Public Investment Corporation (PIC) chief executive Dan Matjila, Finance Minister Malusi Gigaba and his deputy Sfiso Buthelezi addressed the media following reports PIC funds would be raided to assist cash-strapped state-owned entities. Photo: Jonisayi Maromo / ANA

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Gigaba cleanses the PIC

Sello Theletsane


Following recent media reports suggesting that Public Investment Corporation(PIC) boss Dr Dan Matjila was being smeared and targeted, Finance Minister Malusi Gigaba has written a letter to his deputy Sfiso Buthelezi who is also PIC board chair requesting him to among others disclose all PIC transactions (both Listed and Unlisted Investments) concluded in the last 3 years from 2014 to date.


Gigaba also instructed the PIC board to “immediately conduct a forensic audit on all its contracts on investments for the past two years to date”.  WeeklyXposé previously reported how Matjila played a leading role in a murky and possibly fraudulent investment deal to the tune of more than R1bn in a dilapidated Mozambican oil refinery plant that is not operational, years after a massive cash injection from the PIC.


Matjila has so far survived two board meetings that were called last month to deal with allegations that he contravened PIC rules. He is alleged to have funded a romantic partner’s business.


On September 15 the board said it had “full confidence in Matjila’s integrity and ability”, but also that it would ask the PIC’s internal auditors to verify evidence Matjila had provided in response to the charge of financial impropriety involving R26-million.
WeeklyXpose has seen a copy of a leaked letter dated Monday 9 October in which Gigaba expresses “grave concern that the negative perceptions and concerns have continued to manifest themselves in the public domain in the past few weeks, even after there has been an attempt to address these issues”.


Gigaba wrote: “The PIC is amongst the best performing public entities with a good track record and it contributes significantly to the economy. Any form of uncertainty in the PIC would further destabilise the economy.” He further demanded that Buthelezi disclose the following:


·         The transactional advisors and or sponsors of all transactions.
·         The amounts paid by PIC to those transactional advisors or sponsors.
·         Disclose all the BEE Consortiums in those transactions: this must specifically state each individual or legal entity that has participated in that consortium (e.g. company, trust).
·         In case of a legal entity, directors and shareholders of the entity must be disclosed.


Gigaba further requested Buthelezi to furnish him with a list of transactions that the PIC had concluded with parties that are classified as PIPS (Prominent influential Persons).


“I further request that the PIC discloses details of individuals or companies who have been funded by the PIC or participated in a PIC transaction more than once in the past three years. This should also reflect the amount of these transactions,” wrote Gigaba.


Click here to see full version of Gigaba’s letter SKM_C55817100915280..

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