'I've never heard of a bank that recognises a PTO as collateral'

Secretary General of the Congress of Traditional Leaders of South Africa, Nkosi Xolile Ndevu, says he has never heard of a bank that recognises the PTO (Permission To Occupy) as collateral.

President Jacob Zuma told Parliament that he used the PTO to acquire the bond to build his homestead in Nkandla.

Zuma was answering a question from the Democratic Alliance MP, James Selfe, asking which collateral did the president use in order to raise the bond in a tribal land.

Xolani Gwala spoke to Nkosi Ndevu, to find out how a PTO works.

PTO is a system of land holding for communal people. It's a document you're given when you're a member of that particular community allocated a piece of land.

Nkosi Xolile Ndevu, Secretary General of the Congress of Traditional Leaders of South Africa

It doesn't given you a full title holder in the land. It says you are given this piece of land to occupy it, if you are no longer using it, you must bring it back to the community again.

Nkosi Xolile Ndevu, Secretary General of the Congress of Traditional Leaders of South Africa

Unfortunately, it's not a piece of paper recognised by banks. It's a document that you cannot take to the bank for the bank to give you a loan, because it doesn't guarantee you ownership of the land.

Nkosi Xolile Ndevu, Secretary General of the Congress of Traditional Leaders of South Africa

I have never heard of a bank that has recognised a PTO as a collateral.

Nkosi Xolile Ndevu, Secretary General of the Congress of Traditional Leaders of South Africa

Listen to the full interview below...

Read More
Competition Commission investigates five companies to stamp out price-fixing

Competition Commission investigates five companies to stamp out price-fixing

Commission says investigation into food and agro processing companies is important because of high levels of inequality in SA.

DBE employs unqualified maths teachers - Equal Education

DBE employs unqualified maths teachers - Equal Education

Equal Education says the Department of Basic Education fails to deal with problems existing in both foundation and senior phases.

Singer Patricia Lewis speaks of music career, and being a mother

Singer Patricia Lewis speaks of music career, and being a mother

South Africa's top-selling female recording artist in history, Patricia Lewis, tells Xolani Gwala about what she is up to now.

2016 heralds the end of post-apartheid political era - Stephen Grootes

2016 heralds the end of post-apartheid political era - Stephen Grootes

2016 has been a year of fighting legal battles for President Jacob Zuma says Stephen Grootes who previews what to expect in 2017.

ANC rebukes SABC delegation for Parliamentary walkout, brands it disgusting

ANC rebukes SABC delegation for Parliamentary walkout, brands it disgusting

ANC Parliamentary spokesman Moloto Mothapo says Parly looking at legal action against delegation for disrespecting constitution.

EWN Ziyanda Ngcobo compares #FeesMustFall 2015 and 2016 dynamics

EWN Ziyanda Ngcobo compares #FeesMustFall 2015 and 2016 dynamics

From protests for a no fee increase and in-sourcing, to a movement for free decolonised education. How has #FeesMustFall changed?