The African National Congress (ANC) has expressed its satisfaction with the report from the South African Reserve Bank (SARB) regarding a transaction involving President Cyril Ramaphosa’s private farm, Phala Phala.
According to Mahlengi Bhengu-Motsiri, ANC National Spokesperson, the SARB’s determination that President Ramaphosa did not violate exchange control regulations is definitive and unambiguous.
The ANC believes that these findings dispel baseless accusations and affirm the strength of South Africa’s democratic institutions.
SARB Clears President Ramaphosa of Phala Phala Farm Allegations
The South African Reserve Bank (SARB) has concluded its investigation into the Phala Phala Farm Saga, clearing President Cyril Ramaphosa of accusations related to misappropriation of funds.
Governor Lesetja Kganyago announced the completion of the investigation in a statement released on August 14, 2023.
The investigation was initiated in response to a complaint filed in 2022 by former spy boss Arthur and various political parties.
SARB’s Investigation Findings
The SARB’s investigation revealed that there was no perfected transaction in the case.
It stated that it couldn’t determine any contravention of Exchange Control Regulations (specifically Regulation 6(1)) by NtabaNyoni Estates CC or President Ramaphosa.
The SARB explained that the transaction in question was subject to conditions precedent that were not fulfilled, leading to a lack of legal entitlement for Ntaba Nyoni Estates CC to the foreign currency.
The investigation also found no evidence that payments made in 2019 to the president’s farm manager were declared upon entry to South Africa.
Additionally, the president’s tax affairs, including those of Ntaba Nyoni Estate (under which Phala Phala falls), were found to be compliant with tax laws.
Background and Allegations
President Ramaphosa had been accused of involvement in corruption and money laundering in relation to the Phala Phala farm.
Interim Public Protector Advocate Kholeka Gcaleka cleared Ramaphosa of any wrongdoing in the theft case, citing his actions as consistent with ethical guidelines.
Allegations had emerged that Sudanese billionaire Hazim Mustafa sent US$580,000 in cash to Ramaphosa’s Phala Phala farm manager for the purpose of purchasing buffalo.
However, the money had not been collected or received up to that point.
A three-member independent panel appointed by Parliament initially indicated the possibility of establishing a case for impeachment against the president due to his conduct in the matter.
However, the ruling African National Congress (ANC), leveraging its legislative majority, overturned this decision.
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