Minister of justice and Constitutional Development Thembi Simelane before the portfolio committee on justice and correctional services explaining matters related to VBS Mutual Bank.
(The Post News)- The Democratic Alliance (DA) is urging Justice Minister Thembi Simelane to temporarily step down amid an investigation into a suspicious loan transaction.
DA Member of Parliament Glynnis Breytenbach has raised concerns about the minister’s involvement in a loan deal with Gundo Wealth Solutions, which she used to purchase a coffee shop in Sandton. Breytenbach described the transaction as “dodgy” and highlighted the unconventional loan arrangement, which involved the flow of funds from the municipality to VBS, then to Gundo Wealth Solutions, and finally to the minister.
Breytenbach noted that Gundo Wealth Solutions is not a commercial bank, adding to the suspicious nature of the transaction. She also pointed out the potential conflict of interest, given the minister’s previous role as mayor of the Polokwane Municipality. “Looking at it, it looks a little dodgy,” Breytenbach said.
The minister has maintained that the loan was a legitimate commercial transaction, which she has fully repaid. However, Breytenbach argued that the situation warrants her temporary removal to ensure a fair investigation.The DA’s call for Simelane’s removal comes as the Hawks investigate the Polokwane Municipality’s dealings with VBS, the mutual bank at the centre of the loan transaction.
Breytenbach emphasized the need for an unbiased investigation, citing concerns about the minister’s influence over the National Prosecuting Authority (NPA) while being investigated herself.
“The conflict of interest is glaring, whether it is acted upon or not, it exists,” Breytenbach said. “To preserve her own interest, she should step aside.”The president has assured that Simelane’s matter will not be “swept under the carpet” and will receive attention.
The DA is pushing for a swift and transparent investigation to maintain public trust. Breytenbach noted that perceptions are critical, especially given South Africa’s history, and that the presence of a sitting minister of Justice under investigation could undermine public trust.
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