Fikile Mbalula denies UIF bribe claims, opens crimen injuria case against businessman

• ANC secretary-general Fikile Mbalula is one of several ANC members who have been accused, by businessman Mthunzi Mdwaba, of soliciting a R500 million bribe. 
• Labour Minister Thulas Nxesi and Finance Minister Enoch Godongwana were also accused of soliciting a bribe with both men denying the allegations.
• Mbalula opened a crimen injuria case against Mdwaba at the Sandton police station.

ANC secretary-general (SG) Fikile Mbalula says he can't allow his name to be associated with corruption, so he felt compelled to open a crimen injuria case against businessman Mthunzi Mdwaba over comments he had made. 

In an interview on Newzroom Afrika, Mdwaba alleged that several ANC officials, including Mbalula, Labour Minister Thulas Nxesi, and Finance Minister Enoch Godongwana, had demanded a R500-million share of a UIF employment scheme that his company, Thuja Capital Funds, was expected to roll out.

Mdwaba, who previously chaired Productivity SA, made the news recently when Nxesi halted and scrutinised the R5-billion job scheme that would have benefitted the company. The scheme would have given Thuja Capital funds to acquire stakes in companies and pressure them to hire more employees.

Mdwaba said he hadn't made the allegations sooner because he feared approaching law enforcement agencies.

READ | Standoff between Thulas Nxesi and Productivity SA chair puts the brakes on R5bn employment scheme

Mbalula opened the crimen injuria case at the Sandton police station. 

He said that if Mdwaba had concerns about corruption, he should have approached law enforcement agencies for an investigation - not the media.

"The law requires and compels any person who holds a position, who knows or ought reasonably to have known or suspected that any other person has committed an offence (of corruption) in terms of Sections 3 to 16 or 20 to 21 of Precca or theft, fraud, extortion, forgery or uttering of a forged document involving an amount of R100 000, must report such knowledge or suspicion or cause such knowledge or suspicion to be reported to DPCI. Section 34(2) of Precca provides that any person who fails to report such corrupt activities is guilty of a criminal offence with a potential custodial sentence," Mbalula told the media outside the police station. 

Mbalula's lawyers have also written to Mdwaba to demand an apology or face a court order compelling him to apologise.

The ANC leader said it had become too convenient for people to make allegations of corruption against the ANC or its members without evidence.

READ | Former productivity chair Mdwaba defends UIF deal

He said he had been the one who raised concerns about the infiltration of the Gupta family in ANC national executive committee meetings and, as such, he could not be associated with corruption. 

"In the South African political parlance, it has become too easy to soil one another with the corruption tag. Corruption eats away at the significant gains of democracy; it defers the dreams of the entire nation." 

Mbalula added: 

The ANC national working committee is expected to discuss the UIF debacle on Monday.

Mbalula said he tabled the matter for ANC officials. If he was guilty, it made no sense for him to push the party to discuss the matter. 

Mbalula denied ever engaging Mdwaba on UIF matters. "I have never had any prior specific engagements with him, and never have I ever talked to anybody about any UIF deal. I was woken up by people when this man was on TV throwing my name and saying that the SG did this and that," Mbalula said. 

"He has never come to me and said things are happening in your name. I work at Luthuli House, and he knows where to find me." 

ALSO READ | Labour DG quits: 'Dominoes start falling' in wake of R5bn UIF scandal

On Wednesday, Godongwana sent a legal letter to Mdwaba, demanding a retraction and an apology within seven days. If he does not do so, he will face legal proceedings. 

Commenting on the allegations, Nxesi said: "This is false and without foundation; not one iota of evidence is provided in what is clearly a self-seeking attempt to divert attention from the issues around the R5bn Thuja scheme."