EFF in Turmoil: Shivambu Resigns Amidst Fallout with Malema and VBS Scandal Allegations

The Economic Freedom Fighters (EFF), once a rapidly growing political force in South Africa, are facing a moment of crisis as the deputy president of the party, Floyd Shivambu, tendered his resignation on Wednesday evening. This dramatic turn of events follows a reported breakdown in relations with the party's fiery and outspoken leader, Julius Malema.

Inside sources from the EFF indicate that the schism between Shivambu and Malema was exacerbated by Shivambu’s clandestine interactions with wealthy businesspeople. Allegedly, he accepted substantial financial backing to launch a bid against Malema at the EFF's elective congress scheduled for December. The rupture in their relationship became irreparable when Malema got wind of Shivambu's supposed machinations.

This political drama is compounded by the resignation of Mzwanele Manyi, an EFF MP since June last year and former African Transformation Movement (ATM) member. Manyi also serves as the chairman of the Zuma Foundation and is perceived by some as a catalyst to the unfolding instability within the EFF.

Shivambu's ambitions and his association with the party began at its inception in 2013, through multiple election cycles. However, the EFF's recent electoral performance has been underwhelming. Targeting strides in key provinces such as Gauteng and KwaZulu-Natal, the party instead regressed to fourth place nationally, falling behind the upsurge of the Jacob Zuma-led Umkhonto weSizwe Party.

Further casting a shadow over Shivambu's resignation are allegations connecting him, alongside Malema, to the infamous VBS Mutual Bank scandal — a controversy that echoed through South Africa with claims of profound corruption and malfeasance. Tshifhiwa Matodzi, a notable figure embroiled in the scandal, claimed in a leaked statement the involvement of both Shivambu and Malema in a fraudulent scheme that siphoned money from VBS Bank and its clients. The accusations imply that the EFF leaders utilized these allegedly illicit funds to support lavish lifestyles, acquire properties, and in doing so, contributed to the financial ruin of many individuals, including pensioners who lost their savings.

The potential legal repercussions for Shivambu, including the possibility of charges related to the VBS scandal, add a legal dimension to the political fallout and underscore the gravity of the crisis facing the EFF. As these troubling narratives converge, the EFF is left grappling with internal strife and public scrutiny that threaten to derail the party's agenda and further diminish its political capital.