Phala Phala — 'Declaration to Sars was buyer's responsibility,' says Presidency

The Presidency has responded to the news that President Cyril Ramaphosa's stolen Phala Phala US dollars were not declared to the SA Revenue Service (Sars), saying the responsibility to do so lay with the cattle buyer.

“The obligation to declare the money to Sars was for the buyer to fulfil on arrival and not for the management of the farm during receipt of payment,” said Presidency spokesperson Vincent Magwenya.

This emerged after a Promotion of Access to Information Act (Paia) application submitted by the DA to Sars, which found there are no records of a declaration of the money Ramaphosa received. 

The money, which was later stolen at his farm, was reportedly hidden inside a couch on the farm and not declared to Sars upon entering South Africa, said DA leader John Steenhuisen.

Sars confirmed it has responded to the Paia request by Steenhuisen about the declaration of a certain traveller.

Last year Ramaphosa said he had received $580,000 from Sudanese national Hazim Mustafa,, a payment for cattle as part of a legitimate business transaction.

Mustafa said in a media interview he had complied with the requirement to declare the money to Sars officials at OR Tambo airport upon entering South Africa.

But the DA said this was not the case, as the Sars information officer informed Steenhuisen of the process followed and said Sars had no such declaration record.

Sars confirmed it could not find the records requested by the DA.

“The Sars information officer, after an extensive search for the record in various Sars passenger processing systems and engagements with the relevant business units within Sars which he believed may be in custody of and/or be in possession of and/or have knowledge of the records requested, was advised that the record could not be found and /or may not be in existence.”

The revenue service said it exercises its mandate without fear, favour or prejudice in all matters with which it deals and would continue to do so.

“Sars will continue to comply with the provisions of Paia. If the record is found after March 5 2023, Steenhuisen will be given access to the record unless access is refused on a ground for refusal in Paia.”

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