Whistleblowers told the government and other authorities about the mass corruption happening at VBS Mutual bank as far back as 2016 – but nothing was done about it, the City Press reports.
This includes then-deputy president Cyril Ramaphosa, who was allegedly told about the looting practices of the bank’s executives in early 2017.
Citing sources close to major shareholders at the bank, the City Press reported that aside from Ramaphosa, the SA Reserve Bank and the then Financial Services Board (now the Financial Sector Conduct Authority) were also warned in 2016.
On Wednesday (10 October), the South African Reserve Bank published a report focusing on the mass looting of VBS Mutual Bank, with investigators effectively finding that there is no way for the bank to be saved.
It was found that close to R2 billion had been looted from the bank by over 50 individuals.
Advocate Terry Motau, who led the investigation, said that about R1.89 billion was “gratuitously” taken from VBS by 53 people between 1 March 2015 to 17 June 2018.
The individuals include many of the top executives at the bank and other related parties.
“No action resulted (from the warnings)…nobody was willing to do anything. Had they responded earlier, these guys would not have looted this much.”
Ramaphosa’s spokesperson said there was no record of the alleged meeting where he was said to be told about the looting.
You can read the full report in the City Press