Unions oppose moves to oust PIC’s Matjila

TRADE unions are leading a pushback against concerted efforts to oust Public Investment Corporation (PIC) boss Dan Matjila.

Yesterday the country’s biggest trade union federation, Cosatu, said it was consulting with its affiliates regarding attempts to remove Matjila, as the fight for control of the crucial funding institution intensifies among political elites.

Proceed to Source : IOL

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A Helicopter, Sports Cars And A Missing R900m — Everything You Need To Know About The VBS Bank Drama

VBS Mutual Bank is once again in the spotlight, this time over allegations that its shareholders plundered the institution’s finances to sponsor their extravagant lifestyles.

What’s now at stake is about R1.5-billion of taxpayer money deposited into the embattled bank by more than a dozen municipalities in various provinces. The Public Investment Corporation, which manages the Government Employees Pension Fund (GEPF) and is one of the bank’s largest shareholders, also stands to lose millions.

According to separate reports by Sunday Times and City Press over the weekend, this is what you need to know:

– At the centre of the allegations are bank shareholder (and Vhavenda king) Toni Mphephu Ramabulana; the bank’s former chairman and Vele Investments founder Tshifhiwa Matodzi; and Vele Investments CEO Robert Madzonga. Vele Investments is the bank’s largest shareholder.

– It is alleged the trio used hundreds of millions in depositors’ funds to pay for their lavish lifestyles, which includes a helicopter for the king, luxury apartments, designer clothing, and sports cars. This was reportedly done through a series of vehicle finance deals, mortgage bonds and complex intercompany loans between VBS, Vele Investments and its subsidiaries.

-About R900-million is said to be unaccounted for.

Proceed to Source : Huffington Post

‘Market Sensitivity’ – a convenient new way to avoid accountability, disclosure and public scrutiny

No one can use market sensitivity to hide corruption, parliamentary finance committee chairperson Yunus Carrim emphasised as the Public Investment Corporation took advantage of the gap, opened by ANC MPs and EFF Chief Whip Floyd Shivambu, not to answer questions because of “market sensitivity”.

The Public Investment Corporation (PIC) on Tuesday took advantage of the gap opened by ANC MPs, along with EFF Chief Whip Floyd Shivambu, not to answer questions because of market sensitivity. And there could be a replay on Thursday when troubled SAA appears before the finance committee to discuss its quarterly report, given a resolution that the meeting could be closed for discussions on market sensitive issues. This approach provides a dangerous precedent – even if legal advice informed MPs that such an approach was their prerogative.

Proceed to Source : Daily Maverick

PIC has performed well, CEO Matjila tells MPs

Public Investment Corporation (PIC) CEO Dan Matjila and his executives came out fighting on Tuesday against allegations of impropriety and bad investment decisions by the corporation.

Matjila and his team were grilled by members of Parliament’s finance committee.

Proceed to Source : Business Live

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How the PIC is taking a more active line

Auditor rotation, flawed remuneration policies and director independence continue to be the corporate governance issues most likely to incur the ire of the Public Investment Corporation (PIC), which voted against 11.5% of the resolutions put to it at shareholder meetings held during the nine months to end-December 2017.

Proceed to Source : Business Live


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PIC bill will curb CEO’s power

The Public Investment Corporation (PIC) Amendment Bill, which is set to be gazetted on Friday, may make the chief executive position, currently occupied by Dan Matjila, less influential by decentralising its powers – and hopefully attract investors.

According to the draft of the amendment, the current mechanisms are overly centralised and may lessen investors. To remedy that, it has proposed that there be designated board non-executive seats for a representative of the National Treasury and not more than three representatives of a registered trade union whose members are the majority Government Employees Pension Fund (GEPF) – the biggest shareholder of PIC.

It provides for directives to be tabled in the National Assembly, to the depositors as well as to publish it on its website.

Proceed to Source : FIN24

PIC’s powers under scrutiny

With control of R1.9-trillion in pension and other government social funds, the Public Investment Corporation (PIC) is the largest single investor in the JSE, with investments equal to 12.5% of its market capitalisation. It is also the biggest investor in government debt and holds more than 40% of Eskom’s listed bonds. What it does, how well it does it and whether it does it with integrity is of prime importance to the health of our market and economy.

Proceed to Source : Business Live

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