Outa targets Gupta billions

The Organisation Opposing Tax Abuse is fighting to have an account linked to the Guptas' Tegeta Resources in which billions of rands intended for mine rehabilitation are held frozen.

An urgent application will be made in the Pretoria High Court, where on Thursday the Guptas lost their bid to stop the Bank of Baroda from closing their accounts.

The bank will now close all the family's accounts, including that in which the funds for the rehabilitation of its Optimum and Kroonfontein mines are held.

The account holds an estimated R1.75-billion required for the rehabilitation of areas around the mines. 

Outa has been battling to get Mineral Resources Minister Mosebenzi Zwane to provide assurances that the funds are intact.

"We want the rehabilitation account frozen because we are concerned that this money could disappear," said Outa chief operating officer Ben Theron.

"The account must be frozen until assurances are given by Zwane that the ministry will appoint decent trustees."

He said indications were that Ronica Ragavan, CEO of Gupta-owned Oakbay, ran the fund. Theron said this was "unacceptable".

Bloomberg news agency reported that the Bank of Baroda had total assets of R2.76-billion in South Africa by the end of June, as against R4.36-billion a year earlier when the Guptas moved their funds to the Indian-based lender.