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Political party funding: Court dismisses bid for transparency

30 September 2015 3:30 PM
An application to compel political parties to disclosed their funding has been dismissed amid the Chancellor House/Hitachi deal being the focus of criminal charges.

The Chancellor House and Hitachi bribery scandal is now the focus of criminal charges and several requests for the Public Protector to probe further.

The US Securities and Exchange Commission (SEC) claims that Hitachi sold a 25% stake in a South African subsidiary to Chancellor House, a company allegedly serving as a front for the African National Congress (ANC).

ConCourt dismisses political party funding transparency application

As a result, the matter was brought to Constitutional Court - to rule on whether political parties must be forced to explain their funding. The application was however dismissed.

EWN's Gia Nicolaides spoke to Stephen Grootes about why this application was dismissed by the Constitution Court.

Listen to the conversation below:

702's Xolani Gwala also spoke to Nicolaides about what this judgment meant.

Listen to the conversation below:

Gwala also spoke to Prof Stephen Friedman from the Centre for the Study of Democracy, who said it was regrettable that the NGO had lost the case.

Listen to the conversation below:

(Also read our article: Hitachi scandal puts focus on transparency of political party funding)

Investigation into Chancellor House officials

Bernard Hotz, Head of Business Crimes & Investigations & Partner at Werksmans Attorneys, said Chancellor House officials would most likely be investigated for their roles in the scandal.

Listen to the full conversation from CapeTalk's Breakfast with Kieno Kammies:

Without admitting or denying allegations, Tokyo-based conglomerate Hitachi, has chosen to pay $19 million to the SEC for charges of violating the Foreign Corrupt Practices Act (FCPA).

Hitachi allegedly made improper payments, which were inaccurately recorded, to the ANC in connection with the Medupi and Kusile power plant tenders.


30 September 2015 3:30 PM

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