ANC Limpopo provincial treasurer Danny Msiza has succeeded in having parts of the now-defunct VBS Mutual Bank heist report implicating him set aside by the North Gauteng High Court on procedural grounds.
Judge Vivian Tlhapi on Tuesday reviewed and set aside the report drafted by Advocate Terry Motau SC following investigations into the collapse of the bank in 2018.
Parts of Motau’s report, in which he detailed how VBS lost R2bn, has been declared unlawful and unconstitutional by Judge Tlhapi as it violated his constitutional right guaranteeing him access to courts and have disputes resolved by the application of the law in a fair public hearing before a court or, where appropriate, another independent and impartial tribunal or forum.
Judge Tlhapi found that Motau failed to be procedurally fair to Msiza prior to the release of the report, the audi alteram partem (hear the other side) principle.
In terms of the ruling, the five paragraphs in the report implicating Msiza have been reviewed and set aside.
Msiza was implicated by Phophi Mukhodobwane, the former VBS treasury general manager, who described him as the kingpin in the so-called “commission agent” scheme at the financial institution.
Motau found that Mukhodobwane was extremely reluctant to reveal that name and he expressed fear about his personal safety as a result of making this disclosure.
Former VBS sales general manager Ntendeni Nemabubuni also told Motau that he met Msiza and Kabelo Matsepe, a politically connected fixer and that the ANC provincial treasurer “did most of the talking”.
According to the report, it is clear that Msiza intervened on numerous occasions when his political influence was required and that Matsepe in fact worked for him.
Andile Ramavhunga, former VBS chief executive, also informed Motau that Matsepe had been introduced to the bank by Msiza.
Judge Tlhapi declined to consider Msiza’s bid to get a public written apology from Motau, finding that it cannot be considered in review proceedings.