Justice and Constitutional Development Minister Thembi Simelane has responded to criticism over a R500,000 loan she received from Gundo Wealth Solutions, a company linked to the now-defunct VBS Mutual Bank. Simelane argues that the loan issue, which has drawn scrutiny due to allegations of misappropriated funds, falls solely under a breach of the Municipal Finance Management Act (MFMA).
Simelane maintains that the loan, which predates her tenure as a Member of Parliament (MP), should not be referred to the ethics committee. She asserts, “The investigation has only found me in breach of the MFMA. If I had chosen not to repay, the investigation’s findings suggest I would be in the clear.”
Additionally, Simelane claims she was unaware of the origins of the loan funds, stating, “I had no knowledge of where the money came from, as Ralliom Razwinane managed his own account and business separately.”
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