Business leaders speak up over Gordhan's charges

25 October 2016 - 08:53 By STELLA MAPENZAUSWA
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A protester from the Active Citizens Movement braves the rain at Westville in Durban to send his message loud and clear for all to see yesterday
A protester from the Active Citizens Movement braves the rain at Westville in Durban to send his message loud and clear for all to see yesterday
Image: RAJESH JANTILAL

At least 80 heads of top local firms - including Anglo American, Barclays Africa Group and Naspers - want fraud charges against Finance Minister Pravin Gordhan dropped.

The executives of mostly listed firms - ranging from mining, media, retail and banking - said in a newspaper advert on Sunday that political wrangling was damaging an already slow economy at a time South Africa faced a sovereign credit downgrade.

The calls by corporate SA echo those in the political realm, after a senior ANC official called for the party's leadership to resign over the alleged political persecution of Gordhan.

The rifts are the latest sign of rising political tension as the ANC grapples with waning support since losing control of three key cities in the August municipal elections.

The business leaders said: "We stand as one for the rule of law and against the decision to prosecute the minister of finance on charges that are, according to the preponderance of expert legal opinion, without factual or legal foundation."

The charges say Gordhan, while running SARS, fraudulently approved early retirement for a deputy commissioner and rehired him as a consultant, costing the tax agency R1.1-million.

Gordhan, who is due in court on November 2, has dismissed the charges as politically motivated.

President Jacob Zuma has said he is not in conflict with Gordhan and the country's top prosecutor has denied any political motivation. Gordhan said last week that his relations with Zuma were very good.

On Sunday, ANC chief whip Jackson Mthembu urged Zuma to lead senior party officials in quitting their positions, saying fraud charges against Gordhan reflected an abuse of power to settle internal political scores.

ANC spokesman Zizi Kodwa ruled out any mass resignation, saying that "it gives an impression that the organisation is divided".

Political analysts say the ANC's ranks are already divided.

Several senior leaders, including Deputy President Cyril Ramaphosa, have publicly backed Gordhan.

Political analyst Eusebius McKaiser wrote in a Sunday paper that Mthembu spoke for a critical mass of political leaders "who are finally, if rather belatedly, getting the point of the electoral backlash".

  • Zuma is set to answer questions in parliament today and is likely to face a fierce challenge from the opposition benches.

The DA has already said it will call for a motion of no confidence in Zuma.

- Reuters and Staff reporter

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