Court orders Brian Shivambu to pay VBS Bank liquidators another R1.78m

30 August 2019 - 11:18 By TimesLIVE
VBS Mutual Bank in Thohoyandou, Limpopo. Brian Shivambu has paid R1m towards his debt and still owes the bank R1.78m plus interest.
VBS Mutual Bank in Thohoyandou, Limpopo. Brian Shivambu has paid R1m towards his debt and still owes the bank R1.78m plus interest.
Image: ANTONIO MUCHAVE/SOWETAN

EFF deputy president Floyd Shivambu's brother Brian has been ordered by the high court in Johannesburg to pay R1.78m to the liquidators of VBS Mutual Bank.

The order follows an application by liquidator Anoosh Rooplal in a bid to recover R2.7m that was part of a R4m loan granted to Brian Shivambu's company, Sgameka Projects, in 2017, the Mail and Guardian reported.

He had signed surety for a R4m business loan to start a wine bar in Vilakazi Street, Soweto, reported the Daily Maverick.

The Sunday Times reported in April that Rooplal, of the accounting and advisory firm SizweNtsalubaGobodo-Grant Thornton, was asking the high court to place Sgameka Projects under liquidation over its alleged breach of contract.

Rooplal told the Sunday Times two applications had been made - one against Brian Shivambu and the other against his company - to recoup some of the millions lost by VBS.

"The R2.7m we are suing Shivambu for is based on a surety he signed on behalf of his company," Rooplal said at the time.

Terry Motau SC, of Werksmans Attorneys, revealed late in 2018 details of how R1.9bn was "stolen" from VBS Mutual Bank.

The law firm was appointed by the Reserve Bank to investigate claims of large-scale looting from VBS. The report implicated 53 people, including Brian Shivambu, former president Jacob Zuma and the Passenger Rail Agency of SA.

Brian Shivambu has paid R1m towards the debt and, in terms of the court order, still owes R1.78m plus interest.

Shivambu did not immediately respond to a request for comment.


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