Presidency rejects VBS media reports

Monday, October 15, 2018

The Presidency has rejected media reports which have alleged that President Cyril Ramaphosa failed to take action on the VBS Bank saga.

“The Presidency categorically rejects reports that President Cyril Ramaphosa failed to take action on the VBS Bank saga despite being alerted to irregularities back in 2017. The allegation is baseless and unsubstantiated,” the Presidency said on Monday.

This followed weekend media reports stating that the President knew about the status of the embattled bank.

VBS was on 11 March placed under curatorship following what was termed a “serious liquidity crisis” at the mutual bank. A forensic investigation was prompted by a curator finding significant financial losses at VBS.

“President Ramaphosa has no knowledge of any meeting where he is said to have met any person associated with VBS Mutual Bank where he was purportedly briefed on the matter. Likewise, the claim that President Ramaphosa was forewarned about the impending implosion of VBS Bank is unsubstantiated.”

The Presidency said the VBS Bank saga was brought to the attention of the President through official government channels, including the National Treasury.

“The President subsequently requested a comprehensive report from the Treasury on this matter and continues to be guided by it on all matters relating to VBS.

“The President reiterates that the relevant law-enforcement and prosecutorial authorities should act with haste and vigour against those behind this unconscionable act of criminality against the most vulnerable in society.”

The Presidency urged South Africans not to be misled by attempts to divert attention away from those responsible.
Last week, a forensic report into the embattled VBS Mutual Bank recommended that criminal charges be laid against a range of individuals alleged to have looted about R2 billion from the financial institution. -