VBS scandal: Justice Minister Thembi Simelane dodges interview with News24, Daily Maverick | News24

• Thembi Simelane is refusing to be interviewed by News24 and Daily Maverick. 
• This is despite an apparent media blitz over the weekend and on Monday. 
• Simelane appeared before the Portfolio Committee on Justice to explain the VBS-linked loan she took in 2016.

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Justice Minister Thembi Simelane has refused to participate in an interview with Daily Maverick and News24 journalists who first broke the story of her 2016 VBS-linked loan, despite her recent media blitz. 

Simelane has, in the past three days, allowed herself to be questioned live on air by eNCA journalist Heidi Giokos and on Radio 702’s Clement Manyathela, and spent at least four hours in Parliament on Friday being questioned by MPs on the issue.

We revealed that she took a R575 600 alleged “loan” from Gundo Wealth Solutions in 2016, a company whose director, Ralliom Razwinane, was a VBS fixer. 

Days before  this “loan”, the Polokwane municipality, of which Simelane was mayor, made the first of five investments with VBS.

She used the money to purchase a coffee shop, Silvana’s Bistro, in Sandton. 

“But I am good, I am in the space, I am ready to account at any given minute, anywhere,” she said on 702, in response to a question on her welfare. 

READ | VBS saga: As calls for Simelane’s removal from Cabinet mount, ANC leaves it up to Ramaphosa

Simelane told Parliament that she had repaid R849 000 on the loan about four years later in three payments in October and November 2020, with a final payment in January 2021.

She offered no proof of these payments and claimed she received no undue benefit. 

In total, Polokwane municipality deposited R349 million with VBS between 2016 and 2017.

The full amount was withdrawn prior to the bank’s collapse in 2018, caused by extensive looting by the bank’s management, fixers as well as ANC and EFF politicians. 

Razwinane, however, is facing charges of corruption for payments he received from VBS in connection with the Polokwane deposits. He was paid commissions, effectively success fees, for securing the deposits.

Prosecutors labelled these payments corrupt. 

On 1 August 2024, News24 requested an on-the-record interview with Simelane for a profile on her – and later, on 7 August 2024, sent a detailed request for comment around VBS-linked payments and repeated the request for an on-the-record interview.

The query was responded to in writing. 

In her initial responses to questions, Simelane maintained that the “loan” agreement was above board. 

She also denied that there was any conflict of interest between her position as justice minister, with oversight of the National Prosecuting Authority, that is pursuing charges against several VBS corruption accused. 

“There is absolutely no relationship between the transaction for the purchase of Silvana’s Coffee Shop and any of the VBS Bank transactions,” the response to follow-up questions reads. 

“The Minister remains committed to the practice of ethical leadership, and to this extent, she welcomes any legitimate scrutiny into her affairs, including her private business affairs.”

On Monday, Daily Maverick and News24 again sent separate requests to Simelane’s spokesperson, Tsekiso Machike, requesting an interview that would be recorded and published in full on both platforms.

Machike said on Tuesday: 

Simelane, however, reacted with alacrity to the requests for interviews from eNCA and Radio 702, and spoke at length about the loan and her rationale for taking a loan from Razwinane’s company. 

The interviews came within two days of her appearance before Parliament.

She has yet, however, to make publicly available the loan agreement with Gundo or proof of her repayment of the loan. 

But she has sought to cast the loan as a necessity due to racial discrimination by banks. 

To Giokos at eNCA, Simelane said: “It is difficult for a person who looks like me to get a loan in the South African economy. It’s difficult to get a loan and start a business as an African child without any form of assistance. There are so many brilliant dreams and ideas that black young people have, but there’s no financing for them.”

Simelane invoked the real struggle of historically undermined people to receive banking loans as a defence for why she was caught being an ultimate beneficiary of VBS loot. 

However, publicly available deeds office records show Simelane was the beneficiary of at least two home loans offered by two different commercial banks between 2007 and 2010. 

By 2016, Simelane had also been the Polokwane mayor for two years, at a salary of between almost R920 000 in 2014 to R1 030 000 in 2016, according to data from Limpopo Treasury’s website. 

READ | VBS saga: Calls for Simelane to step aside after failing to allay MPs’ conflict of interest fears

Part of the questions initially sent by Daily Maverick and News24 was around this issue. 

At the time, it was argued that Simelane may have received a better deal from the banks she was already a client of.

Simelane did not answer our questions. 

Simelane is yet to account to President Cyril Ramaphosa who, in the wake of our reporting, requested a report from her on the matter.

She is also facing an investigation by the Public Protector following complaints filed by ActionSA and the DA. 

Daily Maverick and News24 reported last week that the Hawks had raided the Polokwane municipality and seized documents from Simelane’s former PA.

The police investigation has been ongoing since 2019.

It appears the case has grown fresh momentum since the revelation of the loan, and calls from political and non-governmental quarters for Simelane to step aside, or be fired.