Morning Star.png

 

 

Gupta companies in talks to reopen bank accounts

 

 

James Tweedie, The Morning Star, London, 13 April 2016

 

Wealthy Gupta family members sought meetings yesterday with South African
banks that have boycotted their business group, jeopardising thousands of
jobs.

 

Absa, FNB, Nedbank and Sasfin, together with auditing transnational
corporation KPMG, have all cut off business relations with Gupta companies
Oakbay, Sahara Holdings and TNA in an unprecedented boycott over their
alleged relationship with the ruling African National Congress (ANC).

 

The banking boycott coincided with opposition parties' failed attempt to
impeach President Jacob Zuma.

 

Oakbay Investments CEO Nazeem Howa said that he hoped to reopen accounts
with at least one bank following the meetings.

 

"We will start setting up meetings with banks on Tuesday to try to restore
those relations because the lives of 7,500 employees are at stake," he said.

 

The Indian-South African family came under fire earlier this year from
sections of the tripartite national liberation alliance of the ANC, Congress
of South African Trade Unions (COSATU) and South African Communist Party
(SACP).

 

The National Union of Mineworkers and the SACP raised concerns at an ANC
assembly over rumours that the government was intervening on behalf of the
Guptas to help them buy up flagging mining companies.

 

COSATU and ANC statements

 

COSATU demanded answers from the banks on Monday after the Gupta group of
companies met the federation to discuss looming redundancies.

 

While expressing little sympathy for the big-business group, COSATU
spokesman Sizwe Pamla reminded bankers of the legal principle of innocence
until proven guilty.

 

The SACP was also scathing towards the banks, with spokesman Alex Mashilo
saying: "Acting together with an imperialist monopoly KPMG, the private
banking monopoly has shown its dangerous and collusive market conduct
against one of their private mould."

 

The Guptas faced allegations of "state capture" in March when businessman
Johann Rupert, heir to apartheid-era billionaire Anton Rupert, and others
claimed that the family was dictating cabinet appointments to the
government.

 

Mr Rupert himself faces allegations of blackmailing the government over
December's appointment of David van Rooyen as finance minister. A subsequent
media frenzy forced Mr Zuma to reverse his decision.

 

 

From:
<http://www.morningstaronline.co.uk/a-f1da-South-Africa-Guptas-try-to-end-ba
nk-boycott#.Vw4CGvl9600>
http://www.morningstaronline.co.uk/a-f1da-South-Africa-Guptas-try-to-end-ban
k-boycott#.Vw4CGvl9600

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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