Global South African Weekly News Wrap Up 08 June 2012

Contents
Zuma wields R400m incentive for youth support ..................................................... 3 State seeks global partners for green economy projects ........................................ 5 State looks to attract competition in broadband ....................................................... 7 Govt seeks partners to create green jobs: Molewa ................................................... 8 Red-faced Brits sorry about Stem blunder ............................................................. 9 Angola oils campaign to secure AU vote for SA...................................................... 10 Zuma pleads with big business to aid upliftment .................................................... 13 'Mining sector, we're all ears' ................................................................................... 14 Stop Mdluli now, judge orders police ...................................................................... 15 SKA is shared, but MeerKAT is ours exclusively, says Fanaroff .......................... 17 Zuma appoints top cop .............................................................................................. 19 Teaching must be made essential service .............................................................. 20 Service-delivery protests overrun Cape Town ........................................................ 22 Another anthem outrage ........................................................................................... 23 Riot puts spotlight on 'violation' of refugees ........................................................... 24 Top cop takes on Ramphele ...................................................................................... 27 Engineers reject state building firm ......................................................................... 28 Rights in SA constitution are all equal .................................................................. 30 Advocates removal delays arms deal probe ........................................................... 32 Zuma,'Tobias demystified complex science'............................................................ 33 Legal challenge to education bungles ....................................................................... 34 Education system a 'national disgrace' .................................................................... 35 'Jobless on the brink' ................................................................................................. 36 600 pupils forced to share two pit latrines ............................................................... 37 'Drop Freedom Charter at your peril' ..................................................................... 40 SAA has never been properly capitalised, says CEO ........................................... 41 SAs failed immigration policies a waste of money .............................................. 43 Cosatu set to push for minimum wage policy .......................................................... 44 Hawks probe bribery claims in MTN Iran deal ...................................................... 45 NUM berates Numsa for populist stance ................................................................. 47 ANC is in trouble and masses leaderless, says Numsa ........................................... 48 Mdluli meddling exposed in prosecutor's attack on NPA ...................................... 50 Manyi to get the chop ................................................................................................ 53 Police force meltdown ................................................................................................ 55 Top two speak on status and service ........................................................................ 57 State cannot build cheaper Manuel ..................................................................... 61 Court lays down law to SAPS on Mdluli ................................................................. 63 Stop this bioscope now, MPs tell police top brass ................................................... 64 Cosatu set to push for minimum wage policy .......................................................... 65 NUM berates Numsa for populist stance ................................................................. 67 Top cop takes on Ramphele ...................................................................................... 70

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Riot puts spotlight on 'violation' of refugees ........................................................... 72 ANC Delaying Youth League Mans Return ........................................................ 74 Unions give state wage ultimatum ............................................................................ 75 What a Circus!The war in the SA Police Service over controversial top cop Richard Mdluli took on absurd proportions yesterday afternoon. ....................... 76 Tokyo hits campaign trail with songs and promises ............................................... 79 Swoop on Zuma's son ................................................................................................ 80 Arms deal inquiry hits the skids ............................................................................... 81 State Security digs in its heels on info bill................................................................ 84 Spirit of our constitution is increasingly ignored .................................................... 85 Zuma busy sacrificing youth to get re-elected ...................................................... 87 Celes likely successor no career policeman ............................................................ 88 City and Cosatu on collision course over Obama ................................................... 90 Governance limbo holds SA back ............................................................................. 91 DA is closing in on ANC, says Vavi .......................................................................... 92

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7 June 2012 Business day Page 3 Setumo Stone

Zuma wields R400m incentive for youth support

The agency and youth development finance bodies that preceded it have been run by appointees from the league PRESIDENT Jacob Zuma has a R400m carrot to dangle at the African National Congress Youth League (ANCYL) when he decides on recommendations to a new National Youth Development Agency (NYDA) board this month. The agency and youth development finance bodies that preceded it have been run by appointees from the league. But Mr Zuma and the dominant faction in the league are not the best of friends, which will make his selection of the national chairman all the more interesting. NYDA chairman Andile Lungisas term expired in April. Mr Lungisa is a close ally of Julius Malema, and has stood by his comrade, despite the latters expulsion from the African National Congress (ANC). The expiry of this term gives Mr Zuma the opportunity to neutralise youth league members opposed to him taking a second term as ANC president, by preventing them from serving in the NYDA national and provincial offices. That way he can influence the NYDA and the youth league, and rid it of his enemies. At stake is the NYDAs budget of R400m year the agency can dispense as patronage. With interviews having taken place in Cape Town last week, interested youth bodies both political and civil society formations have been campaigning for their preferred candidates to make the cut. Political analyst Ralph Mathekga says Mr Zuma will be "looking for something in return" when he makes his choice. "It is one of the avenues available to him. There is an opportunity to trade patronage." The ANCYL has nominated Mr Lungisa to serve another term. But can Mr Zuma let him be reappointed, and therefore let a political enemy enjoy the spoils of his government? Mr Lungisa would also have the stigma of the World Festival of Youth and Students the so-called "kissing festival" hanging over his head. Questions have been asked whether the event was worth the R100m funding it was allocated. Even so, says Mr Mathekga, Mr Lungisas return would be the "least politically costly" possibility for Mr Zuma, particularly because Mr Lungisa "seems to have matured into the position".

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On the other hand, the Young Communist League (YCL) has nominated its chairman, Yershen Pillay, who is NYDA deputy chairman. The choice of the young communist could prove awkward for Mr Zuma, who would be all too aware of how damaging a close association with the South African Communist Party (SACP) can be ahead of the Mangaung elections. Already, Mr Zumas closest defenders at least in public come from the SACP. Blade Nzimande and Gwede Mantashe, both leaders in the SACP, were at the forefront of the protests against The Spear, Brett Murrays painting that depicted Mr Zuma with his genitals exposed. If Mr Zuma selects Mr Pillay, he may fuel feelings within the ANC that he takes his cue from the communists. It would also be difficult for Mr Zuma not to choose the chairman from the ANCallied youth formations. Mr Mathekga says there is almost an implicit protocol that the NYDA should be led by someone from within the ranks of the youth league. "Appointing someone outside could antagonise the entire youth formation within the ANC alliance," he says. It is understood that youth league national executive committee member MaropeneNtuli was among those short-listed. Her appointment could also be supported on the basis of gender balance, which would make her the first woman to lead the agency. However, Ms Ntuli has been widely linked with a group in the league that is behind Mr Malema. YCL spokesman Mangaliso Khonza says Mr Pillay is an ideal candidate, as he has been responsible for a lot of good work that the agency has performed, including funding youth co-operatives. The final decision on the NYDA board rests with Mr Zuma in his capacity as head of state. A parliamentary ad-hoc committee which conducted interviews last week will recommend several names to Mr Zuma from the 28 candidates that have been shortlisted. The announcement could be made by Mr Zuma on Youth Day, next Saturday.

The M&G understands that even at Luthuli House, ANC senior officials have expressed unease about Manyis record as government communicator, saying there was a problem when the person tasked with communicating instead became the story. Approached for comment on Thursday, Manyi said he was not prepared to comment on the matter. Chabanes spokesperson, Harold Maloka, told the M&G that he was not aware of any discussions between the minister and Manyi over contractual matters. Adversarial relationship with media According to a recent Sunday Times report, Jessie Duarte, a former ANC spokesperson and now chief operations officer in the presidency, has been mentioned as possible successor, as has Manyis deputy chief executive, Vusi Mona.

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According to sources at the GCIS, Manyi was advised by his deputies this week to address staff about his possible departure from the government, but he apparently refused. Manyi, who has had an adversarial relationship with the media for most of his tenure as chief government communicator, is no stranger to controversy. Last month he was accused of meddling in matters that had nothing to do with him when he accused eNews of censoring itself by not showing advocate GcinaMalindi breaking down in court. This was during the hearing into the ANCs application to force the Goodman Gallery to remove Brett Murrays The Spear painting. Some senior GCIS staff were also concerned over Manyis hiring of former Black Management Forum and Tiger Brands colleagues for important jobs, feeling that his decisions had been swayed by his past relationships with them, which he denied at the time. Manyi was suspended from his position as director general of the labour department in June 2010 following allegations that he had used an official meeting with Norwegian diplomats to solicit business on behalf of an associate. He had also faced consistent criticism from the BMF for the wearing of two hats, as BMF president and a government official. In 2011 he raised the ire of Minister in the Presidency Trevor Manuel, who labelled him a racist in an open letter after Manyi made remarks about an oversupply of coloureds in the Western Cape.
6 June 2012 Business Day Page 2 Sue Blaine

State seeks global partners for green economy projects

The Green Fund is run through the Department of Environmental Affairs and managed by the Development Bank of Southern Africa Water and Environmental Affairs Minister Edna Molewa said yesterday the government hoped to form partnerships with international funding institutions to spend the R800m the Treasury has made available over the next two financial years for SAs Green Fund. The fund is run through the Department of Environmental Affairs and managed by the Development Bank of Southern Africa. The government hopes that boosting SAs "green economy" can help catalyse the general economy and make a dent in the countrys high unemployment rate, which hovers around 25%, and especially in youth unemployment. An estimated 75% of the unemployed are under the age of 35.

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The South African Green Funds primary objective is to provide catalytic finance for "high quality, high impact green economy projects and mainstreaming activities which would not have been implemented without fiscal support," Ms Molewa said at its launch last month. The Green Economy Accord, signed last November by government, business, organised labour and a "community constituency", commits signatories to building a more environmentally sustainable economy that promotes employment creation. While commentators across the board say it is difficult to quantify the growth in SAs "green economy", many say it is growing briskly. In the governments New Growth Path document which promised 5-million new jobs between 2010 and 2020, and a "more inclusive and greener economy" it is estimated SA could create 300000 "green" jobs by 2020. Spending the R800m would start with the launch, within a month, it is hoped, of the first phase of countrywide "green hubs" that Department of Environmental Affairs spokesman AlbiModise said were linked to the National Waste Management Strategy. Mr Modise said he was not at liberty , until the launch, to divulge more. Both Business Unity SA environmental adviser Lorraine Ltter and KPMG climate change and sustainability services partner Neil Morris said SAs green economy was growing, although it was difficult to quantify the expansion. "Increased environmental performance requirements require growth. Just the IPP (the independent power producer procurement programme for renewable energy), which is coming off a low base, is a quantum leap," said Ms Ltter. The programme is intended to produce 3725MW of electricity from renewable resources by 2016. SA gets less than 2% of its energy from renewable resources. The Department of Environmental Affairs has a R7,7bn budget for its programmes, aimed at increasing water security, improving ecological integrity, restoring lands productive potential and investing in SAs most marginalised communities. Speaking yesterday in Bloemfontein at International Biodiversity Day celebrations, Ms Molewa said: "We are extending partnerships to key international funding institutions such as the World Bank Clean Technology Fund and the newly-established Green Climate Fund (a United Nations Framework Convention on Climate Change operating entity). Our government has also entered into the Green Economy Accord dubbed one of the most comprehensive social pacts on green jobs in the world. It builds a partnership to create 300000 new jobs by 2020 in the green economy." 5 June 2012 Business Day Page 2 Bekezela Phakathi and Paul Vecchiatto

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State looks to attract competition in broadband

The government wants to reduce the cost of broadband drastically, through the introduction of more competition into the tightly regulated market, Communications Minister Dina Pule yesterday. Opening the ICT Indaba Africa Conference in Cape Town, Ms Pule said most of the new growth in data access could be attributed to the rise in the number of mobile broadband subscribers using handheld devices such as smartphones. She said mobile broadband subscribers grew by 31% last year to reach 4,2-million people in SA. However, a recent study by Google SA, found that internet penetration in SA was low compared to other leading economies in Africa due to high broadband costs and a lack of infrastructure. Yet, with a number undersea cables set to come online within the next few months, there is optimism that broadband could become significantly cheaper. Ms Pule also said the government was concerned that broadband prices remained "very high based on purchasing power parity in comparison with some OECD (Organisation for Economic Co-operation and Development) countries such as Mexico, Chile and Hungary". She said the envisaged reduction would be made through a licensing process, during which the government would identify capable internet service providers (ISPs) that would make use of radio frequency spectrum to push down broadband prices. "These ISPs big and small are also expected to offer affordable broadband services to poor South Africans ," Ms Pule said. Telecom s regulatory lawyer Dominic Cull described the statement as "serious good news". Mr Cull said because more than 42-million people in SA used mobile phones, it was the most efficient way to meet the governments overall intention of getting as many people as possible connected to the internet by 2020. "Mobile data is really quite unaffordable for the vast majority of the population. However, by regulating the wholesale part of the market and deregulating the resale side, that will introduce competition and this has proven the best way to bring prices down," he said. Ms Pule also said the government would be looking at ways to introduce mobile services within the 700MHz and 800MHz bands, normally used for TV broadcasting. Mr Cull said the International Telecommunications Union had recently determined that those frequency bands, being freed up by the migration to digital TV, could be used to roll out the next generations of mobile

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technology. "What the minister said today could really be good for consumers and the industry, just as long as she is not conflating the infrastructure (frequency) issues with data services," he said. Speaking at the same conference yesterday, SafroaduYeboah-Amankwah, partner at global management consulting firm McKinsey, said ICT growth in Africa over the past 10 years had been spectacular. "The African consumer has become internet savvy however, businesses in Africa are not taking full advantage of the internet," he said, which in Africa was generally used for entertainment. 6 June 2012 The New Age GuguMyeni and Sapa

Govt seeks partners to create green jobs: Molewa

The government is seeking partnerships to create 300,000 new jobs in the green economy, Water and Environmental Affairs Minister Edna Molewa said on Tuesday. "Our environment sector green economy implementation plan has this year received a boost of R800m for the Green Fund over the next two financial years," Molewa said at World Environment Day celebrations. The department would use the funding to attract new and additional investments, to stimulate job creation and to lay the foundations for South Africa's transition to a low carbon, job-creating and resourceefficient growth path. The country has entered into the Green Economy Accord, which has been called one of the most comprehensive social pacts on green jobs in the world. Molewa said the implementation of the projects would offer the country the opportunity to close the scarce skills gap in this sector. "We have observed that it was insufficient and needed to be supplemented by formal training at higher learning institutions." Molewa said the department will be launching the first phase of countrywide green hubs, with various satellite and regional operations. The project would be launched in Mangaung where more job opportunities would be created as part of the department's waste management strategy, which focused also on job creation. "Waste is wealth and we aim to prove that in line with our efforts to reduce, re-use and recycle waste, we could create job opportunities for all our young people," said Molewa. The minister also called on the youth to play an active role to help create a green-economy.

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"I would like to urge all young people to heed this call and be part of the transition towards a job-creating and pro-poor green economy. Tomorrow belongs to those who prepare themselves today," Molewa said. World Environment Day, founded by the United Nations General Assembly in 1972, seeks to promote the protection and conservation of the environment. Molewa said this year the country will celebrate under the international theme Green Economy: Does It Include You?" and June will be declared world environment month. 'We will mobilise all the three spheres of government, the private sector, NGOs and you the citizens to implement integrated interventions to protect the environment for our and future generations sake," she said. Join Minister of Water and Environmental Affairs Edna Molewa at The New Age Business briefing on the 11th of June 2012 at the Sandton Convention Centre, for a discussion on a Green Economy: Sustainable development and poverty eradication and its challenges for business. Delegates will get first hand opportunity to interact with the Minister on; What is a Green Economy? How far are we from a Green Economy? Who gains from the Green Economy? How do we measure our progress towards a Green Economy? Why should business promote Green investment and innovation? How does the concept of Green Economy contribute to achieving the overarching objective sustainable development, including poverty eradication, job creation and social equity? The breakfast will be facilitated by SABC's Morning Live presenter, Peter Ndoro. This event is aimed at providing a platform for robust and constructive discussions amongst the leaders of industry in South Africa. Event details Date: 11 June 2012 Time: 07:00 to 09:30 (Live on SABC2) Venue: Sandton Convention Centre

7 June 2012 Cape Times Page 1 Xolani Koyana

Red-faced Brits sorry about Stem blunder

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Great Britain Hockey has apologised to SA Hockey for playing Die Stem in error at the Investec London Cup. The South Africans lodged a complaint with the competition manager after a snippet of Die Stem, the apartheid anthem, was played before the Proteas game on Tuesday against Great Britain, which SA won 3 1. Last night, the team accepted the apology. GB Hockey Board communications manager Lawrence West said the SA team had received a face-toface apology from the contractor responsible for the mistake and GB Hockey chief operating officer Sally Munday yesterday afternoon. West said Munday had also written to SA Hockey Association chief executive Marissa Langeni, stating: Great Britain Hockey, the organiser of the Investec London Cup, offers a full and unreserved apology to the South African womens hockey team and their supporters for mistakenly playing the wrong national anthem before South Africas match with Great Britain on Tuesday afternoon. She said the correct anthem would be played before South Africas remaining matches. In a statement earlier, Langeni said they had been disappointed and embarrassed by the blunder. The anthem played caused our team much discomfort as they stood, not knowing what to do with themselves. This incident has robbed our team of what should have been a moment of pride. We are extremely happy that the Great Britain Hockey has offered an apology to the team after we circulated that e-mail about our dissatisfaction with the wrong anthem being played. We are also pleased that the COO of Great Britain Hockey went to the team and gave the apology personally, Langeni said. 8 June 2012 Business Day Page 1 Ray Ndlovu and Khulekani Magubane

Angola oils campaign to secure AU vote for SA

Region flies teams around Africa to lobby for Dlamini-Zuma Angola is bankrolling a concerted campaign to secure SAs efforts to win support for Home Affairs Minister NkosazanaDlamini-Zuma to lead the African Union (AU) with a $200000 pledge to finance lobbying ahead of the AU summit.

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Oil-rich Angola, signalling its foreign policy ambitions on the continent, has combined in the campaign with SA, which is chartering aircraft to take teams of cabinet ministers to lobby around the continent. The move places it in direct conflict with Africas other oil powerhouse, Nigeria, which supports the incumbent AU c ommissioner, Gabons Jean Ping. Political observers said yesterday the cash injection by Angola was an indication of an "all-out" offensive by the Southern African Development Community (Sadc) to have its candidate elected. In January, neither Mr Ping nor Ms Dlamini-Zumawere able to gain the two-thirds majority vote needed to land the leadership of the AU. The stalemate forced the continental group to call off the race until next month, when it meets again in Malawi. A confidential report detailed proceedings at the extraordinary Sadc summit in Luanda last week when the bloc discussed at length Ms Dlamini-Zumas candidacy. "Angola had pledged $200000, of which $174000 was received by the s ecretariat," the report reads. Sadc executive secretary Tomaz Salomao said yesterday he could "neither confirm nor deny" the payment from Angola, and when the remaining $26000 would be paid. At the summit SA was tasked by Sadc with the responsibility for chartering aircraft for "lobby teams for the duration of the campaign", the report stated. The three teams, which began their work on April 29, included representatives from Angola, Namibia, Tanzania, Mozambique, Zambia and Zimbabwe. There is a South African Cabinet minister on each team State Security Minister Siyabonga Cwele , Justice Minister Jeff Radebe and Public Enterprises Minister Malusi Gigaba . The lobby teams were tasked with a second visit to nine countries before the AU summit. C ountries targeted include Sierra Leone, Senegal, Egypt, Guinea-Bissau, Togo, South Sudan, Burkina Faso, Libya, Tunisia, Morocco and Algeria. The Sadc report paints a gloomy picture of the prospects of an outright victory for Ms Dlamini-Zuma. "The campaign teams visited 28 countries in the continent, of which 12 confirmed their support for Sadcs candidature, nine were not, four were uncertain, two were also uncertain, but may vote for Southern Africa, while one did not know who to vote (for)," the report from Luanda reads. Diplomatic sources, who could not comment officially but are close to the lobbying campaign, said yesterday the three-way split among AU subregional organisations with different positions held on the AU post by Sadc, the Common Market for Eastern

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and Southern Africa, and the Economic Community of West African States was a "major challenge" to the lobbying effort. The Sadc report seems to back this assertion and signalled that lobbied countries, "advised that the two candidates should withdraw and that new candidates be presented". While SA had skillfully used the disquiet in the region to lobby for its candidate despite being at loggerheads with Zimbabwe and Madagascar over their domestic political situations analysts believed it was far from winning support in Africas Francophone countries. The Department of International Relations and Co-operation yesterday confirmed the campaign, but opted not to comment on the payments by Angola or SAs chartering of aircraft. The departments spokesman ClaysonMonyela said yesterday that Ms Dlamini-Zuma was not SAs candidate for the position of AU c ommissioner, nor was she Sadcs candidate. "She is the candidate of the Southern African region. This is why the region itself is deploying resources in support of Nkosazana Dlamini-Zuma. "Historically, since the Organisation of African Unity and (its successor) the AU, this region has not had the opportunity to have a representative leading in this position," Mr Monyela said. The Southern African region was lobbying other regions to support their candidate and the costs including chartered or commercial flights was known by the countries involved. "This is the second round of elections for AU c ommissioner. We decided last year that she (Ms Dlamini-Zuma) was the candidate," he said. "Neither she nor Jean Ping could get the majority needed to win. Further elections will take place in Malawi and what took place in Angola was a reaffirmation of Ms Dlamini-Zuma as a candidate," he said. Trevor Maisiri, a senior analyst at the International Crisis Group, said there were demands to bar Ms Dlamini-Zumas candidature, which he described as "covert attempts" by Nigeria and Kenya to muscle SA out. "SA stands a very big chance this time around. Mr Ping is stepping up to the gauntlet, but from a perceived background of bungling in Libya and Ivory Coast. He stands accused of failing to react to their crises," Mr Maisiri said yesterday. "But on the other hand, SA has made its presence felt outside of its own borders, despite criticism levelled against it that its foreign policy is skewed.

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"It is part of peacekeeping efforts, the Brics group of nations and, come the AU summit, it could mark the rise of SAs diplomacy on the continent." Persistent speculation in political circles was that President Robert Mugabe would vote for Mr Ping as punishment for President Jacob Zuma over his hardened stance against the 88-year-old veteran ruler. But Simon KhayaMoyo, Zanu (PF) national chairman and former ambassador to SA, yesterday confirmed his partys support for Ms Dlamini-Zuma. "Zanu (PF) fully supports the position of Sadc. We are part of a family, the Sadc family, and as a family we have assumed a common position around the AU candidate and Zimbabwe will stick to that decision," Mr Moyo said.
4 June 2012 The Times Page 4 MhlabaMemela

Zuma pleads with big business to aid upliftment

President Jacob Zuma on Sunday made an impassioned plea to businessmen to help uplift the lives of the poor, especially in rural areas. Zuma was speaking during a church handover ceremony at Nkandla, in KwaZulu-Natal. Pleading with companies to commit money to the cause, Zuma said corporations should emulate Patrice Matsepe, the executive chairman of African Rainbow Minerals. The church was constructed by African Rainbow Minerals in conjunction with the Jacob Zuma Foundation. It was given to first lady Sizakele MaKhumalo Zuma on behalf of the Salvation Army. Members of various congregations gathered in KwaMamba to celebrate. MaKhumalo approached African Rainbow Minerals, through the foundation, to build the church in the area which, until yesterday, had no place of worship. Services had previously been held in a mud hut. Said Zuma: "The history is that people living here never had a church. "This church will not only serve as a place of worship but also as an important assembly point for communities to discuss and identify projects and initiatives to improve their villages and living conditions." Zuma said churches had a critical role to play in communities, such as building respect, self-discipline and humanity among the young. He said there was a difference between a person raised in the church and one who was not.

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"I grew up in the church and I understand that people need the word of God. "The church has an important role to play in fighting social ills among our people." He said his foundation had been asked by many churches for help in constructing churches in rural areas.

7 June 2012 The Times Page 4 Amukelani Chauke

'Mining sector, we're all ears'

Mineral Resources Minister Susan Shabangu said on Wednesday that all input from the mining sector on the nationalisation debate would be considered at the ANC's policy conference later this month. This after the industry's bosses, led by the Chamber of Mines of South Africa, organised a two-day mining conference to debate concerns over policy uncertainty regarding the government's plans to intervene in mining. Speaking to journalists, Shabangu said the mining industry's contribution would "enrich" the ANC's decisions. After ANC-commissioned research found that nationalisation of mines would not be viable and affordable, the ruling party has since looked at the formation of a state-owned mining company as an alternative. The proposal for the company has been included in the party's draft policy documents - to be debated at its policy conference. Despite the government having singled out mining as a key sector to boost the economy and create jobs, economist Mike Schussler told the conference that the industry's contribution to the GDP had declined over the past few years, and that foreign direct investment had also suffered. Shabangu had said earlier that, to boost the local mining industry's global competitiveness, work needed to be done on branding South Africa as a preferred mining destination. She said "predictable policies", which were stable and welldefined, would help address uncertainty among investors. The ANC Youth League has called for the nationalisation of mines and banks and the National Union of Metalworkers of SA recently went a step further, calling for wholesale nationalisation of all major economic sectors. But several cabinet ministers, including Shabangu, Minister in the Presidency Trevor Manuel and Minister of Public Enterprises MalusiGigaba, have dismissed the strategy. Instead, the ANC has opted for state intervention, looking at ways to control mineral resources without changing ownership.

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FransBaleni, general secretary of the National Union of Mineworkers, said the timing of this week's mining conference before the ANC's policy conference was "critical". "Our role is how do we reposition the mining industry to face current challenges. We discussed as stakeholders and concluded that we have to do something about it ourselves because we think it is inappropriate that others take a decision without us. "For that reason, we probed a number of issues; for example, the extent of the implementation of key pieces of legislation, your Mineral Petroleum Development Act, the mining charter - how far we have gone - and how we respond effectively as far as the transformation agenda is going. "We also engaged in policy debate, which includes the role of the state in mining, nationalisation or no nationalisation, infrastructure development and the competitiveness of the mining industry." 7 June 2012 The Times Page 1 Graeme Hosken

Stop Mdluli now, judge orders police

In a landmark decision, the Pretoria High Court has prevented beleaguered crime intelligence boss Lieutenant-General Richard Mdluli from working. The order comes a day after Mdluli's lawyer, Ike Motloung, warned of dire consequences of the order and the precedent it would set. Motloung argued that those seeking the order wanted President Jacob Zuma removed from office. Mdluli is on suspension after the Johannesburg Labour Court on Sunday rescinded an earlier order granted by the same court overturning his previous suspension. It is the third time since November that Mdluli - who is facing five separate investigations - has been suspended. He is also facing allegations of fraud, corruption, money laundering, murder, kidnapping, assault and defeating the ends of justice. In a scathing judgment, Judge Ephraim Makgoba severely criticised the police and granted lobby group Freedom Under Law its urgent court application. Freedom Under Law, along with the Social Justice Coalition and Corruption Watch, sought a court order seeking the suspension of Mdluli and preventing acting police commissioner Lieutenant-General NhlanhlaMkhwanazi and Police Minister NathiMthethwa from assigning any duties to him.

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The three groups are also seeking a review of the controversial decisions to drop criminal and departmental charges against Mdluli. They want him to be prevented from working until the review has been completed. Addressing a packed courtroom, Makgoba, said: "None of those opposing the application have denied the allegations made against Mdluli. "The constitution requires the police to prevent, combat and investigate crime; maintain public order; protect the country's inhabitants and uphold and enforce the law. "The applicants make it clear in their affidavit, which has not been denied, that serious allegations of criminal conduct have been levelled, which affect the constitutional duties of the police. "The police have a duty to act decisively against any member whom criminal allegations are levelled against. "These allegations are no ordinary allegations. They are serious criminal acts which go to the very fabric of public order and security, which have to be dealt with promptly." Makgoba said the matter was of considerable public importance. "The sooner the saga is brought to an end the sooner the credibility of the police, security service and the justice system can be restored," the judge said. He said he could not ignore the serious nature of the allegations and that it was in the national interest that finality be reached. "The respondents' arguments miss the point of the application, are without merit and hold no water. "The applicants want Mdluli prevented from working to preserve the integrity of the investigations into allegations against him and the functioning of the police." Citing Mdluli's suspension, "un-suspension" and re-suspension, Makgoba questioned how one could trust "this time round" that the current suspension would not be lifted. "It is unfortunate [that] allegations of political interference have not been disputed. The applicants' argument that this could happen again is not far-fetched. "It would be unconscionable that Mdluli continue with his duties with the allegations still looming. "The applicants show a prima facie case in the impact of the police to carry out [their] constitutional mandate.

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"Irreparable harm can be caused by Mdluli resuming his duties. The applicants' prospects of success on the review application are good and there is a strong prima facie basis for the review." ZackieAchmat, representing the Social Justice Coalition, said the order was a defining moment for all South Africans. "Had it not been for the country's free press, this battle would not have been won. This order sends out a hard-hitting message, which renews the public's confidence in the justice system," he said. He said the order was a vital ruling. "It shows the police have to do the right thing. The police, who are there to enforce the law and protect all South Africans, have a duty to obey the law and arrest any officers who break the law." Corruption Watch executive director David Lewis said the order was more than what he had expected. "It is a resounding victory. These are not ordinary allegations made against ordinary people. They are extraordinary allegations made against extraordinary people in extraordinary positions who hold extraordinary powers. "It will ensure that, while a date is set for the review of the decision to drop the departmental and criminal charges against Mdluli, he will not be able to interfere in the course of justice." State lawyer Mandla Zulu said: "Although we wanted Mdluli suspended, just like everybody else, we had to oppose this. We cannot accept a situation where courts try to run government. This decision effectively means that. "This entire case was based on what the media says. There is no evidence to suggest anything else," Zulu said.
6 June 2012 Business Day Page 5 Sarah Wild

SKA is shared, but MeerKAT is ours exclusively, says Fanaroff

The Square Kilometre Array (SKA) would not affect construction of the precursor MeerKAT telescope, which would remain a wholly South African project, SKA SAs director, Bernie Fanaroff, said this week. The international SKA Organisation said last month that SA and Australia would share the mammoth R23bn radio telescope, and that it would include the two countries precursor telescopes.

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"We will still be building the MeerKAT. The tenders will be awarded soon," Dr Fanaroff said, though he would not say when. The MeerKAT, which is taking shape in the Karoo region near Carnarvon, Northern Cape, will be one of the largest and most sensitive radio telescopes in the southern hemisphere until the SKA is completed in about 2024. In this years budget, Finance Minister PravinGordhan allocated about R895m to the MeerKAT over the medium term. However, Dr Fanaroff said he was unable to estimate the total price tag on MeerKAT construction, because "we will have to wait for the tenders to be awarded". SKA SA infrastructure manager Tracy Cheetham said on Monday there were two types of tenders: those for site infrastructure and those for the dishes themselves. Infrastructure plans included roads, electricity and communications reticulation, a landing strip, building construction and radio frequency interference. Ms Cheetham said the first MeerKAT tender had been awarded, going to Cape Town-based company Brink & Heath Civils. The tender included civil works for roads, the landing strip, construction camps and electrical and fibre ducting reticulation. It had a price tag of R113m, according to the National Research Foundations website. Dr Fanaroff said that a mixture of South African and international companies had submitted tenders, but "the SKA will be international tenders". However, Ms Cheetham said South African companies were preferred for MeerKAT, following regulations issued by the Treasury. While the MeerKAT was a separate project from the SKA, "we tried to incorporate the specifications of SKA Phase 1 in our planning so we can expand (the MeerKAT) quite easily", she said. Last month, the SKA Organisation said most of the SKA dishes in the first phase would be built in SA, combined with MeerKAT. Further SKA dishes would be added to the ASKAP array, Australias precursor telescope, Ms Cheetham said. "All the dishes and the mid-frequency aperture arrays for Phase 2 of the SKA will be built in Southern Africa while the low frequency aperture array antennas for Phase 1 and 2will be built in Australia." The arrays that have been allocated to SA required more infrastructure. Dr Fanaroff said SAs share amounted to about 70% of the SKA, after the announcement.

8 June 2012

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The New Age De Wet Potgieter, Siyabonga Mkhwanazi and Abram Mashego

Zuma appoints top cop

President Jacob Zuma is set to act swiftly to address the leadership crisis in the SA Police Services (SAPS) when he appoints the countrys new police chief early next week. Highly placed sources told The New Age last night that Zuma is considering appointing either a top general from within the SAPS or Labour Department directorgeneral Nkosinathi Nhleko. The same sources told The New Age that he is inclined to the appointment of someone from within the SAPS rather than another politician to the top post. The source said: This is a decisive move by the president to act once and for all in his quest to stabilise the embattled and controversy-ridden SAPS. The appointment of someone from within the SAPS will go a long way towards restoring credibility and morale within and outside the police. This latest development comes against the background of the acceptance by suspended police chief Bheki Cele that he will soon be out of a job. Cele was vague about the rumours of his sacking when The New Age approached him for comment yesterday afternoon: Speak to those who say I am fired. Asked what would be his next step if he was fired, the angry police chief said: Your question is very arrogant. Go and ask those who said Ive been fired. Can you ask a dead man if he is dead? Cele is South Africas second national commissioner of police since apartheid to pack his bags in ignominious circumstances, following his predecessor, the jailed Jackie Selebi. Meanwhile, as the suspension of the countrys former crime intelligence boss, Richard Mdluli, was once again endorsed by the High Court this week, it became apparent that the long knives are also out for acting commissioner Nhlanhla Mkhwanazi. With Mkhwanazi poised to be sidelined, observers say the national police force is imploding. Describing the situation as a growing crisis, senior police officers and intelligence sources warned that effective safety and security was at a crossroads. It is now high noon for President Jacob Zuma with his police service, said another source.

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Zumas imminent appointment of Nhleko has been made easier by the luxury vehicle controversy presently engulfing Mkhwanazi, the source said. It is alleged that Mkhwanazi authorised the use of R35m from a controversial secret slush fund the Secret Services Account to buy luxury vehicles for the police. This was done to ensure that the budget was spent. The same source told The New Age that Mkhwanazi had made a few enemies with certain factions of the ANC with his no-nonsense attitude in making sure Mdluli remained in the wilderness. Ministerial spokesperson ZweliMnisi said last night that Minister Nathi Mthetwa would not comment.
6 June 2012 Business Day Page 1 Sarah Wild

Teaching must be made essential service

A shortfall in human capital development is identified as the key weakness in SAs national system of innovation Teaching at all levels should be declared an essential public service, according to a report by a ministerial review committee on science, technology and innovation, which Science and Technology Minister NalediPandor will today present to Parliament. A shortfall in human capital development has been identified as the key weakness in SAs national system of innovation. Other recommendations in the report include moving the governments technical and scientific services such as forensic laboratories into science councils; allowing foreigners to compete on an equal footing with South Africans for research jobs, and that the R700m allocated to fund knowledge infrastructure for the next six years be doubled. The 1996 white paper on science and technology envisioned a national system of innovation to move SA from a resource-driven economy towards a knowledge-based one, which would facilitate economic growth, development and employment. "A national system of innovation can only be judged as healthy if the knowledge, technologies, products and processes produced by the national system of science, engineering and technology have been converted into increased wealth, by industry and business, and into an improved quality of life for all members of society," the white paper reads. The report on the ministerial review, gazetted on May 31 and open for public comment until June 31, makes several recommendations to realise that vision.

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"We had to reach beyond the mandate of the Department of Science and Technology to give our best view about how a national system of innovation would work national, not just the department ," ministerial review committee deputy chairman Prof Wieland Gevers said yesterday. "Educating the young people of our country is an essential service, just like health and the police the country has no future unless the basic education (crisis) is solved. (All committee members) are unanimous that basic education is the key national problem. The ability of unions to frustrate that ship should be ended." The Congress of South African Trade Unions (Cosatu) and the National Education, Health and Allied Workers Union said yesterday they would strongly oppose making teaching an essential public service. Cosatu spokesman Patrick Craven said : " We are still a developing country with large levels of unemployment. We have to prioritise our own people." Prof Gevers said while there might be objections to some of the recommendations, "the core of the (proposed) system will certainly go a long way to making us stronger". The main thrust of the review is the recommendation for an independent oversight body, the National Council on Research and Innovation, consisting of representatives of the government, business and research bodies. The committee found that SA had achieved "only very limited" integration and coherence among the various arms of society, research agencies and government departments. "The exclusion of some actors, such as the private sector, or the persistence of insulated silos, for example in some government agencies, contributes to the weakness of the current system," the report reads. The council would determine SAs innovation and research focuses and allocate funding accordingly. The committee recommended the National Advisory Council on Innovation be transformed into an office for research and innovation policy, which would review policy and monitor and evaluate science, technology and innovation players, institutions and agencies in SA. "The present national system of innovation is not a proper system, it is only a part of it," Prof Gevers said. "It should be demand-led and should be systemic, going through every area of the country. "For example, the justice system. It is intolerable that people are sitting in prison for years, waiting for someone to process a blood test. There should be a 24-hour turnaround."

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The committee recommended that while SA developed its own human capital resources, work permit regulations for foreign researchers should be relaxed, allowing them to compete with South Africans on an equal footing. Ms Pandor said yesterday a working group in her department was sifting through the recommendations, the legislative implications, structure and institutional proposals. "Once weve gone through all of that, and given people a chance to comment, then we will indicate to the public what we will do." 5 June 2012 The Times Page 4 Quinton Mtyala

Service-delivery protests overrun Cape Town

CAPE Town experienced its first major service-delivery upheaval this winter with five violent protests at the weekend. Residents of the Siyahlala informal settlement in Philippi near Gugulethu vented their anger when they were told, at a public meeting on Saturday, that electricity could not be installed in their shacks because their homes were situated on privately owned land. The subsequent violent protest saw Lansdowne Road between Gugulethu and Philippi closed to traffic for just over five hours. One person was arrested for public violence. But the City of Cape Town's mayoral committee member for safety and security, JP Smith, blamed the area's ANC ward councillor Thembinkosi Pupa for deliberately spreading incorrect information, leading to the protest. And with most of the city's metro police dispatched to quell the violence, Smith said the protests had displaced the city's stretched resources. "Instead of people getting the policing that ratepayers are paying for, the metro police are at service- delivery protests." Smith said protesters had caused damage to public infrastructure on the weekend, digging trenches in parts of Lansdowne Road, making it impassable for traffic and uprooting traffic lights and poles. "In some cases video footage was taken and in one incident a known city councillor [Pupa] was identified as an instigator," said Smith. Responding to Smith, Pupa said he could not be blamed for the subsequent violence which happened after Saturday's public meeting in the area.

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"The land is privately owned and it's in the process of being transferred. I don't know what he's [Smith] is saying when he points me out as an instigator." Pupa said he was called by the police to "calm down" the tension in the area. The city's mayoral committee member for human settlements, Ernest Sonnenberg, said the Municipal Finance Management Act prevented the council from installing services on privately owned land. He said there was currently a legal dispute between the owner of the land and the department of rural development and land reform over its sale price after the government had offered to buy the area, which would subsequently be transferred to the city. Senior researcher at the Institute for Security Studies Johan Burger said service-delivery protests like the ones in Cape Town happened mostly in winter when deprivation was felt more "vividly".

7 June 2012 The Times Page 3 Andile Ndlovu

Another anthem outrage

Performing your country's national anthem in front of thousands of people sometimes even millions - can be a daunting task. But what happens when you don't even recognise the music that is supposed be your own country's national anthem? The South African women's hockey team looked perplexed ahead of their match against Great Britain in West London on Tuesday when the apartheid anthem, Die Stem, was played instead of NkosiSikekel' iAfrika. The organisers of the Investec London Cup were left red-faced after questions were asked how they played a cut of an anthem that has not been played since the early 1990s. The organisers said they had outsourced the job of looking after national flags and anthems ahead of matches to a private contractor. CEO of Great Britain Hockey Sally Munday apologised to the South African team and supporters via her association's website yesterday. "Standard procedure would be to check anthems to be played with visiting teams in advance. However, on this occasion that did not happen and Great Britain Hockey accepts full responsibility," she said. "Great Britain Hockey and its contractor

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appreciate the sensitive nature of this unfortunate mistake and we apologise unreservedly for the offence caused." SA Hockey Association CEO Marissa Langenisaid : "We have received the apology and a phone call from [Munday] herself and we're happy with [ it] and we've put [the matter] to bed.". The following are some of the biggest national anthem blunders in recent TV history: Christina Aguilera couldn't have chosen a worse time to mess up her national anthem rendition - during the 2011 Super Bowl, which is watched by an estimated 111 million people. Instead of singing: "O'er the ramparts we watched, were so gallantly streaming," Aguilera was heard singing: "What so proudly we watched at the twilight's last gleamin". Steven Tyler, who is paid millions to judge would-be stars on American Idols, remembered the lyrics but sounded like he was being throttled. He waved his hands as if he was drowning as he sang the Star Spangled Banner at an NFL game between the New England Patriots and the Baltimore Ravens earlier this year. South Africans were horrified when RasDumisani butchered the national anthem ahead of a Springbok rugby match against the French in 2009. He blamed the sound system then. Embarrassingly, he went on a radio show and attempted to sing an acoustic version surprisingly managing to sound even worse, mangling the words and sounding as if he had forgotten to take his throat lozenges. Ard Matthews could have called upon auto-tune if he was worried about going offkey while performing at the Supersport studios ahead of the announcement of the Springbok World Cup squad last year. So horrible was Matthews - he even chuckled during the performance - that parliament's portfolio committee on sports and recreation summoned the broadcaster and the SA Rugby Union to a meeting to explain the debacle.
5 June 2012 The Times Page 1 Mckeed Kotlolo, Graeme Hosken and Philani Nombembe

Riot puts spotlight on 'violation' of refugees

A riot at the notorious Lindela Repatriation Centre yesterday has brought into sharp focus the treatment of refugees by the Department of Home Affairs. The Legal Resource Centre, which has litigated successfully against Home Affairs in the past on behalf of refugees, said that every day at least 15 urgent applications were brought before the Johannesburg High Court alone - at huge cost to the government - by detainess who had not

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been released from Lindela within the 120 days stipulated by the Immigration Act It accused the department of "xenophobic tendencies". At Lindela, on the West Rand, yesterday, a protest became violent when guards with batons charged at protesters and fired rubber bullets and tear gas into a crowd. The initial protests at the weekend were led by about 20 refugees who were to have been released from Lindela a week ago. They were instead taken in Home Affairs cars to police stations. An inmate at Lindela who did not want to be named said: "I have been locked up here for more than three months and on Thursday I signed a document that set me free. "Instead of being released together with other inmates, we were taken to different police stations where we spent the night. "The following day the station commander contacted Home Affairs before we were driven back to Lindela." The inmate said the detainees had staged peaceful protests on Saturday and Sunday and had told the guards that they did not want trouble but did want to be released. Another inmate said he had been told on Wednesday that he and others had been held at Lindela for longer than the stipulated four months and were going to be released. "When we left the building, Home Affairs officials put us into a van, saying they were taking us to Home Affairs offices in Pretoria to have our documents fixed. "To our surprise, they took some to Atteridgeville police station and some to Mamelodi East police because it was late and the [Home Affairs] offices were closed. They said we would spend the night at the police stations and in the morning they would take us to Home Affairs for our refugee documentation." The inmate said he spent five days at Mamelodi police station. "Yesterday morning, we were again taken into vans after the officials said we were being taken back to Lindela for a fresh start." Yesterday the inmates asked representatives of the UN High Commission for Refugees, and Home Affairs, to speak to them. But at 8am the guards decided to disperse the inmates. "Several inmates were injured, some were overcome by teargas," the refugee said. About 100 inmates - most of them Congolese, Ethiopians or Somalis - who opposed repatriation to their home countries took part in the protests.

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Home Affairs spokesman ManushaPillai denied that there had been a riot. "According to reports from the head of the Lindela Repatriation Centre there were no riots today [Monday]. "Some of the deportees, however, allegedly attempted to incite others to riot against the department's mandate to deport foreign nationals in breach of South Africa's immigration law," Pillai said. But the Legal Resource Centre slammed the running of Lindela and said an urgent inquiry was needed into the centre, which is run on behalf of the government by a private company, Bosasa. "The centre holds 4000 people, with 2600 on average being held there on any given day," said Naseema Fakir, of the Legal Resource Centre. "Most of them are held in contravention of the Immigration Act. The breach of the act is that most are held longer than the prescribed three months. The excuse for holding people beyond the prescribed [period] is inadequate." Fakir said that though Home Affairs claimed it was waiting for confirmation of refugees' identity from their embassies so that it could be sure that they were to be deported to the correct country the deportations were not made. More concerning, however, was that the department's actions had left it open to a growing number of court cases. Fakir said the urgent applications to the Johannesburg High Court cost the government at least R150-million a year. "Since February, we have secured the release of 26 refugees. The costs are immense, with each application costing R40000 from start to finish." Fakir questioned the outsourcing of the management of Lindela. "There is only one doctor at the centre, with access to proper nutrition, legal representatives and translators being other issues. "We need to know why state functions are outsourced to private companies when the government has a duty to protect the rights of immigrants." In Cape Town yesterday, refugees and asylum seekers protested outside the Maitland Refugee Centre against its imminent closure. Rights group Passop said Home Affairs had not consulted civil society on its decision to shut the centre and that about 40000 people would be deprived of services they desperately needed - and were entitled to. ManushaPillai, Home Affairs spokesman, said the decision had been taken in consultation with the parliamentary oversight committee and others. 5 June 2012

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The Times Page 5 Graeme Hosken

Top cop takes on Ramphele

Freedom Under Law is to fight in the Pretoria High Court today to have charges against embattled police spy boss Lieutenant-General Richard Mdluli reinstated. This comes as Mdluli and his lawyers prepare to challenge his resuspension in the Labour Court in Johannesburg later this month. Mdluli's suspension, rescinded on Friday following an urgent court application, was confirmed on Sunday after the state's lawyers successfully challenged the order as "grossly irregular". Labour Court Judge Andr van Niekerk yesterday ordered Mdluli's lawyer, Graham Moshoana, and state advocate Mandla Zulu back to court on June 21 when the matter will once again be heard. Last month, Freedom Under Law sought a court order to have criminal and departmental charges - which were controversially dropped - reinstated. In a strongly worded affidavit, human rights activist Mamphela Ramphele said the withdrawal of the charges was unconstitutional and unlawful. In reply, state lawyers argued in papers filed last week that the withdrawal of Mdluli's suspension and subsequent reappointment followed proper labour practices. Acting police commissioner Lieutenant-General Nhlanhla Mkhwa-nazi argued in his affidavit that there is a "lack of urgency" around Ramphele's application and that neither she nor the lobby group were entitled to seek the order. Mkhwanazi said he and Police Minister NathiMthethwa were being asked to contravene labour laws. "There is due process, the SA Police Service has to follow before it suspends any of its employees. "What the applicant is asking is that due process provisions of the Constitution, the Labour Relations Act and the Police Act be ignored. I am advised that disciplinary regulations state disciplinary actions against an employee on suspension must be brought within 60 days, failing which the employee must be reinstated ... in this case the period lapsed a long time ago." He says Ramphele's attitude was that Mdluli was not entitled to protection in terms of the constitution and the country's labour laws. "Before this application, the SAPS renewed investigations into certain allegations of misconduct against Mdluli ... who was given notice as to why he should not be suspended."

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Mkhwanazi said Ramphele's attitude was unreasonable as Mdluli had been suspended again. In a replying affidavit, Ramphele said the matter was of "considerable urgency". "It is striking that he [Mkhwanazi] disputes not one of the allegations made by me. There are no grounds to oppose this. In fact, the version reinforces this." She said Mkhwanazi had however acted with urgency to suspend Mdluli because of allegations of unlawful and improper conduct. "The degree of urgency is justified in terms of the controversy surrounding the ill-fated reinstatement," she said. "The urgency sought now is based on the harm caused by the unlawful and unconstitutional decision to withdraw the criminal and departmental charges. "A person holding such rank with considerable authority ... should not perform a single police function while the body of evidence against him ... goes unanswered."

1 June 2012 Business Day Page 1 Mark Allix

Engineers reject state building firm

Consulting Engineers SA says it strongly opposed Human Settlements Minister Tokyo Sexwales plans to create a state-owned construction company TENSION between the government and the building and construction industry ratcheted up a notch yesterday when Consulting Engineers SA said it "strongly opposed" Human Settlements Minister Tokyo Sexwales plans to create a state-owned construction company. The statement by the association for built-environment professionals comes days after black-empowered engineering and construction firm Sanyati Holdings missed publishing its annual results, citing the governments inability to pay its bills on time. However, the sector is still hoping for a slice of the governments multibillion-rand infrastructure spend to revive its flagging fortunes. The industry is in one of its biggest slumps yet. But the Department of Human Settlements denied any decision had been made, despite Mr Sexwale having said last month that his department and the Department of Public Works were considering such a move.

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"The state should not set up structures in competition with the private sector. They should be creating a platform and a conducive environment for the private sector to excel," Consulting Engineers SA president NarenBhojaram said yesterday. "We already have too much political interference in public tenders, whether direct or indirect." The body said it was speaking on behalf of 470 firms employing more than 22000 people. The Department of Human Settlements said it would soon be calling on all role players to discuss how to get the industry to do "the right things". "Thats exactly the debate the minister wants to have," XolaniXundu, head of communications at the department, said yesterday. "There is no decision that has been taken to start a government construction company." He said large construction companies were not involved in the provision of low-cost housing, and the government wanted contractors to partner with smaller firms and upgrade their skills. "The minister raised that issue within the context of the problem the department encounters when it comes to some not all companies that continue to take the government for a ride when it comes to delivery of the (state) housing programme," Mr Xundu said. The construction industry and the government have been at loggerheads since the 2010 Soccer World Cup. The Competition Commissions investigation into claims of market-and price-fixing for World Cup infrastructure is continuing. Consulting Engineers SA said the lack of infrastructure development due to projects not being undertaken, as well as tender processes taking up to three years to materialise, were in large part due to a lack of leadership in government. "At provincial and municipal level, there is a grave lack of general engineering skill. The internal staff are not equipped to produce clear terms of reference or even assess the final tenders due to lack of experience," Graham Pirie, CEO of Consulting Engineers SA, said. "This causes backlogs in the project process and spills over to the overall monitoring of deliverables. "It is time to sort out the corruption and improve the process of procurement in the built environment. The private sector has a great deal of skill and experience and should be encouraged to assist government." The industry body also cited inconsistency in the governments leadership as a problem. Several CEOs, directors-general and top management had been suspended "due to alleged corruption".

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Several listed infrastructure firms have been hit by nonpayment by state agencies. Basil Read, Raubex ,Sanyati and Wilson Bayly HolmesOvcon last month said the Free State roads department had accused contractors of corruption and bad workmanship and refused to pay them. Consulting Engineers SA said yesterday it "strongly disagreed" with President Jacob Zuma s recent statements in Parliament, where he supported politicians being involved in private companies. Trade and Industry Minister Rob Davies said late payment affected small, medium and micro enterprises negatively. "(Such companies) carry the heaviest burden as a result of late payments by government and big business, which creates numerous cash-flow difficulties ." he said earlier this week. Mr Davies said this continued to occur despite "numerous steps" by the government to ensure contractors were paid on time. 1 June 2012 Business Day Page 3 Wyndham Hartley

Rights in SA constitution are all equal

President Jacob Zuma has obliquely defended the position of the government and the African National Congress on the controversial The Spear painting President Jacob Zuma yesterday obliquely defended the position of the government and the African National Congress on the controversial The Spear painting by insisting no single constitutional right trumped any other right. He was also referring to a n accusation during the debate of his budget vote in the National Assembly from Congress of the People leader Mosiuoa Lekota that he had betrayed his oath of office by failing to protect the constitutional rights of the artist Brett Murray, the gallery curator Liza Essers and City Press editor Ferial Haffajee in the furore around the painting. This is the first time that Mr Zuma has even obliquely mentioned the painting which has seen the ANC taking to the streets in protest. However, he did not name Mr Lekota. During his reply to the debate on his budget vote, Mr Zuma used the history of racial dispossession and humiliation of black people to make the point that the scars of the past were still visible in the present, and that the indignity and humiliation of the past had not been eliminated. "Honourable Speaker I am reminding the house of this because we should not lose sight of the fact that this country has a history, a very, very painful history whose deep scars still show. Life did not begin in

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1994. No amount of denial will take this historical fact away," he said. He then moved to reassure the house that all the rights in the constitution would be defended, but insisted that no right was more important than another. "I would like to assure this house that as much as we fought for this freedom and liberated both the oppressor and the oppressed alike, we will defend all the rights enshrined in the constitution including the right to freedom of expression and the right to human dignity. No right is superior to other rights. "In the same vein, we must disabuse ourselves of the notion that certain rights are more important to certain sections of South African society than others. Freedom of expression is as important and as understood and appreciated in Constantia as it is in Gugulethu. "No right is absolute. It must be exercised with due regard to the rights of others. That is the balance we have to strike at all times. Most importantly, as leaders we have a responsibility to live, uphold and defend the constitution regardless of narrow political goals. "No right is so important that it can be used to undermine other rights with impunity." Mr Zuma evoked the memory of Khoisan woman Saartjie Baartman, whose genitals and brain were displayed in a museum in Paris, France, during the 19th century. "Nor do we want to reopen the wounds of the humiliation of Sarah Baartman, who was painfully exhibited in London and Paris, and whose genitals and brain were stored in a pickle jar and shown off in a museum until the administration led by president Mandela demanded the return of her remains for a decent burial." He said SA could not "go back to the period or memory of number four prison", where black men were made to strip naked and perform the "tauza" dance. "We dare not repeat that painful, brutal, primitive treatment of a human being," he said. The government, he said, was working with Austria to bring back the remains of Khoisan people taken there for experiments in 1909. "Already the remains of Mr and Mrs Klaas and Trooi Pienaar have been brought back to the country and we are working on the logistics of the reburial," he said. Austrian scientist Rudolph Poch had taken more than 80 South African human remains to Austria for experiments. The president also chided MPs for their behaviour in the house following the uproar on Wednesday when the opposition called for him to decline a second term in the interests of the country.

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"We need to remember that visitors to this House need to leave with a good impression." 1 June 2012 Business Day Page 4 Wyndham Hartley

Advocates removal delays arms deal probe

Two senior advocates appointed to the commission as evidence leaders and assessors Vas Soni and Sthembiso Mdladla have been removed Another crisis has hit the arms deal commission of inquiry with the removal of two senior officials at precisely the time when the commission called for Parliament to provide it with all the documents and reports on the arms deal in its possession. The news that two senior advocates appointed to the commission as evidence leaders and assessors Vas Soni and Sthembiso Mdladla had been removed is the latest in a number of crises to hit the commission in the first eight months of its life. The first was the withdrawal of Judge Willem van der Merwe shortly after his appointment. About two weeks ago the secretary to the commission, Mvuseni Ngubane, was found dead in his car after apparently committing suicide. The Financial Mail reported on its website that Mr Soni and Mr Mdladla had been removed for reasons that could not be disclosed. Attempts to reach commission spokesman William Baloyi for comment were unsuccessful yesterday. He was quoted as saying the process of finding replacements for Messrs Ngubane, Soni and Mdladla was at an advanced stage and the Department of Justice was assisting the commission in this regard. The FM said it had established that after a routine vetting process, "it was discovered that Soni had failed to disclose that, back in 2008, he had acted for Thint, the local subsidiary of French arms company Thales, in its legal battle against the national director of public prosecutions." Thint, later to become Thomson-CSF, was a bidder in the arms deal and was involved in the charges brought against the former financial adviser to President Jacob Zuma ,Schabir Shaik. The firm featured in the charges of fraud and corruption against Mr Zuma that were dropped before he was elected president in 2009. Democratic Alliance defence spokesman David Maynier said the development was positive but "it does raise a question about why the clearance process took so long and action has been taken so late in the day.

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"I will submit a parliamentary question to the minister of justice, probing what is being done to assist the commission to get off the ground, including appointing new evidence leaders. It is imperative that the integrity of the judicial commission of inquiry into the arms deal should be beyond question," he said. Separately yesterday, a letter from the commissions head, Judge Willie Seriti, was tabled in Parliament requesting Parliament "to provide it with copies of all reports generated by or submitted to Parliament or any of its committees relating to the procurement of the arms that is the subject of the commissions inquiry, prior to and after the acquisition of the military equipment in question; the names and contact details of the members of parliamentary committees seized with the issues relating to the procurement of the arms in question; and the documents and information requested by 15 June 2012".

7 June 2012 The New Age Sapa

Zuma,'Tobias demystified complex science'

Leading South African palaeo-anthropologist Professor Phillip Tobias demystified complex science with a tinge of humour, President Jacob Zuma paid him tribute on Thursday "We have lost a renowned scientist, a scholar and an unique human being. Our country remains eternally proud of his work," Zuma said in a statement. Tobias, who was born on October 14, 1925, died at the Wits University Donald Gordon Medical Centre on Thursday, said Gauteng Tourism Authority spokesman Anthony Paton. "On behalf of [the] government and the people of South Africa, we extend our deepest condolences and may his soul rest in peace," said Zuma. He said South Africa owed a debt of gratitude to Tobias for his successful efforts to have the remains of Saartjie Bartman returned to South Africa from Paris, where they were exhibited as ethnological and sexual curiosities in the 19th century. Tobias led negotiations with France on behalf of the South African government and the remains of Bartman were returned in May 2002, said Zuma. Tobias was "one of Johannesburg's finest and most-revered citizens" said Johannesburg mayor Parks Tau. "He was a world-class scientist; a pioneering researcher and a passionate campaigner for human rights, equality and dignity throughout his illustrious life," he said.

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"Although Prof Tobias is best known for his scientific achievements, he was also a passionate and outspoken critic of the apartheid regime."
1 June 2012 The Times Page 4 Philani Nombembe

Legal challenge to education bungles

Litigation against the Basic Education Department over appalling conditions at schools, and administrative bungles, has mushroomed. The latest legal challenge will be launched by two civil rights groups - the Institute for Accountability in Southern Africa and the Public Participation in Education Network - in the Constitutional Court this year. The groups will apply for a supervision order that would compel the authorities to report regularly to the court on their progress in promoting, protecting and fulfilling citizens' rights to a basic education. Elise Burns-Hoffman, CEO of the Institute for Accountability, said a recent World Economic Forum global competitiveness report said South Africa's education system was among the world's worst 10. "If this does not result in the realisation by every citizen in this country that our education system is spiraling out of control, the inclusion in the criteria of a failed state of the inability to provide basic public services, such as healthcare and education, ought to drive the point home," said Burns-Hoffman. If the order is granted, it will require the state to tackle issues such as poor use of financial resources, the absence of library facilities in more than 90% of public schools, the absence of sanitation and water, schooling under trees, and drug dealing and use at schools. The announcement was after a class action instituted by the non-profit organisation Equal Education, in the Bhisho High Court. The group wants to force the government to comply with the minimum norms and standards for school infrastructure. The organisation painted a grim picture of conditions at schools. Statistics it quoted include: 3600 schools have no electricity; 2400 schools do not have clean water on tap; 22000 have no library or science laboratories; and 11000 schools still use pit latrines. The organisation highlighted the plight of Samson Senior Primary School, in Eastern Cape, where pupils relieve themselves in a field because the toilets are a "health hazard".

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The nearest tap supplying clean water is 5km away. PanyazaLesufi, spokesman for Minister of Basic Education Angie Motshekga, said: "We will be the first ones to be worried if education gets off the rails and no one raises a finger or their voice to say: 'You're taking education off the rails'. "This is because communities are our conscience. We rely on communities to determine the route that we are taking," said Lesufi. "We are not going to stress and have sleepless nights because people are taking us to court. "We welcome this as a way of ensuring that we collectively, as a society, safeguard the quality of our education and ensure that education remains a fundamental right for all our children." 1 June 2012 The Times Page 5 Graeme Hosken

Education system a 'national disgrace'

Collapsing infrastructure, and non-existent laboratories and libraries, have rendered South Africa's education system a national disgrace. With South Africa's 12-year-olds ranked among the worst in Africa in terms of literacy and maths, experts believe a grave disservice is being done to the country's future generations. A Unicef report, A Review of Equity and Child Rights, reveals that, of South Africa's 19million children, 662000 attend neither primary nor high school, and 15% of high school-age children attend primary school, with repetition rates highest in Grade 10 and Grade 11. Matric candidates last year dropped to 496090 from 537543 in 2010, with only 70.2% passing. Though only 104033 matrics passed mathematics and 96441 physical science, Basic Education Minister Angie Motshekga recently said the department was pleased with the improved performance, especially in science. "We, however, remain concerned about the number of passes in maths." Motshekga's comments were made when a school infrastructure report last year revealed the appalling conditions at the country's 24793 state schools. The document highlights Eastern Cape, KwaZulu-Natal and Limpopo as the worst provinces in terms of provision of computer centres, laboratories, libraries and water-supply systems.

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An analysis of the 2011 National Senior Certificate examinations, especially the maths and science papers, paints a grim picture. The document shows that teachers are not covering the entire syllabus, are not teaching in English when exams are written in English, and are not studying further in the subjects they teach. The report said that schools are producing matriculants who do not understand the basics. Educationist professor Graeme Bloch said the education system was a "national disgrace". "What education system? Where is the plan? The government can have a plan for collecting tolls, but where is the plan for addressing the crisis? It is ludicrous." "June 16, where we remember what our young people fought for, is approaching but we are not paying attention to our young people." 1 June 2012 The Times Page 6 Amukelani Chauke

'Jobless on the brink'

Cosatu general secretary ZwelinzimaVavi says the ANC-led government must change its macroeconomic policies because the victims of unemployment, poverty and inequalities are on the brink of losing their patience. Speaking to journalists after Cosatu's central committee meeting in Johannesburg yesterday, Vavi said the trade union federation would ask the ANC at its policy conference to be held in Gauteng later this month to implement radical changes to the economy or face the consequences. He said when people are hit hard by unemployment and poverty, they will forget the ANC inherited the economic crisis from the apartheid government and could abandon the ruling party in desperation for change. He said politicians should stop giving highly polished speeches at local and global summits and implement macroeconomic policy changes contained in the Freedom Charter. "The macroeconomic framework that [the National] Treasury is driving is inappropriate. It will not help us to resolve the crisis of unemployment in the country. "Unfortunately, one day the ticking time-bomb will explode while you are giving that speech. That is what will happen eventually if we don't change the mindset.

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"While we're making a nice speech in a press conference, people will walk in the door and say: 'We are hungry, we are unemployed, we have no houses, we are living far from away our towns with no transport'. "That is what we are trying to avoid and that's why we are calling on our members to change the mindset," he said. "The [problem] is that we have moved away from the radical approach of the Freedom Charter to transform society. "If we continue to carry knives directed at one another, and all of a sudden the people we hate more are not the enemy, then what will happen in this country is what may happen in Greece. "In Greece, post the 2008 crisis, the Socialist Party that was in power was blamed for a ballooning debt and was voted out by the people who had forgotten how that debt became so unsustainable. "They had forgotten it was actually the Conservative Party, which is now positioning itself as a champion of stable economic policies, [that was to blame]," Vavi said. 1 June 2012 The Times Page 1 Sipho Masombuka

600 pupils forced to share two pit latrines

Sedzani Masiphephethu and his more than 600 schoolmates have much more to worry about than just excelling in their studies at Rutandale Primary School. The pupils of this school in Lufule village, outside Thohoyandou about two hours' drive from Polokwane - have to contend with a block of pit latrines that collapsed last year. The ablution block has gaping holes that have not been covered since the collapse, posing a safety risk to the children. Staff at the school say the education authorities have told them not to discuss the collapsed toilets. Their repeated requests for the rebuilding of the ablution block or at least to remove the rubble have fallen on deaf ears. A report released by the Department of Basic Education last year shows vast inequalities in infrastructure in the nine provinces. Western Cape and Gauteng are far ahead in providing infrastructure for their combined 3495 schools; Limpopo, KwaZulu-Natal and Eastern Cape lag far behind. As far as ablution facilities are concerned, Eastern Cape has the highest number of schools still using pit latrines, 3160, followed by Limpopo with 2857 and KwaZulu-Natal with 2834.

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It is these inequalities that are likely to lead to more legal action against the provincial and national education departments. Sedzani's 39-year-old mother, Tondani Masiphephethu, is chairman of Rutandale Primary's governing body. She recently took the department to court with the help of human rights interest group Section 27. The action resulted in a landmark legal battle that ended with a shaming court order that compelled the national education department and its provincial arm to provide textbooks to more than 1.7million pupils in more than 5000 schools by June 15. "This [the toilets issue] was one of two reasons I approached Section 27. But it was decided that the textbooks matter must take first priority. Now that this hurdle is out of the way, we will be going to court to force the department to provide proper ablution facilities to all schools," she said. Section 27 spokesman Nikki Stein confirmed that her organisation was investigating ablution and sanitation facilities. She said its representatives had visited a number of schools in Limpopo and discovered a widespread problem. "All I can say for now is that this is definitely something we are looking into," Stein said. Since some of the toilets at Rutandale Primary collapsed, 12-year-old Grade 4 pupil Sedzani and his classmates have had to share the remaining three pit latrines, using pages of their exercise books as toilet tissue. The collapsed toilet block is about 25m from the open kitchen, where the school's feeding-scheme meals are prepared, posing a further health risk. At Tlakulani Secondary School, in Mninginisi Block 2 village, near Giyani - 50km from Rutandale Primary - 600 pupils share two pit toilets - one for boys, the other for girls. There are two other pit toilets shared by 36 members of the teaching and support staff. MzamaniNkuna, Tlakulani's deputy principal, said the department built a block of 12 flushing toilets 12 years ago but that they have never been used because of a lack of running water. Nkuna said they relied on two boreholes for drinking water and to cook for pupils. "It baffles me why the department built flushing toilets knowing we would not be able to use them without running water," he said. With two blocks of five classrooms each - including two classes that serve as staff rooms - built in 1988, Tlakulani grapples with overcrowding, resulting in some pupils being taught under the trees.

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Nkuna said they were promised brick-and-mortar classrooms in 2004, but the department had yet to deliver. In an attempt to alleviate overcrowding, the department provided five mobile classrooms but the problem persists, with up to 60 pupils sharing one classroom. Morris Ngobeni, secretary of the school governing body, teaches his Grade 11 life orientation class under a tree because the pupils have to make way for their schoolmates, who have to take lessons in the classroom for a different subject. "We're in a very discouraging situation. We're in desperate need of additional classrooms. Although we are grateful to the department for giving us the containers, the need for proper classes remains. This area can get unbearably hot, making it unbearable to teach and learn in the mobile classrooms," Ngobeni said. He said the department should have built a block of classrooms instead of flushing toilets that remain "a white elephant". The school building is dilapidated and floors pock-marked. It also has broken windows and doors. The school's science laboratory has been turned into a storeroom because there is no science equipment. National Association of School Governing Bodies general secretary Matakanye Matakanye said the lack of learning material and ablution and sanitation facilities was a major problem. He said a convention was planned for next month to discuss these issues, which he described as "a gross violation of our children's right to quality education guaranteed in our constitution". "We've conducted research into these problems and it is a terrible situation that needs urgent attention," Matakanye said. He said his association supported Section 27's intention to go to court to force the education authorities to provide proper ablution facilities as the department had a responsibility to provide suitable resources. "This has to go to court because authorities are failing these children," he said. At Hanyani Thomo Secondary School - one of the applicants in the textbook court case - staff would not let The Times team to enter the premises, saying the department had instructed them not to say anything. Deputy principal Ron Tshabalala said: "The department feels we have embarrassed it enough. So, unfortunately, I cannot say anything or let you inside the school. "I do not want to get into trouble."

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The provincial department of education's spokesman, Pat Kgomo, acknowledged the dire state of ablution facilities and that it faced a serious infrastructure backlog. "The infrastructure challenges in the province are well-known. We have said that we have a 20-year backlog on school buildings. "Therefore, the schools mentioned are some of the many in the province that need attention. Ablution facilities are always a priority to the department. [We] are attending to the matter and will be able to assist the school as soon as possible," he said. 6 June 2012 The Times Page 4 SibusisoNgalwa, Canaan Mdletshe and SibongakonkeShoba

'Drop Freedom Charter at your peril'

The National Union of Metalworkers of SA has urged workers to elect an ANC leadership that will support nationalisation, while Cosatu was urged to review its decision not to nominate its preferred leaders of the ruling party. In a frank report on the second day of Numsa's ninth congress in Durban yesterday, Numsa general secretary Irvin Jim said workers had been taken for granted despite their contributions to the ANC's electoral victories . "The leadership to be elected in 2012 across all components of the alliance must indeed champion a radical programme to change the face of South Africa through a revolutionary agenda, and that must be the basis of electing the leadership of Cosatu, SACP and the ANC. "Numsa is going to insist on the implementation of the revolutionary programme of the ANC - the Freedom Charter - and the leadership to be elected in December 2012 must be a leadership that is equal to the task of implementing the Freedom Charter," said Jim. "The revolutionary agenda consists of the equal sharing of the country's wealth, popular nationalisation of strategic economic sectors and a new job-led economic growth path." He said elected working ANC-led delegates should ask themselves whether the ANC leadership in Polokwane had fulfilled their mandate, adding that the class had yet to benefit from the successive post-apartheid governments.

"Once the Freedom Charter and its basic tenets have been dumped, we as a revolutionary formation shall be left with no option but to ask a question ... why must Cosatu call on workers to continue to vote for the ANC if it has taken a decision not to implement the Freedom Charter?

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"Why should black and African workers not simply directly vote for the DA? This particular question does not arise because we are giving up on our ANC, or that we have suddenly become DA supporters, as others may want us to believe. But we are posing this question because the working class deserves better and the ANC must deliver on the expectations of the working class," he said. Numsa, which has been highly critical of the ANC government, has been on the receiving end of harsh criticism by the ruling party's secretary- general GwedeMantashe and the SACP. The Western Cape delegation proposed that Cosatu should revisit its resolution not to propose its preferred ANC leadership line-up for Mangaung. At the same time, the Eastern Cape region called on members not to support the re-election of the current ANC leadership as it had "failed the working class ". The proposals have still to be debated . In his address, President Jacob Zuma said the ANC needed the working class on its national executive committee to steer it away from a "dangerous" direction. "We need tried-and-tested cadres of the working class to be in the national executive committee of the ANC, thus allowing you to influence the direction the government takes. I believe in my humble opinion that our revolution is somewhat [at] a crossroads and the danger is that it might take any direction and not the one that we want. The question that we must all ask ourselves is: are we conscious about it? [A] revolution is made by people, changed by people and sold by people," he said. Zuma said he believed workers had taken their task within the ANC casually, thinking the ruling party would drive itself. He said by its virtue of being a broad church, [the ANC] could be influenced by anybody to a particular direction, for as long as that person was in the majority. 6 June 2012 Business Day Page 5 Nicky Smith

SAA has never been properly capitalised, says CEO

TATE-owned South African Airways (SAA) is looking to strengthen its balance sheet which it says has never addressed the fundamental weakness of the airline, despite repeated cash injections from the Treasury. The carrier wants its balance sheet to be strong enough to allow it to approach commercial lenders as it needed to acquire aircraft or invest in new technologies, SAA CEO Siza Mzimela said in an interview last week.

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"If you look at the amounts of money that have been put into SAA in the past they were never enough. The money that was paid over was not about fixing the balance sheet of the company but it was paid over because there was a crisis or we couldnt pay the bills, the money was only ever to make up the payment gaps." In February, SAA told Parliament that it would need an injection of between R4bn and R6bn from the government in order to recapitalise the airline and fund operations. "SAA has never been properly capitalised and when we say that we need money people immediately think that something has gone wrong. We did a study on our balance sheet which found that for at least the past six years our debt to equity has been too high," Ms Mzimela said. "We want to be able to operate like normal businesses where based on your balance sheet you can go to any financial institution in the country and say that we need to borrow money for this project or something. "We want a balance sheet that allows us to operate properly so if we need something we can go out and get it. We want a situation where we dont always go back to the shareholder because our balance sheet does not allow us to enter commercial agreements with funders," she said. The Department of Public Enterprises is in discussions with the Treasury over supporting SAAs five-year strategic plan that would facilitate this envisaged turnaround, according to Mayihlome Tshwete, spokesman for Public Enterprises Minister Malusi Gigaba . "The recapitalisation issue is an issue Minister Gigaba is addressing with National Treasury and SAA to ensure that the support for the airline is long-lasting support so they dont speak of difficulties in two years time again," Mr Tshwete said. "The department is working very hard on this, we want to find the best answer for this and we do understand the public concerns about a recapitalisation and we want to make sure that the answer we find is a sustainable answer for the business," he said. SAA chairwoman Cheryl Carolus has said the proposed financial support would need to be used to fund SAAs expansion plans which require the acquisition of new and more fuel-efficient aircraft in order for it to compete in an environment of high fuel prices and excess capacity as travel demand has slumped over the past three years. Under the carriers planned fleet renewal, SAA will get rid of all of the short haul Boeing 737-800s by 2017. In the meantime, it has commenced taking delivery of a fleet of its new Airbus A320 aircraft and will receive 20 more of this fuel-efficient plane over the next five years. SAAs long-haul fleet renewal programme includes the replacement of its fleet of long-haul craft with four leases for the Airbus A340, which terminate in the next two years, Ms Mzimela said.

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The carrier expects to report a loss for the financial year ended March 31 as does its subsidiary, the low-cost carrier Mango. Major cost pressures for the company are from airport taxes, air transport navigation services and fuel prices. The carrier had to pay R1,3bn more for fuel because of higher prices in the financial year which ended on March 31 compared to the year before when it spent more than R3bn on fuel. 6 June 2012 Business Day Page 5 Nick Hedley and Khulekani Magubane

SAs failed immigration policies a waste of money

FAILURE by SA to ensure political stability and fair and free elections in Zimbabwe would result in the continued waste of money on immigration control and deportations, which cost South African taxpayers R1,8bn between 2009 and 2010. This is according to a report by pressure groups Solidarity Peace Trust and People Against Suffering, Oppression and Poverty released yesterday. SA, the worlds leading recipient of asylum seekers, has returned to deporting all undocumented migrants including Zimbabweans. This follows the end of a moratorium on deportations and a 12-month special dispensation for Zimbabweans allowing them to live and work in SA. Prof Brian Raftopoulos of the Solidarity Peace Trust said that SA had a "vital" role to play in addressing Zimbabwes political instability, which had prompted mass migrations to the countrys neighbours, particularly SA. "They place pressure on the host nations that they migrate to. However, the legal framework in SA for immigration control and its implementation do not add up," said Prof Raftopoulos during the release of the report in Braamfontein. President Jacob Zuma is chief mediator in Zimbabwe where the main political parties still cannot agree on a new constitution which may pave the way for free elections. People Against Suffering, Oppression and Poverty director Braam Hanekom said while the Department of Home Affairs had policies in place to deal with xenophobia, it had ironically set the precedent for xenophobic attacks in SA by going into job-strapped communities and demanding documentation from non-South Africans. Mr Hanekom said policing services were also being stretched. With officers being under pressure to arrest criminals, the easiest option

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was to arrest foreigners with insufficient documentation rather than tracking down "real" criminals. Prof Raftopoulos said that up to 1,4-million of SAs refugees and asylum seekers were Zimbabwean, representing almost 15% of Zimbabwes population. "With the increasing pressure that this process has placed on SA, deportation has become an instrument used by the government to attempt to deter migration," he said. Mr Hanekom said that when order was restored in Zimbabwe, SA could find itself with a skills shortage as many Zimbabweans held skilled job positions but were likely to return to their country. 6 June 2012 Business Day Page 1 Natasha Marrian

Cosatu set to push for minimum wage policy

Federation also proposes radical overhaul of collective bargaining The Congress of South African Trade Unions (Cosatu) is proposing the introduction of a national minimum wage and a radical overhaul of the collective bargaining system, according to a draft policy document to be discussed at its congress in September. The call was influenced by concerns about a wage agreement in the clothing sector last year, where a Cosatu affiliate agreed new employees could be paid 30% less than the negotiated, minimum wage. It is also part of Cosatus campaign for "decent work", which has led to clashes with its ally, the African National Congress (ANC). The national minimum wage which last year would have been R4800-R6000 according to Cosatus calculations would, coupled with collective bargaining "forge a new wage policy for SA", the document reads. "We are therefore at a strategic crossroads. Either we continue the current approach of trying to win wage battles purely at a sectoral level, with the danger of systematically being driven back, particularly in low wage areas of the economy or we adopt a new approach, which builds on the strengths of a reconfigured centralised bargaining system and combines this with the exercise of state regulation through the implementation of a national minimum wage, and comprehensive social protection," it argued. Minimum wages are established through collective bargaining councils or by the government through sectoral determinations. South African Chamber of Commerce and Industry CE Neren Rau said the proposals did not adequately take into account the structural weaknesses partly responsible for the plight of SAs workers such as skills shortages, lack of economic momentum and labour militancy.

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A national minimum wage was more "interventionist ", which spelled rigidity, when what the country needed was more labour flexibility. Mr Rau warned of "unintended consequences", including a flight by employers to lower wage levels away from higher-salaried, older workers. Cosatu proposed a three-tiered approach the introduction of a national minimum wage; establishment of a "mandatory" centralised bargaining system to replace the current "voluntary" one; and "universal income support" for all adults. "Our departure point is that one national minimum wage has numerous advantages over the current situation, providing it is set at a reasonable level, to improve workers lives," the draft document reads. "It would be comprehensive, clear, simple, and provide a social floor for all. This is in contrast to our numerous, fragmented sectoral minimal wages with massive discrepancies and gaps." The document recommended that if Cosatu endorsed the proposals, it should develop a political strategy to ensure buy-in from the ANC by the end of this year for implementation next year. An overhaul of collective bargaining would include "wall-to-wall mandatory" sectoral bargaining; the demarcation of national sectors; an alignment with developmental strategies, industrial policy, skills, retirement funds; and an explicit mandate to address wage and income inequalities. Labour analyst Tony Healy said yesterday that any minimum wage legislation would affect job creation negatively. Although the proposals were "understandably" in the best interest of Cosatus members the employed it was not in the best interest of the "silent sizeable majority" of unemployed people as it would increase the burden on companies that were hiring. "Minimum wage legislation inhibits job creation and we have a crisis when it comes to unemployment. We should rather focus on removing minimum wage legislation already in place," he said. Cosatu spokesman Patrick Craven said the draft document had been distributed to affiliates for discussion. 6 June 2012 Business Day Page 2 Antony Squazzin and ReneBonorchis

Hawks probe bribery claims in MTN Iran deal

TurkcellIletisimHizmetleri is suing MTN in the US for $4,2bn, alleging the SA-based company bribed Iranian government officials

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THE Hawks said yesterday they were investigating the MTN Group Africas largest mobile phone operator over allegations of bribery related to its Iranian licence. "We can confirm that we are conducting a formal investigation," McIntosh Polela, a spokesman for the unit, said yesterday in a phone interview. After the allegations were examined "we came to the conclusion that we needed to do an investigation," he said, adding that some of the witnesses who may need to be called are outside the country. TurkcellIletisimHizmetleri, based in Istanbul, is suing MTN in the US for $4,2bn, alleging the SA-based company bribed Iranian government officials, arranged meetings between Iranian and SA leaders, and promised Iran weapons and United Nations votes in exchange for a licence to provide services in the Islamic Republic. Turkeys largest mobile phone company said it was initially awarded the licence, which was given to MTN in 2005. "These very serious allegations cannot be investigated by an independent committee within MTN ," David Maynier, a member of the Democratic Alliance, said. "If these allegations are true, they suggest that MTN may have been involved in corrupt activity in trying to secure a mobile operating licence in Iran in possible contravention of SA law," he said. Iran is MTNs second-biggest market by subscriber numbers. The company also owns 49% of MTN Irancell Telecommunications Services, the countrys second-largest mobile operator. MTN said it would continue investing in its operations in Iran, targeting growth of 4-million customers this year. Last year the company raised user numbers in Iran by 17% after it had invested R1,1bn. "Its not great all this smoke and noise around Iran and MTN, but we took a decision to see it through," said Craig Pheiffer, general manager of investments at Absa Asset Management Private Clients in Johannesburg, which has shares in MTN. "The company has still got good upside, earnings growth and dividends. It may stop new investors coming in and the share may not go anywhere for a while, but we like the company with or without Iran." The companys shares fell as much as 1,6% and closed at R134,41 in Johannesburg trade. If MTN is successfully sued and the stock falls, asset managers will have to look at whether the mobile operator has overstepped the mark because of the growing focus on socially responsible investing, Mr Pheiffer said. "Or else itll be a darn good buy."

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MTNs spokesman XolisaVapi did not answer a call to his cellphone yesterday or reply to a voice message. 6 June 2012 Business Day Page 3 Allan Seccombe

NUM berates Numsa for populist stance

NATIONAL Union of Mineworkers (NUM) president SenzeniZokwana yesterday hit out at the National Union of Metalworkers of SA (Numsa) for its damaging, "populist posturing". Mr Zokwana was speaking at a conference to map out scenarios for the mining industry. The countrys number one and two unions are embroiled in a battle for dominance in labour and the ruling partys politics. Numsa has stepped into the gap left by Julius Malema, former head of the African National Congress Youth League, in calling for nationalisation of SAs mines and has adopted a far more radical stance in demanding that the state seize ownership of banks and broader sectors of the economy without compensation. Its general secretary, Irvin Jim, is said to be in the running for election in the event of Congress of South African Trade Unions general secretary ZwelinzimaVavi stepping down. Mr Vavi announced earlier this year he would make himself available for another term, at elections to be held in September. The NUM has about 330 000 members while Numsa draws on workers in metal fabrication, and has about 300 000 members. The NUM, which is fighting a losing battle on platinum mines to retain members in the face of an aggressive entry by rival union Amcu, is opposed to nationalisation, cognisant of the damage it will cause to investments in mining. Instead it wants a greater role for the state in the sector, Mr Zokwana said at the two-day Mining Lekgotla organised by the Chamber of Mines. "We dont believe nationalisation is the panacea to all our problems. We tell those who call for it that theyre only playing with the aspirations of people and their frustrations, using a populist agenda rather than being real," Mr Zokwana said. The NUM would rather see the state become involved in strategic minerals such as coal, platinum and uranium, taking stakes in large companies operating in those sectors, as well as a strong push to industrialise the South African economy by insisting on beneficiation, he said. "If Numsa was clever theyd see that call as building their own industry. I dont know why they want to strangle that which is alive for what they think may come later," he said.

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Mineral Resources Minister Susan Shabangu said in a speech delivered on her behalf that the infrastructural constraints that had been partially to blame for SA missing the commodities boom between 2002 and 2008 were being addressed, with huge investments scheduled for Transnet and Eskom. "I am convinced that, as the binding constraints on the operational side of the industry ease over the next year or two, South African mining is destined to regain its competitiveness," she said. On the first day the conference, designed to feed into an informed debate at the ANCs policy conference later this month by highlighting the difficulties facing the mining sector, appeared to be little more than a talk shop, with much of what has been said in numerous other forums being reiterated. Neville Nicolau, CEO of Anglo American Platinum, said real issues had to be discussed and addressed to make the conference worthwhile. "Honestly, in the next couple of days we need to put on the table what the real issues are, speaking about what is good is not going to take us anywhere. Addressing what the problems are will take us forward." He raised the question why SA, with the worlds richest endowment of mineral wealth, was rated 54 out of 93 as a mining destination. He blamed an electricity shortage, and the calls for nationalisation. "The problem is that the nationalisation debate was the solution to the problem which has not been addressed in this country. The problem is the unemployment of youth it is a real social problem which needs to be addressed. Its not going to be addressed by taking more money from the mining industry, but by putting people into meaningful employment," he said. Mr Zokwana said: "We want this to be a homegrown debate by industry, labour and government and it gives us a rare chance to look at ourselves and what could be done." Prof StephaneGarelli, from the International Institute for Management Development and the University of Lausanne in Switzerland, said imaginative solutions were needed to ensure there was meaningful change in the South African mining sector, rather than rehashing old theories and concepts. 6 June 2012 Business Day Page 3 Edward West

ANC is in trouble and masses leaderless, says Numsa

The assessment by the countrys second-biggest union will set it up against the ANC

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The African National Congress (ANC) was in trouble and a dearth of leadership had left the masses leaderless, National Union of Metalworkers of SA (Numsa) general secretary Irvin Jim said in a report at the unions conference in Durban last night. That assessment by the countrys second-biggest union will set it up against the ANC, especially against those who are campaigning to have President Jacob Zuma elected to lead the party and the government for a second term. "Our honest view is that the movement of Oliver Tambo is in trouble", because it had failed to produce cadres who have "revolutionary consciousness to serve for no material gain", Mr Jim said. "We cannot continue with the current situation where the masses are leaderless." Mr Jim said the ANC was failing to produce "revolutionary cadres" because of the countrys capitalist system, which he said bred corruption. Numsa has been critical of the ANCs policy direction as it tries to pull the Congress of South African Trade Unions (Cosatu) and the ANC towards more radical and left-leaning policies such as the nationalisation of mines. It would also like to see the Reserve Bank coming under more political control and for it to drop inflation targeting as its main tool. Numsa is associated with ANC members who want Mr Zuma replaced in December. Mr Jim said the party had a duty to look after the workers and the poor, who were its primary support base. "Numsa is going to insist on the implementation of the revolutionary programme of the ANC, and the leadership elected in December must be a leadership that is equal to the task of implementing the Freedom Charter," he said. Speaking at the conference earlier yesterday, Mr Zuma said the "revolution is somewhat at a cross-roads," and that organisational renewal was paramount in the lead-up to the second transition the stage after the first two decades of democracy, during which the ANC wanted to speed up social and economic change. He said while the ANC had done well since 1994 in creating peace, stability and democratic institutions, and in the delivery of some basic services, backlogs were big. "For economic transformation, the state could not be a bystander and should participate and play a central role in the economy," Mr Zuma said. He urged union members to become more involved in the ANC and to participate in its decision making. "We need tried and tested cadres. Other people think that within 18 years we should solve the problems of three centuries, but I dont think it is possible," he said. He said the ANC was a "broad church" and the organised working classs long-term goals would not necessarily be met unless they were part of the ANC.

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Mr Zuma had in recent weeks tried to charm the unions, calling on them to push their most senior leaders to serve on the ANCs national executive committee. Cosatus general secretary, ZwelinzimaVavi, turned down serve on the executive in 2007, and was still reluctant post in the ANCs highest committee. Mr Vavi is popular like Mr Jim, he is associated with the group that wants change in the ANC. a nomination to to take up the in Numsa, but leadership

It is unlikely that Numsa would back Mr Zuma for a second term, especially as he and Mr Vavi do not see eye to eye.

8 June 2012 Mail and Guardian Sam Sole

Mdluli meddling exposed in prosecutor's attack on NPA

Senior prosecutor Glynnis Breytenbach has accused the NPA of suspending her in a bid to stop the prosecution of Richard Mdluli. Sam Sole reports. Advocate Glynnis Breytenbach has launched a devastating attack on the acting national director of public prosecutions, Nomgcobo Jiba, accusing her of acting with an ulterior purpose in suspending her, allegedly to stop the prosecution of crime intelligence supremo Richard Mdluli. Breytenbachs allegation forms part of a challenge to her suspension lodged a week ago with the Labour Court in Johannesburg. Breytenbach was suspended by Jiba on April 30 this year, purportedly in relation to a complaint about her conduct in the prosecution of Imperial Crown Trading (ICT), the company accused of fraud and forgery in its battle to secure mineral rights over the giant Sishen iron ore mine. Her [Jibas] real purpose was to stop me from prosecuting a senior police officer, Lieutenant General Richard Mdluli, on charges of fraud and corruption, said Breytenbach. She used the ICT complaint against me as an excuse to suspend me. The National Prosecuting Authority has denied that the disciplinary steps against Breytenbach have anything to do with the Mdluli matter. Public scrutiny Breytenbachs court papers deliver an indictment of the prosecuting authoritys two key decision-makers in the Mdluli matter Jiba and advocate Lawrence Mrwebi both appointees of President Jacob Zuma.

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Breytenbachs application signals that judicial and public scrutiny of the Mdluli scandal will expand to the prosecuting authority, notably through allegations of improper decisions by Mrwebi, supported by Jiba, to withdraw charges against Mdluli. It comes in the week North Gauteng High Court Judge Ephraim Makgoba delivered a hammer blow to attempts to politically manage the police side of the Mdluli investigation. Makgoba granted an urgent application by lobby group Freedom Under Law for Mdluli to be interdicted from carrying out any functions as a police officer. Mdluli will be barred from office pending a full judicial review of the various decisions to abandon corruption and murder charges against him, to terminate internal police disciplinary steps against him and to reinstate him as head of crime intelligence. Now Breytenbachs application has added fuel to Freedom Under Laws fire by providing a detailed account of the way in which Mrwebi and Jiba appeared to bend over backwards to protect Mdluli. The Breytenbach documents reveal that: The stated basis for Breytenbachs suspension was that she had abused her authority in the ICT case. It was based on a complaint laid by ICT lawyer Ronnie Mendelow in a letter dated October 31 2011, but she was suspended only six months later, after she had come into critical conflict with Mrwebi and Jiba over the Mdluli prosecution. Mdlulis attorneys delivered representations by hand to Mrwebi in his capacity as national head of the Specialised Commercial Crimes Unit on November 17 2011, although he had not yet been appointed to that post and was officially appointed only on November 25. Mrwebi forwarded the representations to Breytenbach on November 21, requesting a full report by the 25th. The representations were based largely on what Breytenbach dismisses as wild and unsubstantiated allegations of a conspiracy by the Hawks and police management to falsely implicate Mdluli in the 1999 murder of his former lovers husband and subsequently to nail him for taking a personal benefit from cars purchased by the crime intelligence secret fund. The latter formed the basis of the corruption case Breytenbach intended to prosecute. Much of the evidence for this conspiracy is drawn from affidavits by three crime intelligence agents and Mdluli himself. They repeat what Colonel Ronnie Naidoo of crime intelligence told them at a meeting with Mdluli at the Emperors Palace casino on October 27 2011, while Mdluli was ostensibly suspended. Naidoo reported to Mdluli that Hawks boss General Anwa Dramat and senior generals Mzwandile Petros and Godfrey Lebeya had begged national commissioner BhekiCele to dismiss Mdluli before Cele himself was suspended.

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It appears these same affidavits were attached to Mdlulis November 3 letter to Zuma, in which he made the same conspiracy allegations. In overturning Breytenbachs decision to prosecute Mdluli, Mrwebi claimed to have consulted with the North Gauteng director of public prosecutions, advocate SibongileMzinyathi, as required by law, but this has been denied. Breytenbach alleged: I later understood from advocate Mzinyathi that advocate Mrwebi had merely mentioned to him that he was considering the charges against General Mdluli and did not consult him on their withdrawal. The sole reason Mrwebi advanced for his decision was that, in his view, the investigation of the corruption charges against Mdluli was the exclusive preserve of the inspector general of intelligence (IGI), an argument not contained in the representations from Mdlulis lawyers. Breytenbach noted: My understanding all along was that, contrary to advocate Mrwebis assertion, the IGI did not regard it as her function to undertake any criminal investigations. She confirmed as much in a letter to the acting national commissioner dated March 19. In that letter, the inspector general stated: The mandate of criminal investigations rests solely with the police. As such, we are of the opinion that the reasons advanced by the NPA in support of the withdrawal of the criminal charges are inaccurate and legally flawed. When Breytenbach conveyed the inspector generals letter to Mrwebi, his response was to demand to know why his confidential memorandum on the withdrawal of charges had been disclosed to the inspector general. In an extraordinary outburst, Mrwebi wrote back to Breytenbach: The view of the IGI, following your solicitation of her opinion on the NPA decision on the matter, based on a document which the police or anybody else was not even legally entitled to possess, is for your consumption and does not affect the decision That decision stands and this matter is closed. Breytenbach commented: This response ... was, with the greatest of respect, wholly irrational. When Breytenbach and a colleague prepared a detailed appeal to Jiba to reconsider Mrwebis decision, it appears Jiba was content to let Mrwebi respond. That response makes it clear Mrwebis real reason was his acceptance of Mdlulis conspiracy claims, relying on additional secret evidence. Mrwebi wrote: Having been provided with further information on the matter and having been privy to other classified, confidential and high-level discussions with police management, I am concerned that our actions in the matter may be interpreted, justifiably, as amounting to serious abuse of the legal process and as being motivated by ulterior purposes. It is my considered view that it will therefore not be in the interests of justice for the NPA to be further involved in this matter. Concluding that her suspension is unlawful, Breytenbach stated: I submit that the ineluctable inference from the history of my suspension is that its purpose is to

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remove me from office and so prevent me from proceeding with the prosecution of General Mdluli. The authority will oppose her application, but has yet to file its response. The two interlinked cases Freedom Under Laws high court review and Breytenbachs labour court challenge threaten to expose direct political meddling in decisions about Mdluli. Government may attempt to manage the fallout by appointing a new national commissioner and has already launched a ministerial task team in an apparent attempt to bolster Mdlulis conspiracy claims, but the Mdluli tsunami seems unstoppable.

8 June 2012 Mail and Guardian Charles Molele

Manyi to get the chop

Jimmy Manyi, the chief executive officer of GCIS, is on his way out and his threeyear contract will not be renewed, writes Charles Molele. The Mail & Guardian has reliably learned that the controversial government spokesperson received a letter from Performance, Monitoring and Evaluation Minister Collins Chabane last week, which stated that his contract will not be renewed when it comes to an end in August. Manyi joined the government in August 2009 as director general of the labour department under then-minister Membathisi Mdladlana. He has received a letter [from Chabane] and his deputies know about it. Effectively, he has been sacked from the government, in particular for repeatedly making embarrassing remarks, a government official familiar with the circumstances told the M&G this week. Cabinet ministers complained a lot about him due to his communication skills. He is abrasive and has not assisted government to properly communicate its decisions to the public, the source added. Thoughtless Another government insider said Manyis departure was due to him angering several Cabinet ministers with thoughtless remarks, especially his recent utterances that the public should accept the Gauteng highway e-tolls because they were not just a bad dream, but a reality.

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It is understood that following the e-toll remarks, some Cabinet ministers approached Chabane and complained about Manyis statement, saying it gave the impression that the government did not care about concerns from road users and the public.

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7 June 2012 Cape Times Page 1 Solly Maphumulo

Police force meltdown

The South African Police Service has landed itself in another financial crisis this time over R35 million spent on a fleet of luxury cars. A secret report is to be handed to the joint standing committee on intelligence alleging that acting national police commissioner Lieutenant-General NhlanhlaMkhwanazi authorised the taking of funds from the controversial Secret Services Account (SSA) for operational expenditure in direct contravention of the Secret Service Act 56 of 1978. This was to ensure that budgeted funds were spent, even though not in the way they were intended. According to the report, this was done after a decline in the operational spending patterns of crime intelligence due to infighting within the SAPS. Crime intelligence had been allocated R98 million for expenditure and had spent about R60m over the first three quarters of the 2011/12 financial year. Then in the last quarter about R35m was spent. This is evident that they just wanted to spend the budget, the report reads. The money, the report indicates, was used to buy vehicles for other police units, including Mkhwanazis erstwhile command, the polices amaBarette or Tactical Response Teams. The fund, which was controlled by suspended police crime intelligence chief Lieutenant-General Richard Mdluli, has been in the news recently after allegations that Mdluli plundered it to pay his wife, girlfriends and relatives salaries as police informants, give them cars and accommodate them in safe houses to the tune of millions of rand. Yesterday Mdluli lost his bid to have his suspension lifted, as President Jacob Zuma fired national police commissioner Bheki Cele for his role in the Roux Shabangu lease scandal which cost the police R1.6 billion over the leasing of buildings to be used as national and provincial headquarters. Celes predecessor, Jackie Selebi, is serving a 15-year sentence for corruption in Pretoria Central. It is understood that the acting Divisional Commissioner of Crime Intelligence Fannie Masemola went on a spending spree, acquiring 140 luxury vehicles, among them BMW X3s, Audi Q5s, the latest Jeep SRTs and the latest BMW 320 models.

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The Cape Times sister newspaper, The Star, has seen documentary proof of the transfer of at least five luxury vehicles from Crime intelligence to Operational Response Services between January and February. The vehicles were a Mercedes-Benz ML350 CDI, two Jeep Grand Cherokees, a Mercedes-Benz C300 and a Toyota Lexus 350 RXI. The top secret document to be presented to the parliamentary committee claims: The allocations for capital expenditures and goods and services for the financial year were adjusted to ensure the Division: Crime Intelligence goes on a spending spree to show National Treasury, the auditor general and the joint standing committee on intelligence that they had proper budgetary measures in place. This is a farce as it was actually contrary. The operational budget for goods and services could not be utilised and the current acting management actually committed a serious financial misconduct by shifting vast sums of money to the capital expenditure, the document reads. The report continues: Out of this capital expenditure of R98m, R81m was blasted on vehicles. The sad part is that they spent R35m in the last quarter. This is evident that they just wanted to spend the budget. When The Star sent inquiries to Mkhwanazis spokesman, Brigadier Lindela NATIONAL Police Commissioner General Bheki Cele will soon possibly as early as today become the second consecutive police chief to leave the service in disgrace. Three police sources have confirmed to Independent Newspapers that Cele was informed of his imminent axing yesterday, but that the official announcement which was supposed to have taken place yesterday had been postponed at the eleventh hour. The sources confirmed that Cele had been instructed to vacate his office and that his replacement was due to report for duty on July 1. President Jacob Zuma may have delayed the announcement following fresh developments in the Pretoria High Court yesterday afternoon in which now-you-seeme-nowyou-dont crime intelligence boss, Lieutenant-General Richard Mdluli, was barred from performing any duties in the police. An announcement of Celes dismissal on the same day would have come as a severe body blow to an already punch drunk police service reeling under claims of political interference in internal police investigations, ongoing turf wars and allegations of a spillover into the police of party political manoeuvring in the run-up to the ANCs elective conference in December. Presidential spokesman Mac Maharaj said last night: All I can say is that the president will make known his decision when he is ready to do so. A board of inquiry appointed by Zuma to determine whether Cele was fit to hold office recommended last month that he be fired. It found that, in pushing for the

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police and public works departments to lease the overpriced buildings of businessman Shabangu, Cele had acted dishonestly and with an undeclared conflict of interest. (T)he board is duty bound to recommend that the president orders his removal from office. The evidence proved abundantly that there was a questionable relationship between (Cele) and Shabangu and between Shabangu and the officials within the Department of Public Works, on the other hand, as well as between (Cele) and some members of the SAPS, chairman Judge Jake Moloi concluded. This followed similar findings by Public Protector Thuli Madonsela last year. Her investigation concluded that Celes involvement in the leasing scandal was improper, unlawful and amounted to maladministration, prompting widespread calls for the generals head to roll. But Cele was suspended, pending the outcome of the board of inquiry. Cele could not be reached for comment last night. There has been mounting speculation in recent weeks that Zuma may replace Cele with advocate Nathi Nhleko, currently the director-general in the Department of Labour and an old colleague of Zumas. However, Maharaj last week dismissed these rumours. 7 June 2012 Business Report Adriaan Groenewald

Top two speak on status and service

In analysing Deputy President Kgalema Motlanthes leadership approach, many have referred to him as a uniting alternative to President Jacob Zuma. It would be amiss of this national leadership platform, therefore, to not attempt some form of leadership review of these two men, especially after they both accepted an invitation to talk to the Business Report Leadership Platform. The two are ideally positioned for a race to what is possibly the most powerful leadership position in the country that of president of the ANC, and by default president and chief executive of South Africa. The views raised are done against a backdrop of the deep rooted culture and philosophy within the ANC-led Alliance that leaders who nominate themselves for the top job automatically fall by the wayside. Ideally nominations should come from ground level, without any campaigning from potential candidates. Of course in practice one notices some deviation from this philosophy, ranging from obvious to clandestine. Both are steeped in ANC culture: Zuma and Motlanthe are both steeped in ANC culture, confirmed by their approach to the succession battle where neither of them are campaigning openly for it, on face value at least. One also senses their attitude

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towards authentic ANC philosophy in their responses to questions, where in several instances answers have the same flavour. It requires an effort to read between the lines when they comment, and watch their behaviour on another level, to be convinced of seemingly insignificant differences as leaders. An evident example are their responses towards the Julius Malema challenge. While these had the same flavour, based on Motlanthes response (see Q&A) he placed more emphasis on the principle of actual consistency more consistent feedback and corrective guidance or coaching should have been the order of the day. Trust and respect: Low levels of trust and respect for Zuma may have been his greatest barrier during his presidency. In another article we stated: Lets be frank for a moment, he (Zuma) was always going to face an uphill battle as president, because of his past that includes unresolved accusations and moral indiscretions, and the fact that many believe (rightly or wrongly) he was placed in this position mostly to serve the agenda of certain stakeholders, which at one stage included a plan to get rid of former president Thabo Mbeki. Because of this background there seems to be an inherent distrust of his motives by many South Africans. The media, probably because of its past rivalry with him and the general public who refuse to give him any space or time to make decisions. If he had no baggage and entered his position with widespread respect and then led the way he currently does, collectively South Africans may have trusted him more and perceived him as a much stronger and favourable leader. In the case of Motlanthe, at this stage there exists only unsubstantiated rumours regarding controversies in his past from Chancellor House dealings to business dealings by his partner Gugu Mtshali which he defused very effectively, hence one may find a higher level of trust and respect for him. Should he make the same decisions Zuma made, at the same pace, in theory there would be more patience, understanding and acceptance directed towards him. For both leaders their behaviour is probably regulated by at least two compasses: a deep loyalty to the core of what the ANC is really about and their values formed from childhood, mostly with a Christian foundation. Two questions arise. Firstly, who has managed to navigate their actions and motives closest to both these compasses? Secondly, whose behaviour has been the most congruent? It is such a perception, and at times fact, that regulates the level of trust between leader and follower. Managing power: How leaders perceive and deal with power is a key element of their make-up and success, especially in politics. Without exerting power of some kind, positive movement cannot happen. On the other hand, exerting power unfairly results in resentment and negative reactions. Motlanthe seems to have illustrated an exceptional strength to resist the temptation of allowing power to become his master. Most leaders cannot shun its addictive influence. In the context of the political environment where egos, seeking and holding on to power seem inevitable, to have been a caretaker president of a country

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for almost a year and then to step down to the deputy president position cannot be made to look easy by many individuals. Motlanthe explains it as follows: For me its not that these things are about status being president is not about status, its about being in a position to serve. This is of course what most leaders in his position say, as did Zuma. Motlanthe expands further: You get to become president because you have tried your hand in everything and have succeeded in life and you now come to plough back to the nation and society at large. In Motlanthes view, by the time a person gets to the stage of being president of a country, he should be beyond being driven by personal ambition. One of the practical ways for him to avoid becoming too attached to the position, its power and other perceived physical benefits is as follows: My own approach is like this residence here, its not my home I know exactly where my work station is, my office, my bedroom and where I eat the rest of the house doesnt interest me at all. In our work, we have put this crucial observation across: Wise leaders understand the difference between legitimate use of power with and power over. Power with is applicable in our relationships with other people. It means that we exert all our experience and authority to support, understand, respect, motivate and move people around us by exerting power with them. As a general rule, wise leaders do NOT exert power over people, because it brings out the worse in others. Power over should be exerted in a leaders relationship with ideas, concepts, physical things and negative habits that prevent him from achieving his potential. Zumas collaborative leadership style, which we have analysed in great detail, seems to embrace the power with mindset: My philosophy is I should lead in the collective, consult as I think it is important. At times people want to know why I consult so much. It is absolutely important to take everybody on board, Zuma said. There could, however, be a question mark around his application of the power over principle; especially as far as the perception many have about his inability to exert power over certain behaviours, especially moral indiscretions. Motlanthe also seems to strive to exert power in the correct way. He attempts to have power over the physical benefits of his position and the natural inclination to become too attached to the feeling or even illusion of power. And, he illustrates a power with attitude in his views when he explains leadership is about achieving results through others always it cant be any other way. Decision-making and decisive in process: Both Zuma and Motlanthe are decisive in process leaders, usually a spin-off of a clear power with attitude. As mentioned previously, this means the leader trusts the process that leads to a more comprehensive solution and always attempts to see the bigger picture. He consults widely to get buy-in. Such a leader is more concerned about doing what is right than being perceived as decisive. This is a leader that really covers all angles before

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making a decision. The disadvantage of this approach is that decisions do take longer, but in theory they are correct more often than not. The difference comes in the foundation upon which the decisive in process philosophy is built, and the most solid foundation is that of trust and respect. A given is, of course, that the leader must earn the respect and realise at all times that every action, every movement he makes, every word he utters, or word he does not utter, impacts on the perception of whether he truly lives and breathes the vision. Projecting humility: Zuma and Motlanthe project a certain level of humility and ability to make others feel comfortable in their presence. What stood out, however, was the way in which Motlanthe did it. Following a few pictures by BR photographer Simphiwe Mbokazi, he commented that no one ever takes pictures of the photographer and then persuaded him to part with his camera, so that he (Motlanthe) could take pictures of him (the photographer). It was a pleasant touch that seemed to be spontaneous. Also, at the end of the conversation Motlanthe sealed the comfortable conversation, the perception of his humility and his respect for all people with a personal accompaniment to the front door. Battle of motives: An important factor in this race could be a battle of motives between loyalties towards the cultural philosophy of how a leader should be chosen, versus the level of determination (ambition) for the position, with a resilience and streetwise ability to work around the age old practice, without being disloyal to personal and organisational values. We wrote before that Zuma is exceptionally resilient with a proven track record of overcoming any obstacle thrown at him, which means if anyone can turn around a situation that gained momentum in the wrong direction, then he can. It could very well be that it wasnt only his resilience that ultimately got him in the top position, but that it was also the resolve by top leaders within the organisation to appoint him at any cost. We further added that to recover from a legacy that has marred the trust/respect relationship, he would have to do the following: Make correct and values driven leadership decisions; ensure his (following) behaviour matches the values of his followers and what he promotes in word; confront the past perceived out of line behaviour head on; put in place a more exciting, inclusive and forward looking vision that ensures a legacy that all South Africans can buy into. However, he cannot afford another corruption charge or be the accused in a rape case or be engaging in behaviour that many South Africans may believe to fall in the category of infidelity. He must stay clean, because such acts send a message of a lack of integrity even to those that may agree with his moral or traditional values. In some cases he has succeeded, while in other instances a perception exists that he hasnt.

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Aura of integrity and positive sentiment: From previous writings the reader will gather that in analysing Zuma one has to recognise that many people are always critical of him, even when he portrays effective leadership. However, one also cannot ignore the fact that the aura of integrity shines much brighter around Motlanthe than it does around Zuma. Recent approval ratings by TNS Research and an online survey among younger South Africans indicate more positive sentiment towards Motlanthe. In a world where the trust deficit between political leaders and their followers seems to grow alarmingly fast, South Africa needs a leader that will have the collective trust and respect of citizens; someone that generates positive movement and whose deeds are congruent with his words. Although this is a reasonable expectation, strangely it is starting to feel more difficult to achieve in todays morally declining world. 7 June 2012 Business day Page 1 Mariam Isa

State cannot build cheaper Manuel

Planning Minister Trevor Manuel questions Cabinets controversial decision to veto deal between Telkom and South Koreas KT Corporation IT IS a mistake to assume that the state alone is responsible for improving infrastructure and can deliver it more cheaply than the private sector, says Planning Minister Trevor Manuel . He questioned the controversial decision by the Cabinet last week to veto a deal between Telkom and South Koreas KT Corporation, which would probably have resulted in lower data prices for consumers. Deputy President Kgalema Motlanthe on Tuesday praised South Korea for propelling itself into the top-eight richest economies in the world by setting up a knowledgebased economy. "Even when lucrative offers are on the table we seem not to be able to utilise them," Mr Manuel told a conference yesterday organised by the Bureau for Economic Research. "We think we as a state can deliver more cheaply than the private sector." KT was set to buy a 20% stake in Telkom for R3,3bn a badly needed cash injection for the ailing company but that would have diluted the governments 39,8% share in Telkom. Mr Manuel said capacity was a "fundamental challenge" in implementing the plans to upgrade SAs infrastructure.

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The government aims to spend R845bn over the next three years to improve roads, railways and ports, increase power supply and improve social infrastructure. "This notion that the state should be responsible for delivery ... is a non-starter. If we want transformation, a lot will emerge from partnerships (with the private sector)," Mr Manuel said. His comments are the strongest acknowledgement yet by a Cabinet minister that the government lacks capacity to deliver on its infrastructure plans. Last week, Transnet CEO Brian Molefe said that possible capacity problems were one of the threats to the groups R300bn investment programme. Grahame McCaig, MD of construction and engineering group Aveng Grinaker, told the conference he was "shocked" by the dilution of skills when he returned to SA after an 18-year absence. "Its not just general management skills but trade skills ... manufacturing and construction productivity are going down. "We need people who can use their hands ... its not just a South African issue, but it needs to be addressed very urgently." Mr McCaig said more than 80% of his firms R34bn turnover in the financial year 2010-11 was generated by private sector projects. Lack of engineering skills in the government and municipalities was responsible for the lack of public sector participation. A Presidential Infrastructure Co-ordinating Commission study released last month counted 5515 engineers in the public sector. Mr Manuel said infrastructure should be paid for by its users, although the state had a role to pay in "lengthening the payback period". But the poor should be shielded from this, he added. He was critical of the idea that high wage settlements would boost demand, saying they would only lead to greater poverty and inequality. Finance Minister PravinGordhan has pledged to keep public sector pay rises in check this year, but unions are already threatening action as their demands are not being met. Global rating agencies have warned that the outcome of the negotiations could affect SAs investment grade credit rating. It was "necessary for the state to have the best sovereign rating that it can", Mr Manuel said. 7 June 2012 Business day Page 3 Ernest Mabuza

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Court lays down law to SAPS on Mdluli

Richard Mdluli is caught up in the ANCs succession battle, amid allegations that he was serving President Jacob Zumas interests SUSPENDED police crime intelligence head Richard Mdluli has been interdicted from performing any police function pending a judicial review of the decisions that led to criminal charges and disciplinary proceedings being dropped and his being reinstated in the South African Police Service (SAPS). Lt-Gen Mdluli is caught up in the African National Congresss (ANCs) succession battle, amid allegations that he was serving President Jacob Zuma s interests. A report he wrote last year alleged that some leaders of the party were plotting to remove Mr Zuma as president of the ANC at the end of the year. Mr Zuma denied receiving the report. The North Gauteng High Court said yesterday the SAPS had a duty to act decisively and promptly when allegations of criminal conduct were made against any of its members. It said Lt-Gen Mdlulis presence in the service while these serious allegations remained unresolved would erode the functions he and the police were entrusted to perform. "It would be unconscionable that ( he) continue with his duties with those allegations still looming," Judge Ephraim Makgoba said when he granted an order in favour of the lobby group Freedom Under Law. He interdicted acting police commissioner LtGen NhlanhlaMkhwanazi and Police Minister NathiMthethwa from assigning any function or duty to Lt-Gen Mdluli. The judge ordered the two generals to pay the costs of the interim application. Judge Makgoba said the continuing public controversy and its effect on the integrity of the police service and its ability to fight crime, coupled with the risk that Lt-Gen Mdluli might at any time be permitted to resume his duties, were sufficient to find that there was a reasonable apprehension of irreparable harm. The judge said allegations against Lt-Gen Mdluli were no ordinary allegations of misconduct. "Murder, defeating the ends of justice, fraud and money laundering are serious criminal acts which go to the fabric of public order and security." Lt-Gen Mdluli, who was appointed head of crime intelligence in 2009, was suspended last year after being charged with murder and kidnapping. Further charges of fraud, corruption, theft and money laundering were brought in September. However, all charges were withdrawn and disciplinary proceedings halted. He was reinstated as head of crime intelligence in March.

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Judge Makgoba said it was unfortunate there had been allegations of political interference and that these allegations had not been disputed by Lt-Gen Mkhwanazi. He said Lt-Gen Mdluli had been suspended before, and his suspension had been lifted without any disciplinary action being finalised. The judge said the argument that the order would be academic since Lt-Gen Mdluli had already been suspended, missed the point. "(Freedom Under Law) does not seek an order for suspension. Instead it seeks to prevent (him) from working, with a view to preserving the integrity of the investigations into allegations against him and the functioning of SAPS." The Democratic Alliance (DA) said the judgment ensured that both the public interest and the rule of law reigned supreme. The party concurred that the allegations of fraud, murder and theft were not "normal allegations" and that they eroded trust in the police service. "The public has for the better part of a year been faced with continuous revelations of how the alleged conduct of Mdluli and the reported involvement of senior politicians have damaged a number of key state institutions ," said DA spokeswoman on police Dianne Kohler Barnard.
6 June 2012 The Times Page 2 Thabo Mokone

Stop this bioscope now, MPs tell police top brass

Acting national police commissioner NhlanhlaMkhwanazi and his top officials are to be summoned to a "special meeting" in parliament next week to explain the "chaos" plaguing the SA Police Service. Opening a meeting of the police portfolio committee yesterday, chairmanSindiChikunga lashed out at SAPS management for placing national security at risk by involving themselves in political battles. Chikunga said it was "frightening" to see SAPS top brass slugging it out in court and venturing into the political arena. She said this was against the constitution as the SAPS should be an apolitical establishment. "We have seen what one can easily describe as chaos, an outright bioscope that is taking place in the police department," said Chikunga. "The constitution dictates that police be apolitical. When there are issues that suggest in any way that we might actually have police who are pushing a political agenda that is frightening, to say the least."

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She was reacting to the drama that unfolded in the Johannesburg Labour Court at the weekend during which suspended crime intelligence boss Richard Mdluli was reinstated and then suspended again . Mdluli, removed last month as head of crime intelligence and chief of the VIP Protection Unit, had been suspended by Mkhwanazi following allegations of abuse of the crime intelligence slush fund. Mdluli is said to be close to President Jacob Zuma. He allegedly wrote him a letter pledging to help him to succeed in Mangaung. He is challenging his suspension after the court granted an order lifting it but subsequently ruled in the police's favour on Sunday. The case has been postponed to June 21. Chikunga said these battles were detrimental to efficient policing. The committee resolved to order Mkhwanazi to brief MPs on the situation next week. "Our worry is how [the police service] is managed and how it is controlled. We have therefore decided that we will call an urgent meeting in which the acting national commissioner is going to take us through what is actually happening. "We have been made to understand, even if these may not be confirmed, that there might be suspensions coming and that some senior managers are resigning, citing health reasons. "[We need to] know exactly if we have a management or not, whether we have a department or we don't have or whether we have police or we don't have," she said. The committee is also considering a request from COPE MP Mluleki George for Police Minister NathiMthethwa to attend next week's meeting. 6 June 2012 Business Day Page 1 Natasha Marrian

Cosatu set to push for minimum wage policy

Federation also proposes radical overhaul of collective bargaining The Congress of South African Trade Unions (Cosatu) is proposing the introduction of a national minimum wage and a radical overhaul of the collective bargaining system, according to a draft policy document to be discussed at its congress in September. The call was influenced by concerns about a wage agreement in the clothing sector last year, where a Cosatu affiliate agreed new employees could be paid 30% less than the negotiated, minimum wage. It is also part of Cosatus campaign for "decent work", which has led to clashes with its ally, the African National Congress (ANC).

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The national minimum wage which last year would have been R4800-R6000 according to Cosatus calculations would, coupled with collective bargaining "forge a new wage policy for SA", the document reads. "We are therefore at a strategic crossroads. Either we continue the current approach of trying to win wage battles purely at a sectoral level, with the danger of systematically being driven back, particularly in low wage areas of the economy or we adopt a new approach, which builds on the strengths of a reconfigured centralised bargaining system and combines this with the exercise of state regulation through the implementation of a national minimum wage, and comprehensive social protection," it argued. Minimum wages are established through collective bargaining councils or by the government through sectoral determinations. South African Chamber of Commerce and Industry CE Neren Rau said the proposals did not adequately take into account the structural weaknesses partly responsible for the plight of SAs workers such as skills shortages, lack of economic momentum and labour militancy. A national minimum wage was more "interventionist ", which spelled rigidity, when what the country needed was more labour flexibility. Mr Rau warned of "unintended consequences", including a flight by employers to lower wage levels away from higher-salaried, older workers. Cosatu proposed a three-tiered approach the introduction of a national minimum wage; establishment of a "mandatory" centralised bargaining system to replace the current "voluntary" one; and "universal income support" for all adults. "Our departure point is that one national minimum wage has numerous advantages over the current situation, providing it is set at a reasonable level, to improve workers lives," the draft document reads. "It would be comprehensive, clear, simple, and provide a social floor for all. This is in contrast to our numerous, fragmented sectoral minimal wages with massive discrepancies and gaps." The document recommended that if Cosatu endorsed the proposals, it should develop a political strategy to ensure buy-in from the ANC by the end of this year for implementation next year. An overhaul of collective bargaining would include "wall-to-wall mandatory" sectoral bargaining; the demarcation of national sectors; an alignment with developmental strategies, industrial policy, skills, retirement funds; and an explicit mandate to address wage and income inequalities. Labour analyst Tony Healy said yesterday that any minimum wage legislation would affect job creation negatively. Although the proposals were "understandably" in the best interest of Cosatus members the employed it was not in the best interest of

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the "silent sizeable majority" of unemployed people as it would increase the burden on companies that were hiring. "Minimum wage legislation inhibits job creation and we have a crisis when it comes to unemployment. We should rather focus on removing minimum wage legislation already in place," he said. Cosatu spokesman Patrick Craven said the draft document had been distributed to affiliates for discussion. 6 June 2012 Business Day Page 3 Allan Seccombe

NUM berates Numsa for populist stance

NATIONAL Union of Mineworkers (NUM) president SenzeniZokwana yesterday hit out at the National Union of Metalworkers of SA (Numsa) for its damaging, "populist posturing". Mr Zokwana was speaking at a conference to map out scenarios for the mining industry. The countrys number one and two unions are embroiled in a battle for dominance in labour and the ruling partys politics. Numsa has stepped into the gap left by Julius Malema, former head of the African National Congress Youth League, in calling for nationalisation of SAs mines and has adopted a far more radical stance in demanding that the state seize ownership of banks and broader sectors of the economy without compensation. Its general secretary, Irvin Jim, is said to be in the running for election in the event of Congress of South African Trade Unions general secretary ZwelinzimaVavi stepping down. Mr Vavi announced earlier this year he would make himself available for another term, at elections to be held in September. The NUM has about 330 000 members while Numsa draws on workers in metal fabrication, and has about 300 000 members. The NUM, which is fighting a losing battle on platinum mines to retain members in the face of an aggressive entry by rival union Amcu, is opposed to nationalisation, cognisant of the damage it will cause to investments in mining. Instead it wants a greater role for the state in the sector, Mr Zokwana said at the two-day Mining Lekgotla organised by the Chamber of Mines. "We dont believe nationalisation is the panacea to all our problems. We tell those who call for it that theyre only playing with the aspirations of people and their frustrations, using a populist agenda rather than being real," Mr Zokwana said. The NUM would rather see the state become involved in strategic minerals such as coal, platinum and uranium, taking stakes in large

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companies operating in those sectors, as well as a strong push to industrialise the South African economy by insisting on beneficiation, he said. "If Numsa was clever theyd see that call as building their own industry. I dont know why they want to strangle that which is alive for what they think may come later," he said. Mineral Resources Minister Susan Shabangu said in a speech delivered on her behalf that the infrastructural constraints that had been partially to blame for SA missing the commodities boom between 2002 and 2008 were being addressed, with huge investments scheduled for Transnet and Eskom. "I am convinced that, as the binding constraints on the operational side of the industry ease over the next year or two, South African mining is destined to regain its competitiveness," she said. On the first day the conference, designed to feed into an informed debate at the ANCs policy conference later this month by highlighting the difficulties facing the mining sector, appeared to be little more than a talk shop, with much of what has been said in numerous other forums being reiterated. Neville Nicolau, CEO of Anglo American Platinum, said real issues had to be discussed and addressed to make the conference worthwhile. "Honestly, in the next couple of days we need to put on the table what the real issues are, speaking about what is good is not going to take us anywhere. Addressing what the problems are will take us forward." He raised the question why SA, with the worlds richest endowment of mineral wealth, was rated 54 out of 93 as a mining destination. He blamed an electricity shortage, and the calls for nationalisation. "The problem is that the nationalisation debate was the solution to the problem which has not been addressed in this country. The problem is the unemployment of youth it is a real social problem which needs to be addressed. Its not going to be addressed by taking more money from the mining industry, but by putting people into meaningful employment," he said. Mr Zokwana said: "We want this to be a homegrown debate by industry, labour and government and it gives us a rare chance to look at ourselves and what could be done." Prof StephaneGarelli, from the International Institute for Management Development and the University of Lausanne in Switzerland, said imaginative solutions were needed to ensure there was meaningful change in the South African mining sector, rather than rehashing old theories and concepts. 6 June 2012 Business Day Page 3 Edward West

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ANC is in trouble and masses leaderless, says Numsa The assessment by the countrys second-biggest union will set it up against the ANC The African National Congress (ANC) was in trouble and a dearth of leadership had left the masses leaderless, National Union of Metalworkers of SA (Numsa) general secretary Irvin Jim said in a report at the unions conference in Durban last night. That assessment by the countrys second-biggest union will set it up against the ANC, especially against those who are campaigning to have President Jacob Zuma elected to lead the party and the government for a second term. "Our honest view is that the movement of Oliver Tambo is in trouble", because it had failed to produce cadres who have "revolutionary consciousness to serve for no material gain", Mr Jim said. "We cannot continue with the current situation where the masses are leaderless." Mr Jim said the ANC was failing to produce "revolutionary cadres" because of the countrys capitalist system, which he said bred corruption. Numsa has been critical of the ANCs policy direction as it tries to pull the Congress of South African Trade Unions (Cosatu) and the ANC towards more radical and left-leaning policies such as the nationalisation of mines. It would also like to see the Reserve Bank coming under more political control and for it to drop inflation targeting as its main tool. Numsa is associated with ANC members who want Mr Zuma replaced in December. Mr Jim said the party had a duty to look after the workers and the poor, who were its primary support base. "Numsa is going to insist on the implementation of the revolutionary programme of the ANC, and the leadership elected in December must be a leadership that is equal to the task of implementing the Freedom Charter," he said. Speaking at the conference earlier yesterday, Mr Zuma said the "revolution is somewhat at a cross-roads," and that organisational renewal was paramount in the lead-up to the second transition the stage after the first two decades of democracy, during which the ANC wanted to speed up social and economic change. He said while the ANC had done well since 1994 in creating peace, stability and democratic institutions, and in the delivery of some basic services, backlogs were big. "For economic transformation, the state could not be a bystander and should participate and play a central role in the economy," Mr Zuma said. He urged union members to become more involved in the ANC and to participate in its decision making. "We need tried and tested cadres.

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Other people think that within 18 years we should solve the problems of three centuries, but I dont think it is possible," he said. He said the ANC was a "broad church" and the organised working classs long-term goals would not necessarily be met unless they were part of the ANC. Mr Zuma had in recent weeks tried to charm the unions, calling on them to push their most senior leaders to serve on the ANCs national executive committee. Cosatus general secretary, ZwelinzimaVavi, turned down serve on the executive in 2007, and was still reluctant post in the ANCs highest committee. Mr Vavi is popular like Mr Jim, he is associated with the group that wants change in the ANC. a nomination to to take up the in Numsa, but leadership

It is unlikely that Numsa would back Mr Zuma for a second term, especially as he and Mr Vavi do not see eye to eye.

5 June 2012 The Times Page 5 Graeme Hosken

Top cop takes on Ramphele

Freedom Under Law is to fight in the Pretoria High Court today to have charges against embattled police spy boss Lieutenant-General Richard Mdluli reinstated. This comes as Mdluli and his lawyers prepare to challenge his resuspension in the Labour Court in Johannesburg later this month. Mdluli's suspension, rescinded on Friday following an urgent court application, was confirmed on Sunday after the state's lawyers successfully challenged the order as "grossly irregular". Labour Court Judge Andr van Niekerk yesterday ordered Mdluli's lawyer, Graham Moshoana, and state advocate Mandla Zulu back to court on June 21 when the matter will once again be heard. Last month, Freedom Under Law sought a court order to have criminal and departmental charges - which were controversially dropped - reinstated. In a strongly worded affidavit, human rights activist Mamphela Ramphele said the withdrawal of the charges was unconstitutional and unlawful. In reply, state lawyers argued in papers filed last week that the withdrawal of Mdluli's suspension and subsequent reappointment followed proper labour practices.

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Acting police commissioner Lieutenant-General Nhlanhla Mkhwa-nazi argued in his affidavit that there is a "lack of urgency" around Ramphele's application and that neither she nor the lobby group were entitled to seek the order. Mkhwanazi said he and Police Minister NathiMthethwa were being asked to contravene labour laws. "There is due process, the SA Police Service has to follow before it suspends any of its employees. "What the applicant is asking is that due process provisions of the Constitution, the Labour Relations Act and the Police Act be ignored. I am advised that disciplinary regulations state disciplinary actions against an employee on suspension must be brought within 60 days, failing which the employee must be reinstated ... in this case the period lapsed a long time ago." He says Ramphele's attitude was that Mdluli was not entitled to protection in terms of the constitution and the country's labour laws. "Before this application, the SAPS renewed investigations into certain allegations of misconduct against Mdluli ... who was given notice as to why he should not be suspended." Mkhwanazi said Ramphele's attitude was unreasonable as Mdluli had been suspended again. In a replying affidavit, Ramphele said the matter was of "considerable urgency". "It is striking that he [Mkhwanazi] disputes not one of the allegations made by me. There are no grounds to oppose this. In fact, the version reinforces this." She said Mkhwanazi had however acted with urgency to suspend Mdluli because of allegations of unlawful and improper conduct. "The degree of urgency is justified in terms of the controversy surrounding the ill-fated reinstatement," she said. "The urgency sought now is based on the harm caused by the unlawful and unconstitutional decision to withdraw the criminal and departmental charges. "A person holding such rank with considerable authority ... should not perform a single police function while the body of evidence against him ... goes unanswered." 5 June 2012 The Times Page 1 Mckeed Kotlolo, Graeme Hosken and Philani Nombembe

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Riot puts spotlight on 'violation' of refugees

A riot at the notorious Lindela Repatriation Centre yesterday has brought into sharp focus the treatment of refugees by the Department of Home Affairs. The Legal Resource Centre, which has litigated successfully against Home Affairs in the past on behalf of refugees, said that every day at least 15 urgent applications were brought before the Johannesburg High Court alone - at huge cost to the government - by detainess who had not been released from Lindela within the 120 days stipulated by the Immigration Act It accused the department of "xenophobic tendencies". At Lindela, on the West Rand, yesterday, a protest became violent when guards with batons charged at protesters and fired rubber bullets and tear gas into a crowd. The initial protests at the weekend were led by about 20 refugees who were to have been released from Lindela a week ago. They were instead taken in Home Affairs cars to police stations. An inmate at Lindela who did not want to be named said: "I have been locked up here for more than three months and on Thursday I signed a document that set me free. "Instead of being released together with other inmates, we were taken to different police stations where we spent the night. "The following day the station commander contacted Home Affairs before we were driven back to Lindela." The inmate said the detainees had staged peaceful protests on Saturday and Sunday and had told the guards that they did not want trouble but did want to be released. Another inmate said he had been told on Wednesday that he and others had been held at Lindela for longer than the stipulated four months and were going to be released. "When we left the building, Home Affairs officials put us into a van, saying they were taking us to Home Affairs offices in Pretoria to have our documents fixed. "To our surprise, they took some to Atteridgeville police station and some to Mamelodi East police because it was late and the [Home Affairs] offices were closed. They said we would spend the night at the police stations and in the morning they would take us to Home Affairs for our refugee documentation." The inmate said he spent five days at Mamelodi police station. "Yesterday morning, we were again taken into vans after the officials said we were being taken back to Lindela for a fresh start."

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Yesterday the inmates asked representatives of the UN High Commission for Refugees, and Home Affairs, to speak to them. But at 8am the guards decided to disperse the inmates. "Several inmates were injured, some were overcome by teargas," the refugee said. About 100 inmates - most of them Congolese, Ethiopians or Somalis - who opposed repatriation to their home countries took part in the protests. Home Affairs spokesman ManushaPillai denied that there had been a riot. "According to reports from the head of the Lindela Repatriation Centre there were no riots today [Monday]. "Some of the deportees, however, allegedly attempted to incite others to riot against the department's mandate to deport foreign nationals in breach of South Africa's immigration law," Pillai said. But the Legal Resource Centre slammed the running of Lindela and said an urgent inquiry was needed into the centre, which is run on behalf of the government by a private company, Bosasa. "The centre holds 4000 people, with 2600 on average being held there on any given day," said Naseema Fakir, of the Legal Resource Centre. "Most of them are held in contravention of the Immigration Act. The breach of the act is that most are held longer than the prescribed three months. The excuse for holding people beyond the prescribed [period] is inadequate." Fakir said that though Home Affairs claimed it was waiting for confirmation of refugees' identity from their embassies so that it could be sure that they were to be deported to the correct country the deportations were not made. More concerning, however, was that the department's actions had left it open to a growing number of court cases. Fakir said the urgent applications to the Johannesburg High Court cost the government at least R150-million a year. "Since February, we have secured the release of 26 refugees. The costs are immense, with each application costing R40000 from start to finish." Fakir questioned the outsourcing of the management of Lindela. "There is only one doctor at the centre, with access to proper nutrition, legal representatives and translators being other issues. "We need to know why state functions are outsourced to private companies when the government has a duty to protect the rights of immigrants."

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In Cape Town yesterday, refugees and asylum seekers protested outside the Maitland Refugee Centre against its imminent closure. Rights group Passop said Home Affairs had not consulted civil society on its decision to shut the centre and that about 40000 people would be deprived of services they desperately needed - and were entitled to. ManushaPillai, Home Affairs spokesman, said the decision had been taken in consultation with the parliamentary oversight committee and others. 5 June 2012 Business Day Page 3 Setumo Stone

ANC Delaying Youth League Mans Return

Suspended ANCYL secretary SindisoMagaqa is a close ally of former league president Julius Malema, and his comeback could bolster the leagues campaign to remove President Jacob Zuma Suspended African National Congress (ANC) Youth League secretary Sindiso Magaqa should "already be back in office", according to youth league sources yesterday. This follows an intervention by ANC officials, citing a "technical error" in the disciplinary appeals committees sanction against him. Mr Magaqa is a close ally of former league president Julius Malema, and his comeback could bolster the leagues campaign to remove President Jacob Zuma and party secretary-general GwedeMantashe, when the ANC holds its national conference in Mangaung later this year. Two youth league sources said yesterday ANC officials had decided to reinstate Mr Magaqa two weeks ago. It is claimed Mr Mantashe was "delaying" handing a written notice to the league on the issue. The leagues Northern Cape chairman, Shadrack Tlhaole, said yesterday: "We wish the ANC could speed up the process of reinstating Magaqa." The league had accused the disciplinary appeals committee of ignoring Mr Magaqas apology to Public Enterprises Minister MalusiGigaba for insulting him. ANC appeals committee chairman Cyril Ramaphosa told Business Day he was aware of the talk about a "technical error" in the judgment against Mr Magaqa, but would not comment further. The committee suspended Mr Magaqa for a year. However, ANC spokesman Keith Khoza said the matter was for ANC officials to report to the national executive committee (NEC) on the outcomes of the disciplinary processes against the league leaders. Mr Khoza rejected talk that the ANC was planning a "special NEC meeting" to discuss Mr Malemas expulsion, following efforts by the league to have the sanction withdrawn.

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Mr Mantashe has also been linked to weekend reports that the ANC had instructed the youth league to reinstate its suspended treasurer, Pule Mabe. He appealed to the ANC against his suspension last month. But a senior league member, who indicated he had seen the communication from Mr Mantashe, said the letter calls for Mr Mabes suspension to be reversed, but suggests that allegations against him including financial maladministration were grave enough to warrant a criminal charge, and "therefore the suspension is not sufficient". Mr Mabe attended the Gauteng youth league provincial general council on Sunday, in what was seen as the start of his campaign to replace Mr Malema. 5 June 2012 Business Day Page 4 Alistair Anderson and Natasha Marrian

Unions give state wage ultimatum

SAs high public sector wage bill is highlighted as a concern by three of the worlds major ratings agencies After four months of talks, public sector trade unions have given the state an ultimatum to better its wage offer or face possible labour action, including marches. SAs high public sector wage bill has been highlighted as a concern by three of the worlds major ratings agencies. Bruce Donald, head of rand strategy at Standard Bank , recently said the public sector wage negotiations would be closely monitored by investors and the main ratings agencies, all three of which have SA on a negative outlook. The biggest public sector union, the National Education Health and Allied Workers Union (Nehawu), which represents about 1,3-million workers, yesterday said although its wage demand had in the past month moved much closer to the governments offer, the movement was not substantial enough. The parties also disagreed on benefits owed to workers. The state was offering 6,5%, while the unions, along with Nehawu, wanted 8%. "The 6,5% revised offer as a result of the facilitation process fails to take into account the devastating effects of the increasing inflation on the workers wages," said Nehawu spokesman Sizwe Pamla. "Labour demands a revised offer not later than Wednesday, that takes into account the cost of living faced by the public workers who have to render quality public service to our people. Labour is available for 24 hours a day to negotiate on all the issues on the table."

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Public sector strikes in 2007 and 2010 cost millions of rand in workdays lost and property damaged. The unions were to meet government negotiators on Thursday. n Meanwhile, wage talks at the local government level have yielded little, with unions and the South African Local Government Association (Salga) still far apart after two rounds of negotiation. Strike action at local government level has often resulted in uncollected rubbish being strewn across the streets. Negotiations between Salga, the South African Municipal Workers Union (Samwu) and the Independent Municipal and Allied Trade Union (Imatu) are set to continue into a third round next week. The unions are demanding an 11,5% pay rise or R1750 whichever is greater adjusted from their initial demand of 15% or R2000. Salga is offering a 4,5% rise. Samwu and Imatu also demand that many vacant posts in municipalities across SA be filled. 3 June 2012 Sunday Times Page 1 Sashni Pather and SibusisoNgalwa

What a Circus!The war in the SA Police Service over controversial top cop Richard Mdluli took on absurd proportions yesterday afternoon.
Lawyers representing the police argued that Friday's decision to reinstate him be overturned. They described the application by Mdluli to get his job back as "untoward and fraudulent". Judge Andre van Niekerk said he would deliver judgment on the application at 10am today. Over the past two years, Mdluli has been suspended twice, reinstated twice and demoted once, painting an image of disorganisation and backstabbing by police management. After being served with a second notice of suspension last week, Mdluli approached the Labour Court, and Judge Edwin Molahlehi on Friday provisionally uplifted Mdluli's May 26 suspension, ordering that he return to work immediately. Friday's court order caught police management off-guard.

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Mdluli had applied for his suspension to be set aside after playing a game of cat and mouse with management - and after his lawyers denied receiving the suspension notice. Mdluli has been implicated in a range of crimes, including allegedly orchestrating the murder of his former girlfriend's husband and the alleged abuse of secret police slush funds. Acting police commissioner Lieutenant-General NhlanhlaMkhwanazi and SAPS management dug in their heels yesterday and brought an urgent application to rescind and set aside Judge Molahlehi's order. They slammed the order, saying it "was clearly either fraudulently or grossly improperly obtained". Police management also complained that they were told the matter would only be heard tomorrow . In court documents, Mkhwanazi said Mdluli was personally served with his suspension notice on May 15 by deputy commissioner for operations Lieutenant-General Fannie Masemola. Police spokesman Brigadier LindelaMashigo said: "According to the directions that were given by the court, and to the knowledge of the SAPS and its attorneys, the urgent application ... was scheduled to be heard on Monday 4 June 2012 at 10h00. " The circumstances under which Lieutenant-General Mdluli obtained the court order are extremely worrisome and the SAPS is currently investigating how the court could conceivably have granted the order in favour of General Mdluli and in the absence of the SAPS whilst the same court made a directive that the urgent application would be heard [tomorrow] ," Mashigo said. This week, Freedom Under Law (FUL) will proceed with its court action for the review and setting aside of the decisions to withdraw criminal and disciplinary charges against Mdluli. In more drama,prosecutor Glynnis Breytenbach, who was involved in the prosecution of Mdluli on fraud related matters, will go to court to fight her suspension. The National Prosecuting Authority confirmed yesterday it had been served with legal papers from Breytenbach's lawyers wanting her suspension overturned in the Labour Court. Although the reason for Breytenbach's suspension has not been made public, it is widely believed to involve her refusal to drop Mdluli's prosecution. Mkhwanazi's application to have Mdluli's suspension reinstated was brought amid fresh allegations of serious misconduct involving Mdluli. It is understood Mdluli was suspended again in relation for a second secret Crime Intelligence slush fund that has been the subject of an ongoing Hawks investigation led by Colonel Kobus Roelofse.

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It is claimed that the second slush fund was abused in similar fashion to another fund - and involved the buying of cars for family members and holidays for Mdluli and his family. A month ago, Mdluli tried to stop the investigation by asking Hawks boss Anwar Dramat to get Roelofse to "refrain" from investigating him. This was after his failed initial attempt to obtain evidence collected by the Hawks during a raid at Crime Intelligence offices. The Sunday Times further understands that Mkhwanazi's move to again suspend Mdluli was also motivated by fresh allegations that possible witnesses against Mdluli have been intimidated. Included in Mdluli's application to the court on Friday was the notice to suspend him signed by Mkhwanazi on May 13 and served two days later. The notice stated: "New information brought to light in the initial sitting of the inquest investigation into the murder of Abel Oupa TefoRamogibe and the attempted murder of Alice Manana during 1998/9." It goes on to say that additional and new information on previous allegations of mismanaging the Secret Service Account have also come to light. The inquest into the murder of Mdluli's former lover's husband, Ramogibe, over a decade ago, will be heard again in September. Manana witnessed an assault on Ramogibe's wife and named Mdluli as one of the perpetrators. Mkhwanazi stressed the conditions of Mdluli's suspension in his notice of suspension, saying Mdluli is "prohibited from entering any official premises of the [SAPS] without prior authorisation of [Mkhwanazi]". In his affidavit, Mdluli maintained that he was suffering from "life threatening" hypertension and stress. He also claimed to have learnt of his suspension from a television news report. He criticised his suspension by then national commissioner, General BhekiCele. Mdluli said: "I also alluded to the absurdity of taking the view [by General Cele] that the mere existence of the murder allegations, without subjecting me to any due process, brought the SAPS into disrepute, whereas during the same period Gen Cele himself remained as the head of the SAPS despite adverse findings by the public protector against him in relation to allegations of corruption regarding some multibillion-rand lease tenders". Mdluli said if the mere existence of serious allegations was enough to warrant a consideration to discharge him, then Cele himself should have resigned from the SAPS. 3 June 2012 Sunday Times

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Page 4 Sibusiso Ngalwa

Tokyo hits campaign trail with songs and promises

Human Settlements Minister Tokyo Sexwale's unofficial presidential campaign shifted to a higher gear yesterday with the mining tycoon telling an Eastern Cape community that he was a leader who "never makes promises" he can't keep. With the ANC having banned its members from openly campaigning for office ahead of its national conference scheduled for December, those seeking election to leadership posts have resorted to holding "service delivery" rallies in areas where they hope to gain the backing of ANC members. Sexwale jetted into Mthatha early yesterday morning to begin his twoday campaign blitz in the ANC's second-strongest province, where he told his audience that he came not to make promises but to see their plight. Sexwale had the crowd eating out of the palm of his hand as he addressed residents at the dilapidated municipal flats in Norwood, outside the city centre. The Norwood community is unhappy with the Eastern Cape government and the local municipality's failure to transfer the ownership of the flats to residents. While not promising that the flats would be transferred, Sexwale said he would take the matter up with the municipality. "If there's one thing about me that you should know ... I never make promises I can't keep. [Other] leaders make promises they cannot [fulfil]. "I want this municipality to explain ... I want to sit down with this municipality. "I know the solution ... I'm wondering why people are not solving it. It's a simple problem," said Sexwale, suggesting that ownership be transferred to the flats' occupants as had happened in townships such as Soweto. He told the crowd that he, "a child of [former president Nelson] Mandela ... a child of [liberation struggle hero and late SA Communist Party leader] Chris Hani", had lived up to both leaders' ideals. "I wasn't coming here but I was told that 'the people want to see you', and I said, 'If it's my people then I'm coming'," said Sexwale. The residents broke into a song praising the minister. Sexwale then proceeded to the nearby Mandela informal settlement where he met ward committees to discuss housing problems in the area.

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He later emerged to address community members assembled inside a marquee on a dusty sports field. They had been invited by an organiser with a loud-hailer mounted on the back of the bakkie. Sexwale continued his charm offensive, telling them that he was a leader who listened. With about six months to go before the ANC conference in Mangaung, Sexwale is waging a strong campaign to have party branches nominate him to challenge President Jacob Zuma for the ANC presidency. On Thursday he told his department's Govan Mbeki Human Settlements Awards ceremony in Midrand that he was not running for office but "at the same time I'm not running away from anything". Today, he will address the Rhema Church in Mthatha and then proceed to Queenstown where he will launch the Youth Month campaign, organised by the ANC Youth League in the Chris Hani region. 3 June 2012 Sunday Times Page 5 BonganiMthethwa

Swoop on Zuma's son

Drama unfolded at the home of President Jacob Zuma's son, Edward, when the sheriff of the court attached his BMW X5 and furniture on Friday. Only after Edward's lawyer had intervened were the goods returned. Celebrity wedding planner Paul Mann was granted permission in the High Court in Durban last week to attach Edward's assets after he failed to pay his R1.5-million wedding bill. Edward married Phumelele Shange at KwaZulu-Natal's Tala Game Reserve in October last year. On Friday, the sheriff, accompanied by police officers, swooped on Edward's Durban North home in Kentucky Street. They seized his vehicle, which retails at between R599900 and R700000. They also removed sofas, a fridge, entertainment system, camp chairs and bar stools. Edward's lawyer, Siphiwe Mncwango, was summoned from his own wedding preparations in Ladysmith, about 187km west of Durban, to intervene. He arrived at Edward's home at about 11am and began negotiations with the sheriff. The furniture and vehicle had already been removed from the property, which, according to deeds records, is owned by Roy Moodley, a close friend of the president.

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Mncwango told the Sunday Times that arrangements had been finalised to pay Mann the outstanding bill. "It was just a technicality ... the assets that were seized will be returned," he said. About three hours later, a truck returned the goods. Meanwhile, the Sunday Times this week also established that Edward's business partner, WaseemHaider Agha, 45, a Pakistani immigrant, has owed the owner of a multistoreyparkade in Durban's city centre more than R6.8-million in rent since 2010. Agha, who owned a company, Nippon Import Export cc, that imported and exported used Japanese cars, was ordered by the High Court in Durban two years ago to pay Paladin Properties. On Thursday, Paladin Properties' legal adviser, Christo van Wyk, said: "Agha and his company owe Paladin Properties a substantial amount of money. That is part of the court records." He added that the matter was "immensely complicated". According to company records, Nippon Import Export cc, which was registered in October 2001, has been deregistered. However, in 2009, Nippon Import Export SA was registered and lists Edward and a relative, SikhumbuzoZuma, as directors. On Thursday, Agha lashed out: "I'm no longer involved with Nippon ... the company closed down ... I've got nothing to do with it." He added that he owed Paladin Properties "nothing". Edward and Agha are also shareholders in Al Fallah Holdings, which is developing Africa's largest car-storage facility in Durban. Once completed, the R400-million development, known as Car City, will feature a 1500m of secure prefab showrooms that will be used by about 300 car-import dealers and a 40-room hotel.

8 June 2012 Mail and Guardian Glynnis Underhill

Arms deal inquiry hits the skids

A campaign to discredit two advocates who are evidence leaders in an inquiry into the arms deal has led to fresh concerns about political meddling.

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A campaign to discredit and remove two respected advocates who were publicly named eight months ago by Justice Minister Jeff Radebe as the key evidence leaders in the Arms Procurement Commissions inquiry into the arms deal has led to fresh concerns about political meddling in its processes. Advocates Vas Soni and Sthembiso Sticks Mdladla were handpicked by the commissions chairperson, Judge Willie Seriti, yet they have both been unceremoniously dumped without receiving any official notification. Asked why the commission had not notified the two advocates that they were no longer needed, commission spokesperson William Baloyi said Soni and Mdladla had been identified and earmarked but not appointed. The Mail & Guardian has established that a campaign to unseat them began months ago. Both Soni and Mdladla allegedly received calls from people attempting to discredit the other for the job, and similar calls were made to the commission. When the arms deal probe was set up by President Jacob Zuma in September last year, the announcement followed a court bid by retired banker Terry Crawford-Brown to force the government to appoint an independent inquiry into allegations of corruption relating to its multibillion-rand arms purchases. Crawford-Brown subsequently withdrew his action, and the comprehensive terms of reference for the long-awaited judicial probe were widely welcomed. Part-time duties Although even Zumas name has been dragged into the scandal, Radebe gave assurances that the commission would work independently of everyone, including the executive. Yet the M&G can reveal that the late Durban attorney Mvuseni Ngubane told his best friend, attorney Mxolisi Nxasana, who is the sitting president of the KwaZulu-Natal Law Society, that the justice department was trying to make his critical role as secretary on the commission a part-time one, which would not have allowed him to do justice to the massive job. Mvuseni phoned me and talked about his role as secretary of the arms deal commission, said Nxasana. He said that since the justice department came on board and took over the process, they wanted to dictate his remuneration. The last time I spoke to him, he said the department wanted to put him on a part-time basis. He wasnt happy about it, but he said he would make it work. The justice department said it was not aware that Mvuseni had been asked to perform part-time duties for the commission, which is expected to run for two years. Ngubane met Zuma to discuss commission matters on the day the lawyer is alleged to have shot himself in his Mercedes-Benz parked in his garage, and had been due to meet Seriti two days later. Upheavals

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However, with Ngubanes tragic death and the unexpected departure of Soni and Mdladla, the legal team is now severely depleted. Yet the remaining advocate named by Radebe as being on the commission team, Mahlape Sello, a senior member of the Johannesburg Bar Council, has not yet been given a contract, according to newly appointed commission spokesperson Baloyi. Sello assisted the state in its case against former prosecutions boss Vusi Pikoli at the Ginwala commission of inquiry. I did check with human resources here and her name had been confirmed, said Baloyi. However, in terms of her contract, the process has still not been concluded. That person is not yet doing any job for the commission. Despite the upheavals, Baloyi said the public should still submit evidence to the commission by the closing date of July 30. Seriti is finalising finding other people to play the same role as the advocates, a process that is now at an advanced stage, he said. However, Soni is believed to have been alerted to the fact he might be replaced when he was recently sent an email by the professional committee of the Johannesburg Bar Council. The committee informed him it had received a request from somebody who wanted to find out whether he had been excluded from the commission. Advocate Matthew Chaskalson confirmed that he had been sounded out about taking over as evidence leader, but said that because he had previously taken a brief from an arms deal-linked company, Thint, the matter had not been taken further. The legal figures invited on to the commission have complained that nothing has happened to get the commission rolling since October. Axed Mdladla discovered he was no longer required for the prestigious brief last week, after a journalist asked him why he had been axed from the commission. Soni heard from colleagues up to six weeks ago that a replacement was being sought for him as chief evidence leader. He had been widely considered a good choice as he led the evidence during the Jali commission of inquiry into allegations of prison corruption. I didnt withdraw from this commission; I just heard informally from colleagues that I had been replaced, said Soni, who admitted being disappointed by the turn of events. I accept that this decision has been taken, although no one notified me. Soni said in November last year he was asked by Seriti about a perceived conflict issue that had been brought to his attention. It had never occurred to him, said Soni, that it could amount to a disqualification that he had assisted in preparing a replying affidavit on behalf of Thint, the local subsidiary of French arms company Thales, in March 2006. Thint had been seeking to set aside the search-and-seizure warrants obtained by the Scorpions. I was not privy to any privileged documents and merely assisted in the preparing of the replying affidavit for Thint, Soni said. It had not dealt with the arms deal, but with the validity of the search warrants and the seizures. Soni said Seriti had said he

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would go away and think about it, but he had heard nothing further and believed he had the job. Mdladla, meanwhile, is picking up the pieces of his professional life, as he had cleared his diary and suffered financial strain after being asked to be on standby for the commission. Absolute nonsense He described claims that he had been paid a disproportionate fee and had failed to write up a final report when he chaired a commission investigating policing in KwaZulu-Natal in 2005 as absolute nonsense. Mdladla said Ngubane asked him to prepare a letter for Seriti when the allegations were brought to the commissions attention in October last year. Ngubane had told him that the judge was satisfied and the matter was settled. The fact that he had continued to do government work over the years was proof these claims were spurious, said Mdladla. Allegations that the justice department had taken control of the commission process were denied. The department does not have the legal competence and capacity to run the commission, the Justice Departments said in response to M&G questions. It is a role limited to providing an enabling environment for the commission to perform its mandate and task.Baloyi said the commission was an independent body but was working closely with the justice department, especially in relation to employment and conditions of service. Its budget still resides with the department. 7 June 2012 The Times Page 6 Sapa

State Security digs in its heels on info bill

The Department of State Security rejected criticism of the Protection of State Information Bill and showed reluctance to align itself with amendments proposed by the ruling party on Wednesday. State security acting director-general Dennis Dlomo dismissed calls to rewrite Section 1 (4) of the bill to limit the power of the ministry to delegate classification powers, reduce penalties and review the heavy burden of proof placed on the accused in the draft law. Dlomo also stood firm on pleas to include a public interest defence in the draft to protect those who publish classified documents to reveal state wrongdoing. "They want a post-disclosure test of public interest. We want a pre-disclosure test," Dlomo told the ad hoc committee of the National Council of Provinces processing the bill.

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The briefing showed a widening gap between lawmakers and the ministry. At the meeting, the ANC majority on the committee finally tabled a set of amendments first mooted last month, which were cautiously welcomed by critics of the bill. Dlomo said the department would respond to the proposals in detail later. The tabled amendments provide for Section 43 of the bill, which criminalises revealing classified information, to include an exception for cases where "such disclosure reveals criminal activity". Under the proposal, this section would enable those charged with disclosure to argue in their defence that the information was wrongly classified, to begin with. This is the ANC lawmakers' compromise on calls for a public interest defence. Opposition parties want a longer list of exceptions, including revealing classified information regarding health threats, mismanagement or administrative error. The ANC confirmed its readiness to amend Section 49 of the draft act to criminalise only the publication of classified information relating to state security matters. The version approved by the National Assembly last year prohibited disclosure of any such information. 7 June 2012 The Times Page 9 Brendan Boyle

Spirit of our constitution is increasingly ignored

Max Sisulu did not particularly want to become Speaker of the National Assembly. He took the job because he is that loyal cadre that others pretend to be, who does what the ANC tells him to do. He spends as little time in the speaker's chair as he can, and does not appear to enjoy the company of the hacks deployed by a party that uses some of its seats in the National Assembly to reward the loyalty of otherwise unremarkable people. Sisulu's predecessors, Frene Ginwala and Baleka Mbete, used the job to give them stature - Ginwala with more substance and less popularity than Mbete, who seemed to be more interested in using the building and her budget to stage other events than she was in the actual business of legislation. Sisulu, like Govan Mbeki as leader of the post-apartheid Senate before it became the National Council of Provinces in 1997, brings more stature to his office than he takes from it. He is urbane, measured and more principled than is currently fashionable in President Jacob Zuma's ANC. So, when he presented his annual budget address to MPs recently, Sisulu avoided the comfortable rhetoric of self-congratulation and delivered an important message about the failings of the legislature as it heads towards the end of its second decade.

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He said he was concerned about the quality of legislation adopted, about the thoroughness of public consultation, about the poor attendance of MPs and about the slow response from many ministers to parliamentary questions. "As the subject matter of legislation becomes more sophisticated and highly technical, our parliament and members must become more professional," he said. With ministers like his sister, Defence Minister Lindiwe Sisulu, treating opposition questions with undisguised contempt, Sisulu reminded Zuma's cabinet: "While it is acknowledged that the number of questions has increased, questions are an integral mechanism to hold the executive accountable and the executive must develop the means to reply within the time limits." He complained also about poor attendance, which has quite often seen legislation stalled simply because there were not enough MPs in the house to make a vote legitimate. He stopped short of naming MPs such as Winnie Madikizela-Mandela, who draws a full MP's salary, but rarely puts in an appearance, but promised a longoverdue policy on chronic absenteeism would be in place by the end of next month. Sisulu got the same short shrift that the ANC has given to others, no matter what their struggle record, who criticise anything about the party and its people. The ANC prefers its truth sugar-coated, easily digestible and delivered behind closed doors. The caucus quickly absolved itself of any blame and said it was a matter of resources, which Sisulu had failed to provide. That is not quite true. Apart from its imposing buildings, which have been regularly renovated and extended since 1994, parliament is not particularly well-resourced. But most ruling party MPs do not use the resources that are there, and successive administrations have failed to spend all of the funds available to make their work easier. There is always a queue for the foreign trips - though less so for the inspection tours to the dull little towns where the legislature's record of service should be tested - and for the free food and drink at the serial receptions that mark the passage of each departmental budget. There is none of that enthusiasm among the rank and file for the long hours of homework required to digest, analyse and improve upon the policy proposals and legislation that comes before them. Instead, that heavy lifting is left to a handful of stalwarts in the ANC and the opposition parties who do the actual work. "I am concerned that more and more legislation is returned to the National Assembly for correction. This speaks both to the constitutionality of the legislation passed, as well as its quality. Because we are a constitutional state, all laws must pass the test of constitutionality. In this regard we must ensure that at all times, the laws we make are in keeping with the letter and spirit of the constitution," Sisulu said. And there's the rub. Most of the legislation that ends up before the courts is written to make a political goal fit within the letter of the constitution because it must, but the spirit of that founding document is increasingly ignored.

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After more hours than I would care to count spent in committees watching MPs at work, I believe the intention of the negotiators who crafted the constitution is increasingly seen as an inconvenience rather than as a guide. It is not a lack of resources that causes committees and the National Assembly to approve flawed legislation. As opposition members have said since Sisulu spoke, nearly every flaw picked up in the courts was flagged by the DA, IFP, ACDP or civil society, but included at the insistence of the ruling party. The first parliament elected with Nelson Mandela in 1994 made a genuine effort to write good law. The conflicts were ideological between the plans of the ANC and the contrasting visions of the various opposition parties, but there was a broad will to find accommodation within the spirit of the interim constitution and the permanent one they were simultaneously crafting. Thabo Mbeki's government was more inclined to reinterpret the spirit of the constitution to suit its own plans, but tried to work within boundaries that would allow its members to sleep. Now the instruction comes down from Luthuli House - usually wrapped in a resolution from the 2007 Polokwane conference that put Zuma in power - and the job of the ANC MPs is to make it happen. Because the instruction is non-negotiable, no one asks whether it is constitutional, but merely believes that it could be. 8 June 2012 Business Day Page 3 Paul Vecchiatto

Zuma busy sacrificing youth to get re-elected

DA leader Helen Zille accuses President Jacob Zuma of bowing to pressure and stalling the implementation of the R5bn youth wage subsidy Democratic Alliance (DA) leader Helen Zille accused President Jacob Zuma yesterday of bowing to pressure and stalling the implementation of the R5bn youth wage subsidy to boost his chances of re-election. Speaking at the Western Cape provincial legislature, Ms Zille, the provinces premier, said: "The tragedy is the president is prepared to sacrifice millions of young South African lives to get re-elected in Mangaung." In contrast, she praised Finance Minister Pravin Gordhan, saying the subsidys design was "perfect". The debate was called by the DA, to press home its demand that the province should have its share of the subsidy that Parliament had already appropriated the funds for.
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The proposed subsidy was meant to have come into effect in April, but it has stalled following strong opposition by the Congress of South African Trade Unions (Cosatu), which argues that the subsidy would prejudice older workers who would be let go by companies in favour of younger and cheaper employees. Ms Zille quoted Mr Zumas recent reply to a parliamentary question stating that Cosatu had blocked the subsidy in negotiations at the National Economic Development and Labour Council. She described Cosatu as the champions of "comrade capitalism", alleging that its investment relationships were more important than the alliance it had with the African National Congress (ANC) and the South African Communist Party. ANC leader in the legislature Lynne Brown accused the DA of union bashing, saying it was continuing to play opposition politics despite being the governing party. "The provincial government should only get its money once it does its job right," Ms Brown said. 8 June 2012 Business Day Page 3 Wyndham Hartley

Celes likely successor no career policeman

President will make decision on new boss known when he is ready, writes Wyndham Hartley THE man strongly tipped to become the next national commissioner of police NathiNhleko is not a career policeman. Mr Nhleko would fill a role that has come under intense public scrutiny, with demand in many quarters for a police chief who would avoid plunging police morale even lower. Speculation was rife this week over Gen Bheki Celes status, amid reports that President Jacob Zuma had fired him. Presidential spokesman Mac Maharaj said yesterday Mr Zuma would make his decision known "when he was ready". One of the many criticisms of Mr Nhlekos predecessors Jackie Selebi and Gen Cele was that they were not career policemen. Mr Nhleko, however, does have some experience in law enforcement. Before being appointed to his current position as director-general in the Department of Labour, he

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headed the anticorruption unit in the Department of Public Service and Administration. He also served as a regional commissioner in the Department of Correctional Services. Mr Nhleko had been involved in the trade union movement before SAs first democratic election in 1994. In 1993, he was appointed as an election co-ordinator by the Congress of South African Trade Unions. His job was to organise how to get people to the polls. He admits being aware in 1994 that he was on an electoral list somewhere, but was startled to realise after the elections that he had been elected as an MP. It was here that he began his rise to prominence in the ruling party. He served on a number of parliamentary committees, including transport, public enterprises labour and agriculture. He was then appointed chairman of the portfolio committee on the public service and was also elected chairman of the African National Congresss (ANCs) parliamentary caucus. It was while serving as caucus chairman, during a caucus meeting in 2002, that it was announced, to his complete surprise, that he was to succeed Nosiviwe MapisaNqakula as the chief whip of the ANC in the National Assembly. Ms Mapisa-Nqakula had been appointed deputy minister of home affairs. He had only been in the job for two years when he was surprisingly dumped, reportedly after having incurred the displeasure of then president Thabo Mbeki . Apparently that was over his handling of a public protectors report into then prosecutions boss Bulelani Ngcuka. It was an action based on a complaint laid by then deputy president Jacob Zuma. He reportedly gave the report, which found that Mr Ngcuka had abused his office by saying there was a prima facie case of corruption against Mr Zuma, to Mr Zuma before Mr Mbeki had seen it. Several political parties this week criticised Mr Zumas silence on the future of Gen Cele, again raising concerns over the effect of this uncertainty. This comes after a report last month by the board of inquiry appointed to consider Gen Celes fitness to hold office, which reportedly recommended that he be fired. The inquiry was established to examine his role in lease agreements worth R1,7bn for police headquarters in Pretoria and Durban. On Wednesday, Judge Ephraim Makgoba granted an urgent interim interdict to Freedom Under Law in terms of which the national police commissioner and minister of police were prevented from assigning any duty to former crime intelligence boss Richard Mdluli.

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This was pending the determination of Freedom Under Laws application to set aside decisions to withdraw criminal charges and disciplinary proceedings against Lt-Gen Mdluli. The criminal charges range from murder and defeating the ends of justice to fraud, corruption and money laundering. 8 June 2012 The Times Page 5 Quinton Mtyala

City and Cosatu on collision course over Obama

While Cosatu is gunning for Cape Town mayor Patricia de Lille to withdraw her intention to bestow the freedom of the city on US President Barack Obama and his wife Michelle, the city is adamant it will go ahead. De Lille made the announcement last month, but opposition to the plan only surfaced recently. Cosatu provincial secretary Tony Ehrenreich said there had been no consultation. "The process was flawed,'' said Ehrenreich. ''When they came to the standing committee [responsible for name changes], Patricia de Lille had already made the announcement." Ehrenreich said Obama did not deserve the honour and that he had done nothing for Cape Town. "Cities can't do things outside of national protocol," he said. Spokesman for Cape Town Priya Reddy said all parties had been consulted before the announcement was made on May 28. "Given that council has approved the recommendation, with the support of a number of political parties and that all necessary democratic processes have been followed, there is no need to review the decision," said Reddy. Brian Denver, acting spokesman for the US embassy said the US was honoured by the recognition bestowed on the Obamas. "We appreciate the fact that there may be internal debate and feel open dialogue is critical in a healthy democracy," said Denver.

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Page 12 Editorial

Governance limbo holds SA back

Planning Minister Trevor Manuels comment that the state cannot go it alone in expanding essential infrastructure will be welcomed PLANNING Minister Trevor Manuel s comment that the state cannot go it alone in expanding essential infrastructure will be welcomed by a private sector that has been getting a cold shoulder from the government of late. However, while Mr Manuel is clearly more in touch with the real world or perhaps just less ideologically blinkered than many of his left-leaning Cabinet colleagues, that in itself is becoming something of a problem for SA. His questioning of the Cabinets controversial decision to veto a deal between Telkom and South Koreas KT Corporation, which had the potential to speed up the rollout of broadband in SA and cut data costs, echoes the consensus among sector analysts, who have been scathing in their criticism of the short-sightedness of the decision. But Mr Manuel is a member of the Cabinet and, as such, shares collective responsibility for its decisions. He presumably expressed his opinion and was outvoted by his colleagues for reasons they have chosen not to reveal. His options were therefore to grit his teeth and defend the decision in much the same way as Transport Minister Sbu Ndebele has had to defend the Cabinets decision not to give up on the Gauteng e-tolls project despite his known personal antipathy towards the toll-road concept keep mum on the subject or, if he felt strongly enough, to resign as a matter of principle. It is hard to fathom why President Jacob Zuma tolerates such open dissent either. For a C abinet to function properly, it needs to be, if not united on every aspect of policy, at least pulling in the same general direction. But therein lies the rub. There is no consensus in the Cabinet, and precious little visionary leadership, on where SA is headed and especially how to get there. There are fine goals, such as full employment, better education, less poverty and the like, and myriad plans, including those produced by Mr Manuels laudably forwardthinking ministry. But the political and ideological divide in the Cabinet is now too wide. The result is general confusion, an inordinate amount of the executives time spent fighting internecine battles and undermining colleagues, and a stupefying paralysis. Its little wonder SA has been slipping down the global competitiveness rankings, attracting a paltry share of Africas foreign direct investment and generally underperforming its economic potential. Goldman Sachs Asset Management chairman Jim ONeill, who coined the Bric (Brazil, Russia, India and China) acronym to describe the worlds leading emerging
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markets and was initially bullish on SAs prospects, despite believing it was too small to be a member of the club, now believes it does not even deserve to be part of the N11, the next 11 most-promising developing countries. He has told The Economist SA has lost its focus and can no longer be considered the continents superpower. This was, of course, entirely predictable after Mr Zuma pulled off the Polokwane putsch and deliberately put together a Cabinet with representatives from all the varied factions that rescued him from the political wilderness. That they had little in common ideologically was neither here nor there: the primary aim was to prevent the African National Congress (ANC) from disintegrating and to hang on to power. Now we are in limbo, with a president who is afraid to lead in case he offends any ANC faction that may retaliate by doing to him at Mangaung at the end of the year what they did to then-president Thabo Mbeki in 2007. Mr Zuma has to keep the alliance together, even if it is at the cost of SA treading water indefinitely while the rest of the developing world surfs past us, because if he doesnt, he could find himself in court facing those pesky corruption charges he has put so much effort into making go away. 8 June 2012 Cape Times Page 1 Gaye Davis

DA is closing in on ANC, says Vavi

Cosatu general secretary Zwelinzima Vavi has warned the ANC and trade unions that without a new ethos in the ruling alliance, the opposition DA could mount a serious challenge to the ANCs power in 2019. Vavi blamed leadership failures on a lack of political consciousness among too many union and political leaders who had become distanced from the people. Too many of our leaders stay in Sandton, in the former whites-only suburbs and a lot of them have become visitors in the theatre of class struggle, he said in an unscheduled speech to the almost 1 000 delegates at the National Union of Metalworkers (Numsa) congress in Durban yesterday, They spend six, eight hours then they go back to the comfort created by their picking up the bones falling from the tables of masters . Too many leaders had become distanced from those bearing the brunt of the jobs crisis and dysfunctional health and education systems, he said. He called for a new ethos that would prevent the ANC having its name dragged through the mud or scoring the kind of own goals that lost it control of both the City of Cape Town and the Western Cape to the DA. Vavi said the DA was showing increased confidence. That it had been able to mount a march on Cosatu headquarters involving some 3 000 unemployed African youth
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means they are gaining confidence, they are smelling something and they are saying they want to take us on at some point, perhaps in 2019. They say, we will be so weak at that time The ANC and its alliance partners were unable to take back the Western Cape, which it had lost through a rain of own goals, including divisions and factional battles. It had held off the DAs attempt to win Port Elizabeth (Nelson Mandela Bay metro) by only the narrowest of margins. Already the DA has five percent of people in the townships something unheard of in the past, Vavi said. Vavi also gave the ANC notice that the federation would discuss at its September congress putting a single demand before the ruling partys national elective congress in Mangaung in December: the full implementation of the Freedom Charter. Cosatu had been calling for 18 years for the changes that would lead to a non-racial, prosperous and democratic society, but South Africa was now the most unequal society in the world, he said. Numsa, Cosatus second largest affiliate, has already vowed to pressure the ANC to fully implement the Freedom Charter by nationalising the mines, banks and other key sectors of the economy. This position is not shared by the National Union of Mineworkers (NUM) the federations largest affiliate, however, and a position on nationalisation will have to be thrashed out at Cosatus elective conference in September. Divisions within the federation and its affiliates were caused not by political or ideological differences but by a battle for resources. The ANC was also now contested terrain, Vavi said. We are at the point now where we must convince all of us if we dont change here (within Cosatu), this revolution is going, Vavi said. While in Europe there were daily protests in the street over rising levels of unemployment, in South Africa, where the crisis was far worse, with almost one in four people without work, it was Cosatu and its affiliates that were seen as being the crisis, Vavi said. Where there were protests such as the 10 or so service delivery protests a day the leadership of the alliance was not in the forefront. Within Cosatu, shop stewards committed to servicing the interests of workers without expectations of reward were disappearing fast. Lack of focus was the most dangerous thing. We are defocused completely. We fight for positions, our focus is on positions.

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We have to create a new society a new ethos, a new principle in the organisation, Vavi said. Leaders accused of wrongdoing should step down rather than be forced to after months of bringing the name of the (ANC) down, Vavi said. He referred but not by name to Gauteng MEC Humphrey Mmemezi, still in his post despite allegations that hed abused his government credit card on hotel stays a few kilometres from his home, on suits bought in India and to pay McDonalds thousands of rand, not for food, but for a painting. He also referred again, not by name to Northern Cape ANC provincial chairman John Block, facing numerous fraud and corruption charges, yet who was likely to be reelected at its conference this weekend and whose court appearance had seen members of the provincial government present in his support. If we dont change here, so that a person like that can know hes guaranteed of no support knows that he must resign and stops us all the pain of committees of inquiry and months of bringing the name of (the) organisation down, if he can leave on his own if we cant do that then we will continue to face own goals, Vavi said. Unless we change that, we are gone because our battles are about hands off and not about unemployment, poverty and inequality. Leaders did not have to spend hours waiting for a Panado at a public hospital because they belonged to medical aid schemes. Its a distant issue for them, they are not affected immediately, Vavi said, to loud applause. With their children in private schools, too many leaders were unaware of the pain of dysfunctional schools and an education system that each year marginalised thousands more young people entering the labour market without hope of attaining a skill. And what do we do? We come to conferences and make speeches that sound so nice and yet the situation of the working class does not change. Year in, year out, people remain trapped in their poverty yet we clap hands, we sing the praises of our leaders, Vavi said. Most divisions in unions today were not ideological or political. Fights at congresses were about a battle for resources, said Vavi. So we go into this (Cosatu) congress, comrades, to say one big and central thing, there has to be a mindset change among the leadership and the activists of the federation as a whole and in the leadership of the ANC and the SACP.

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