Why is SACTWU shielding Minister Patel from the Canyon Springs hearing?
The Democratic Alliance (DA) will push for Economic Development Minister Ebrahim Patel to account to Parliament for his involvement in the Canyon Springs fraud saga.
This comes after the Southern African Clothing and Textile Workers' Union (SACTWU) successfully smothered any attempts to get Minister Patel to testify at the Pension Fund enquiry into Canyon Springs' liquidation.
We will submit an official request today for the Minister to appear before the Parliamentary Portfolio Committee on Economic Development to account for his involvement.
Key questions that remain unanswered by Minister Patel are:
- whether he had knowledge of the fraud being perpetrated by Canyon Springs during his time as SACTWU General Secretary;
- how the decision was made to invest in Canyon Springs Investments;.
- if he, as SACTWU general secretary, ever received reports from the trustees of the textile workers' provident funds, and what the contents were;
- what were the nature of discussions between him and Deputy Minister Godongwana on issues relating to Canyon Springs or the ongoing inquiry; and
- whether any members of Minister Patel's extended family benefited from investments made by Canyon Springs.
Until Minister Patel speaks on this, suspicions will remain around his credibility and the real reasons for Deputy Minister Godongwana's resignation.
The known facts are that Canyon Springs Investments stole R100 million from SACTWU pension funds whilst Minister Patel was the general secretary of the union.
One can only speculate as to why SACTWU decided not to call their previous general secretary to testify, even though their legal representatives, Xulu Liversage Attorneys, subpoenaed Minister Patel to testify late last year.
These developments all raise difficult questions for Minister Patel. He should come to Parliament to set the record straight.
Statement issued by Kobus Marais MP, DA Shadow Minister of Economic Development, January 23 2012
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