No Fear No Favour No Government Corruption and fraud......
Johannesburg SOUTH AFRICA 1 SEPTEMBER 2014 NEWS 24 REPORTERS
Much has been said, fought and argued over the funding of the R250m Nkandla
Compound, and rightly so. But what's received little attention is the
funding of the freeway set to run through Nkandla following the development
of the president's luxury compound. This freeway is set to cost R1.5bn, so
this is no small chunk of change, so my broadband' s amateur, volunteer,
investigative journalists gave it a crack and uncovered what appears to be a
case of corruption on an arms deal scale.
Here's what we uncovered:
Claim #1
Public Works claim that the freeway is being constructed by a private
company called Korong Capital Partners who will, following the road
development's end, donate the entire road to the government at no cost to
them. Now that sounds incredible.
So incredible that it sounds almost too good to be true.
That's because it is.
Debunking Korong Capital Partners appears to have been a dormant shell
company since 1999, and who's only director is Moeti Mpuru, who claims to
have secured the funding of R1.5bn for this project. The problem with this
scenario is that Korong Capital Partners have no history of this sort of
work. In fact, they have no history of any work whatsoever.
So they certainly couldn't have secured revenue of around R37bn to place
them in a position to fund this internally. This would have made them the
most successful company in history (to put this into perspective, this would
equate to more than double Vodacom's 2011/2012 revenue, and Korong would
have achieved this in about a year of operations). They couldn't have
raised this finance in the capital markets either because no financial
institution would originate and secure a bond for a company with zero
balance sheet strength and zero cash flow. So the only other option is that
there was an angel investor involved, and this is the next claim:
Claim #2
An angel investor is funding the entire project at no cost to government
whatsoever.
Debunking Who was this angel investor? Well the claim is that the cash
originated from the USA, through an attorney who is set to make $100,000.00
for simply arranging the transfer of the cash. Apparently Mpuru, after
being turned down for a R1m loan to fund a small portion of the project,
managed in just a few months to secure R1.5bn in funding for a project that
will see absolutely no return on investment. It is a straight R1.5bn loss
to whoever funds this project.
And why is the donor not being made public? What has he got to hide?
And who in their right mind would philanthropically fund a minor freeway in
SA through the president's home town? It makes no financial sense, nor
logical sense.
So on to brass facts: Korong Capital Partners has its registered offices at
the following address:
UNIT 2
CHIANTI ESTATE
39 LEEUWKOP ROAD
SUNNINGHILL
2196
So this company that apparently has R1.5bn spare to flush down the toilet,
or will be managing R1.5bn worth of angel investor cash, is situated at unit
2, Chianti Estate in Sunninghill, a residential complex that does not have
business rights for its units. This is a tiny, 60sqm residential complex -
not an office park, or the premises you'd expect for a company with R1.5bn
to spend and manage. Yet Public Works feel happy for this company to
complete this project on their behalf. Ever wondered why?
So who owns Unit #2 at Chianti Estates? None other than MBANJWA NQOBILE
ZINHLE (Zinhle Mbanjwa). Who is Zinhle Mbanjwa? He is the manager of the
Housing Development Agency of South Africa. This is the governmental
department that oversees investments in housing related infrastructure on
behalf of the Human Settlements Department.
They also manage inter-departmental projects. Why is Korong Capital
Partners' premises at the HDA manager's personal premises? The answer to
that is simple - he owned the shelf CC from the outset. This means that the
CC used to move the money around to pay for the Zuma freeway is in fact
located at the HDA manager's house and directed by the man who supposedly
secured the funding. This makes no sense in terms of the government's
official statements that this is a private entity funding the project
through angel investment. What this actually means is that the HDA more
than likely used the CC owned by their manager to move Human Settlements
money to Korong Capital Partners to fund the Zuma Freeway. If this was an
angel investment, the investor would ensure that he had board representation
to ensure he had oversight over the use of his funds.
What does this mean? Well it means that Zuma's compound is only the tip of
a very large iceberg. The real corruption is worth in the region of about
R1.5bn, as it indicates that the HDA facilitated government cash (which is
what they do) to be moved to Korong Capital Partners to fund the Zuma
Freeway, and the government knowingly lied to the public about how the
project was being funded. It indicates that behind the scenes, HDA, Public
Works and Human Settlements arranged a secretive transaction to spoof
legitimate business operations, when in fact they were simply trying to hide
their money-trail of corruption, knowing that using public money would cause
outrage among South African citizens.
None of this makes any sense in terms of the official story by the
government. It makes perfect sense when you add a corruption element to the
mix though. Public Works and Human Settlements found cash to fund this
project. In order to hide this from the public, they engaged with the
manager of the Housing Development Agency, who are the middle-man for
inter-governmental transactions.
Together with a lawyer in the US, they siphoned cash out of the country to
make it appear as if the cash was from an angel investor, and would not be
subject to disclosure to the public. They then moved the money to a CC
owned by the HDA manager called Korong Capital Partners who are now
officially funding the Zuma Freeway.
On the surface it seems like an extraordinarily unlikely investment - that
some unknown source of billions of dollars donated all of the funding
capital to a private company that coincidentally happens to be owned by the
HDA manager, to build a freeway through Jacob Zuma's Nkandla hometown, with
no oversight of the spending, no recourse whatsoever to the cash, no return
on investment, while remaining completely anonymous, and then with the
intention to hand the entire road over to Public Works upon completion. And
that is because this is ridiculous. It reminds me of the SANIP arrangement
with SAAB and BAE, where Fana Hlongwane received the bribe payments for the
arms deal.
What has happened however is that government appears to have attempted to
pull the wool over the eyes of its citizens, in anticipation of a backlash
for R1.5bn funding of the Zuma Freeway, by hiding cash in anentity they
thought would be safe from public scrutiny. As it turns out, this wasn't
quite as private as they expected.
The crucial oversight was using a private CC owned by the HDA manager and
forgetting to remove his personal address from the company information
records, which are public.
So government has a lot to answer for here and we the public should demand
answers. Not only does this appear to be corrupt to its very core, but the
spending at Nkandla is outrageous too.
See here for more details relating to how exorbitant the Nkandla spend is:
http://mybroadband.co.za/vb/showthre...projects/page2
http://mybroadband.co.za/vb/showthread.php/484540-Zuma-s-Nkandla-costs-224-
more-than-infrastructure-projects/page2
Public Works is currently involved in hundreds of projects around the
country, with their mandate being to spend on infrastructure and social
development. With this in mind, their average allocation for each project
will be somewhere between 0.1% and 0.2% of budget (this is a very high
estimate in my opinion - they're probably spending less across more
projects). Zuma's non-revenue-generating, unnecessary development that has
nothing to do with infrastructure nor social development equates to a 0.32%
allocation of the national public works budget.
This means that they've spent up to 224% more on Zuma's compound than on
their average spend on actual deliverable projects that meet their mandate.
If we include the freeway project, which I'm quite sure is just a dodgy
vehicle to protect Zuma from recourse, the figure jumps to 2172% more than
their average national infrastructure spend. So instead of money going to
the Gauteng Freeway Improvement Project, to mitigate the impact on the
country, Public Works chose instead to over-spend on Zuma's home by up to
2000-odd percent. What is clear is that Public Works consider Zuma's house
to be at least 224% more important than investment in infrastructure, which
is their actual mandate.
So if you want to do something about this and make your voice heard in
opposition to potential corruption, fraud, misuse of public funds and lies,
then send this out to media outlets, the public protector, your friends and
family etc. It's high time this sort of presidentially-supported corruption
is put to bed, once and for all...
NEWS 24
COMMENTS BY SONNY
AFTER THIS EXPOSE MANY PALE FACED CRIMINALS WILL HAVE TO GO INTO EXILE!
WONDER WHO'S NEXT?
Johannesburg SOUTH AFRICA 1 SEPTEMBER 2014 NEWS 24 REPORTERS
Much has been said, fought and argued over the funding of the R250m Nkandla
Compound, and rightly so. But what's received little attention is the
funding of the freeway set to run through Nkandla following the development
of the president's luxury compound. This freeway is set to cost R1.5bn, so
this is no small chunk of change, so my broadband' s amateur, volunteer,
investigative journalists gave it a crack and uncovered what appears to be a
case of corruption on an arms deal scale.
Here's what we uncovered:
Claim #1
Public Works claim that the freeway is being constructed by a private
company called Korong Capital Partners who will, following the road
development's end, donate the entire road to the government at no cost to
them. Now that sounds incredible.
So incredible that it sounds almost too good to be true.
That's because it is.
Debunking Korong Capital Partners appears to have been a dormant shell
company since 1999, and who's only director is Moeti Mpuru, who claims to
have secured the funding of R1.5bn for this project. The problem with this
scenario is that Korong Capital Partners have no history of this sort of
work. In fact, they have no history of any work whatsoever.
So they certainly couldn't have secured revenue of around R37bn to place
them in a position to fund this internally. This would have made them the
most successful company in history (to put this into perspective, this would
equate to more than double Vodacom's 2011/2012 revenue, and Korong would
have achieved this in about a year of operations). They couldn't have
raised this finance in the capital markets either because no financial
institution would originate and secure a bond for a company with zero
balance sheet strength and zero cash flow. So the only other option is that
there was an angel investor involved, and this is the next claim:
Claim #2
An angel investor is funding the entire project at no cost to government
whatsoever.
Debunking Who was this angel investor? Well the claim is that the cash
originated from the USA, through an attorney who is set to make $100,000.00
for simply arranging the transfer of the cash. Apparently Mpuru, after
being turned down for a R1m loan to fund a small portion of the project,
managed in just a few months to secure R1.5bn in funding for a project that
will see absolutely no return on investment. It is a straight R1.5bn loss
to whoever funds this project.
And why is the donor not being made public? What has he got to hide?
And who in their right mind would philanthropically fund a minor freeway in
SA through the president's home town? It makes no financial sense, nor
logical sense.
So on to brass facts: Korong Capital Partners has its registered offices at
the following address:
UNIT 2
CHIANTI ESTATE
39 LEEUWKOP ROAD
SUNNINGHILL
2196
So this company that apparently has R1.5bn spare to flush down the toilet,
or will be managing R1.5bn worth of angel investor cash, is situated at unit
2, Chianti Estate in Sunninghill, a residential complex that does not have
business rights for its units. This is a tiny, 60sqm residential complex -
not an office park, or the premises you'd expect for a company with R1.5bn
to spend and manage. Yet Public Works feel happy for this company to
complete this project on their behalf. Ever wondered why?
So who owns Unit #2 at Chianti Estates? None other than MBANJWA NQOBILE
ZINHLE (Zinhle Mbanjwa). Who is Zinhle Mbanjwa? He is the manager of the
Housing Development Agency of South Africa. This is the governmental
department that oversees investments in housing related infrastructure on
behalf of the Human Settlements Department.
They also manage inter-departmental projects. Why is Korong Capital
Partners' premises at the HDA manager's personal premises? The answer to
that is simple - he owned the shelf CC from the outset. This means that the
CC used to move the money around to pay for the Zuma freeway is in fact
located at the HDA manager's house and directed by the man who supposedly
secured the funding. This makes no sense in terms of the government's
official statements that this is a private entity funding the project
through angel investment. What this actually means is that the HDA more
than likely used the CC owned by their manager to move Human Settlements
money to Korong Capital Partners to fund the Zuma Freeway. If this was an
angel investment, the investor would ensure that he had board representation
to ensure he had oversight over the use of his funds.
What does this mean? Well it means that Zuma's compound is only the tip of
a very large iceberg. The real corruption is worth in the region of about
R1.5bn, as it indicates that the HDA facilitated government cash (which is
what they do) to be moved to Korong Capital Partners to fund the Zuma
Freeway, and the government knowingly lied to the public about how the
project was being funded. It indicates that behind the scenes, HDA, Public
Works and Human Settlements arranged a secretive transaction to spoof
legitimate business operations, when in fact they were simply trying to hide
their money-trail of corruption, knowing that using public money would cause
outrage among South African citizens.
None of this makes any sense in terms of the official story by the
government. It makes perfect sense when you add a corruption element to the
mix though. Public Works and Human Settlements found cash to fund this
project. In order to hide this from the public, they engaged with the
manager of the Housing Development Agency, who are the middle-man for
inter-governmental transactions.
Together with a lawyer in the US, they siphoned cash out of the country to
make it appear as if the cash was from an angel investor, and would not be
subject to disclosure to the public. They then moved the money to a CC
owned by the HDA manager called Korong Capital Partners who are now
officially funding the Zuma Freeway.
On the surface it seems like an extraordinarily unlikely investment - that
some unknown source of billions of dollars donated all of the funding
capital to a private company that coincidentally happens to be owned by the
HDA manager, to build a freeway through Jacob Zuma's Nkandla hometown, with
no oversight of the spending, no recourse whatsoever to the cash, no return
on investment, while remaining completely anonymous, and then with the
intention to hand the entire road over to Public Works upon completion. And
that is because this is ridiculous. It reminds me of the SANIP arrangement
with SAAB and BAE, where Fana Hlongwane received the bribe payments for the
arms deal.
What has happened however is that government appears to have attempted to
pull the wool over the eyes of its citizens, in anticipation of a backlash
for R1.5bn funding of the Zuma Freeway, by hiding cash in anentity they
thought would be safe from public scrutiny. As it turns out, this wasn't
quite as private as they expected.
The crucial oversight was using a private CC owned by the HDA manager and
forgetting to remove his personal address from the company information
records, which are public.
So government has a lot to answer for here and we the public should demand
answers. Not only does this appear to be corrupt to its very core, but the
spending at Nkandla is outrageous too.
See here for more details relating to how exorbitant the Nkandla spend is:
http://mybroadband.co.za/vb/showthre...projects/page2
http://mybroadband.co.za/vb/showthread.php/484540-Zuma-s-Nkandla-costs-224-
more-than-infrastructure-projects/page2
Public Works is currently involved in hundreds of projects around the
country, with their mandate being to spend on infrastructure and social
development. With this in mind, their average allocation for each project
will be somewhere between 0.1% and 0.2% of budget (this is a very high
estimate in my opinion - they're probably spending less across more
projects). Zuma's non-revenue-generating, unnecessary development that has
nothing to do with infrastructure nor social development equates to a 0.32%
allocation of the national public works budget.
This means that they've spent up to 224% more on Zuma's compound than on
their average spend on actual deliverable projects that meet their mandate.
If we include the freeway project, which I'm quite sure is just a dodgy
vehicle to protect Zuma from recourse, the figure jumps to 2172% more than
their average national infrastructure spend. So instead of money going to
the Gauteng Freeway Improvement Project, to mitigate the impact on the
country, Public Works chose instead to over-spend on Zuma's home by up to
2000-odd percent. What is clear is that Public Works consider Zuma's house
to be at least 224% more important than investment in infrastructure, which
is their actual mandate.
So if you want to do something about this and make your voice heard in
opposition to potential corruption, fraud, misuse of public funds and lies,
then send this out to media outlets, the public protector, your friends and
family etc. It's high time this sort of presidentially-supported corruption
is put to bed, once and for all...
NEWS 24
COMMENTS BY SONNY
AFTER THIS EXPOSE MANY PALE FACED CRIMINALS WILL HAVE TO GO INTO EXILE!
WONDER WHO'S NEXT?
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