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Parliament’s Justice Committee not convinced Minister Simelane's claims following her R575 600 loan VBS linked

Updated: Oct 18

Minister Thembi Simelane.


Beleaguered Justice and Constitutional Development Minister Thembi Simelane has failed drastically to convince Parliament’s Justice Committee that she didn’t benefit improperly following her over R575 600 loan from Gundo Wealth Solutions, which benefited from now-defunct VBS bank while she was still Polokwane mayor.


Minister Simelane, the spouse of the controversial former Road Agency Limpopo (RAL) board chairperson Matome Ralebipi which milked the State purse without accelerating and delivering on its mandate, didn't provide proof that she paid back the loan.


Members of Parliament also questioned Simelani what informed her to securing a loan from Gundo Wealth Solutions, which is not a registered financial services provider.


As expected, members of Parliament’s justice committee raised their discontentment about a conflict of interest because Minister Simelane has executive authority over the National Prosecuting Authority (NPA) which is prosecuting those implicated in the VBS looting.


Despite that Simelane denied having an improper relationship with Gundo Wealth Solutions received a million by the now defunct VBS bank, Heloise Denner from the Freedom Front (FF) Plus wanted proof of the loan agreement. Denner said: “But I don’t see that loan agreement with Gundo Wealth Solutions provided. So, I'd like to know if the loan agreement is available. Can we have a copy of this loan agreement?"


Fellow committee member, Glynnis Breytenbach of Democratic Alliance's (DA) also added her voice to the chorus that Simelane's denials that the transaction was not improper is not convincing.

"It’s the dodgy money that's the problem because all of their money was dodgy money, and you were the recipient of the dodgy money."


Parliament’s Justice Committee Chairperson Xola Nqola said the committee would seek legal advice on how to handle the loan agreement confirming that the committee would meet again next week.


ANC Secretary General Fikile Mbalula said he engaged Simelane about VBS shenanigans and allegations of corruption levelled against her.

He also confirmed that Simelani will face the ANC’s integrity commission.


Meanwhile, President Cyril Ramaphosa is still digesting Simelani’s VBS entanglements following Ramphosa’s request for a meeting to explain herself.

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