Floyd Shivambu did not pay attention to Brian’s business until VBS scandal

Floyd Shivambu did not pay attention to Brian’s business until VBS scandal

- EFF deputy leader Floyd Shivambu has revealed he never paid much attention to his brother’s, Brian Shivambu, business dealings until after the VBS looting scandal was exposed

- Brian’s consultancy company Sgameka Projects provided professional services to Vele Investments, the main shareholder of VBS and a company deeply entangled in the looting saga

- Floyd said he looked closely at the contract between Sgameka and Vele after the VBS story broke and found nothing untoward in how his younger brother was conducting business

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Economic Freedom Fighters (EFF) deputy leader Floyd Shivambu has revealed that he never paid much attention to his younger brother’s, Brian Shivambu, business dealings until after the R1.89 billion VBS looting scandal was exposed last week.

Brian’s consultancy company Sgameka Projects provided professional services to Vele Investments, the main shareholder of VBS and a company deeply entangled in the looting saga. Floyd said he looked at the contract between Sgameka and Vele after the VBS story broke and found nothing untoward or worth reporting about how his brother was conducting business.

READ ALSO: Floyd Shivambu: Brian is willing to pay back R16 million to VBS

Floyd said once he had a detailed look at the agreement between Vele Investments and Sgameka Projects it was clear to him that his brother was delivering services to Vele on its non-banking assets which include operations in mining and the insurance industry.

Briefly.co.za gathered that Floyd said Vele Investments, as a company, owned or had a stake in multiple different sectors which were completely separate from its majority stake in VBS Mutual Bank.

Floyd said it his brother did not have any personal or business connections with VBS.

Shivambu told IOL.co.za that the EFF’s action’s in regards to having VBS placed under curatorship by the South African Reserve Bank (SARB) was aimed at protecting the deposits made by stokvels, the elderly and building societies and was not a way to protect the shareholders of the bank.

Floyd said the EFF wanted the SARB to recapitalise the faltering bank’s assets in order to guarantee the safety of the deposits made by ordinary mostly poor people in Limpopo.

The report into the collapse of the bank alleges Brian received gratuitous payments totally R16 million from VBS and that he was believed to have shared R10 million of that with his older politically connected brother.

Both Shivambu brothers denied these allegations. EFF leader Julius Malema has come out in support of Floyd, the EFF’s deputy leader, and his brother Brian.

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Malema said Floyd had given the EFF full access to his personal banking records which proved he had not received any money from VBS or Sgameka Projects. Malema accused the media of using Brian as the face of the VBS scandal because of his connection with the EFF.

Malema pointed out that Brian was not a public figure or an elected official, but had been vilified by the media as part of a witch-hunt against the EFF in the run-up to the 2019 general election.

Malema added that he would not hesitate to punish Floyd appropriately if evidence came to the fore which proved he was guilty of looting or corrupt activities.

Malema said he was convinced no such evidence existed because Floyd did not take part in any looting or illegal activities. Malema called on the media to provide proof to corroborate their baseless accusations.

READ ALSO: EFF on VBS allegations: Treasury and Gordhan not Shivambu to blame

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Source: Briefly.co.za

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