Khulubuse Zuma ordered to pay R10m
Three days before he is expected to testify in the liquidation inquiry of his beleaguered Aurora Empowerment Systems, Khulubuse Zuma has been ordered to pay more than R10-million to one of the company's creditors.
Zuma, a nephew of President Jacob Zuma and a director of Aurora - along with Zondwa Mandela, grandson of former president Nelson Mandela - signed a surety agreement for Aurora and must therefore pay the money owed to the Protea Coin Group from his own pocket.
The high court order was made in Pretoria on Wednesday in terms of an out-of-court settlement between the companies.
Protea Coin, which provided security services to Aurora at its Grootvlei mine, in Springs, applied for a liquidation order against the embattled miner on May 26 2010 after Aurora failed to pay it.
The settlement was made an order of court on July 28 2010.
Aurora undertook to pay Protea Coin R250000 on July 28 2010 and R1-million on August 6 2010. But it failed to do so.
Aurora also undertook to pay the balance of R11189596 with interest by September 3 2010. The parties agreed that R12439596 was owed to Protea Coin.
On October 12 2010, Zuma signed surety for Aurora, promising that the company would pay its debts. The surety was to remain in force until Protea Coin was paid.
Desperate for payment, Protea Coin turned to the high court on Wednesday to force Zuma to pay. The court ruled in its favour.
Yesterday, Zuma's attorney, Ahmed Amod, said he was unaware of the order.
"I haven't spoken to my client for some time," he said.
Zuma was not available for comment yesterday.
Aurora is at present involved in a pre-liquidation inquiry in connection with its failure to pay creditors.
Johan Engelbrecht, one of the liquidators, said Pamodzi Gold was expected to claim up to R1.7-billion in damages from Aurora.
The money owed by Aurora is believed to be in the region of R100- million.
In December, Gideon du Plessis, deputy general secretary of trade union Solidarity, said Aurora made about R127-million from the sale of Grootvlei and R48-million from selling equipment and scrap.
Aurora has not paid many of its workers for more than two years.
In December, the Sunday Times reported that Zuma had bought his fiancée, Fikisiwe Dlamini, a 2009 silver Maserati.
The cars sell for between R1-million and R1.6-million.
It was presented to her at Durban's five-star Oyster Box hotel, to which Zuma is a regular visitor.
Both Zuma and Mandela have been accused of delaying the company's pre-liquidation inquiry.
Zuma was expected to give testimony about his role in the alleged plundering of the mines on December 9 but he asked for a postponement because, he said, he had appointed a new legal team.
In September, Zuma said he wanted to testify in Zulu and a translator had to be found.
In November, he did not appear, claiming that he was ill and was suffering from complications related to his obesity.
Mandela failed to appear "without a reasonable excuse" on December 8. This led to the liquidators of Pamodzi Gold preferring criminal charges against him.
Engelbrecht said they would pursue Mandela's criminal case on Monday.
"We are definitely proceeding with criminal charges against him."
Engelbrecht said Mandela would be required to testify in a magistrate's court, which would have the power to order his arrest if he failed to appear.
Du Plessis said he appreciated the effort made by Protea Coin and encouraged other creditors to do the same.
"Aurora directors always thought they were untouchable. Should Zuma fail to pay the money, Protea Coin must pursue the matter and press more charges.
"If he can afford to buy his fiancee an expensive car, he can pay his debts," said Du Plessis.
Engelbrecht said the Protea Coin case would not affect the liquidation process.
"This was why Protea Coin withdrew their security services on the East Rand and we insisted that Aurora hire Fidelity Security to guard the mine." - Additional reporting by Mhlaba Memela



Join the discussion & Debate
Khulubuse Zuma ordered to pay R10m
For Commenters Consideration | Please stick to the subject matterCOMMENTS [43]
Timbuktoo
Posted 134 days ago1tsotsi
GregQuinn
MisterWendal
Posted 134 days agoTimbuktoo
Timbuktoo
Timbuktoo
Posted 134 days agoThey should give him a Wheel-Barrow to cart his GUT around....
1tsotsi
King_Biko
Posted 134 days agoooooooooo
BobbyBob
Such persons must be held accountable, and any sanction must serve as a disincentive to others.
LouLou
Scribbles
Please don't lie, it's unbecoming. Khulubuse is not a "mere shareholder", he's a director along with Hulley and Mandela. This makes them directly responsible for the company and all it does. It also makes them accountable to other shareholders (if any) who may have placed their faith in Aurora.
On a slightly different topic. I've noticed you often defending the ANC to a fault King_Biko, usually through blatant lies and misinformation and I'm tempted to ask what you're trying to achieve on TheTimes. Are you a paid ANC deployee (here to spout the party line), someone seeking to constantly play devil's advocate, or are you simply the type of person who picks a party and decides then and there that they can do no wrong?
RogueTrooper
Thoth
shelatt
You are such a brainwashed sheeple of the Absolute National Corruption propaganda machine....it's your vote that keeps the idiots running this country. This is one of the despairing stories that are out there in the print world that depress people. EEEISHHHH!!!
DerekGerber
1tsotsi
Posted 134 days agomotho.batho
Timbuktoo
In this case, "YO NEPHEW IS SO FAT.............."
Mercenary
Posted 134 days agoTime, how about you let readers make up their own mind and publish both sides of the story, instead of spewing western nonsense which has been found guilty of publishing false information by many even its former presidents
RogueTrooper
Mercenary
Smeegen
Funny how they all report the same story, regardless which country hosts the site... must be an international conspiracy against mickey mouse third-world rat holes which protect recognised terrorist organisations.
You are the missing link... Goodbye!
Mercenary
By the way the US has acknowledged fabricating over 943 lies which led to the 2003 invasion of Iraq, meaning people like you were dooped my western media and The Times report after report...but yeah im the weakest you make as much sense Obama being re-elected for a 2nd term.
Nako
Posted 134 days agoso it helps to think..ohhhhhhky!
Mike123
Posted 134 days agosamsam
Posted 134 days agoThoth
Posted 134 days agoOur courts should not be turned into a joke by letting these con artists to evade justice, I don't care what surname they carry around to swindle money from people, justice needs to be done.
rahima
Posted 134 days agoswona1
swona1
Posted 134 days agogiving idiots business oportunities for their connections does not help, here is prove people! he cant handle to run a small mine with less 2000 people, I wish I was a zuma, I ran a department and now an enterprice!
Nako
Posted 134 days agolol swona this is business and its no longer run like it used too...these days a business gets hi-jacked
Rudy
Posted 134 days agoOrder your bumper sticker "It sucks to be poor". For ANC big wigs, kin, ilk and other cronies only. Also available in small gold print to suit Ferrari and Porsche.
swona1
Posted 134 days agoMercenary
GregQuinn
Also the commenting system sucks. You need to click and have the page refreshed 3 times just to get back to where you were in the comments originally. I mailed them about this but no response.
AnotherTaxPayer
Posted 134 days agoFeelgood
Posted 133 days agoGregQuinn
Posted 132 days agoMy only guess is they had better lawyers and more legal money to follow this up with.
Either way these workers need to be paid, I feel for them.
Fabio
Posted 132 days agoFeelgood
Posted 131 days ago