RON DERBY: For SA's sake, empowerment must shake off its crony history
When blue-chip gold miner Gold Fields had to resort to doing an empowerment deal set up seven years ago by the now notorious duo of Gayton McKenzie and Kenny Kunene, close associates of President Jacob Zuma, it was in hindsight the template of how business would henceforth be done in South Africa. Just a year into his presidency, it was a sure sign business would be conducted differently. In what must count as one of the most cynical of empowerment transactions, of which there have been many, it appeared that the mining house had roped in ANC luminaries such as national chairwoman Baleka Mbete in a consortium with other well-connected investors. The deal, which had all the hallmarks of being rushed, seemed to be fashioned with the simple aim of ensuring that the mining licence for the jewel in South African gold mining, South Deep, was safeguarded.It was a deal struck in 2010 with black investors who offered only proximity to power as their unique selling point. Just how it was stru...
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