Picture: for illustration purposes
In the wake of controversies surrounding the defunct VBS Mutual Bank, Economic Freedom Fighters (EFF) member of Parliament Floyd Shivambu was found to be in breach of the ethical conduct for failing to disclose receipt of three payments from the bank. The consequence of this breach is a docking of nine days of his salary.
This decision brings a degree of resolution to the Democratic Alliance’s (DA) 2019 complaint against Shivambu and EFF leader Julius Malema, accusing them of possibly violating the code of ethical conduct by not disclosing their interests. The parliamentary ethics committee, directed by its duty of integrity, took up the case and investigated the matter.
The controversy started four years ago when the DA launched its complaint based on media reports of alleged undisclosed receivals from companies involved in fraudulent activities against VBS bank, by Shivambu and Malema.
During its investigation, the committee summoned the liquidator involved in the VBS scandal to provide a report about money movement. Although the investigation failed to uncover evidence of money transfers to Malema, it shed light on Shivambu's affair.
The financial Intelligence centre indicated that it would be illicit to provide the committee with information about Malema receiving money via other accounts. Thus, with the investigation into Malema continuing, the committee has been unable to make a conclusion.
However, for Shivambu, the committee found concrete evidence of wrongdoing as he had failed to disclose three payments he received in 2017 totalling R180 000 from a company owned by his brother that served as a funnel for VBS money. Though the committee has been unable to trace any more money he might have received through other bank accounts, it has deemed the current evidence enough to substantiate its decision.