting
on consequences for Magashule and others, Public Protectors Office spokesperson
Oupa Segalwe said that because those who adverse findings were made against are
no longer in government “remedial action against them would be impractical”.

“The
ball is now in the court of the Hawks to look through the report and to the
extent that acts of impropriety in the report may point to criminal conduct,
presume a criminal investigation against the perpetrators.”

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