Opportunism and the ability to adapt to changing circumstances are arguably some of the prime ingredients of success in business. The changing political landscape in South Africa has required some business leaders to re-evaluate their political positioning. Under the Mbeki administration, there had been accusations that those who were closely aligned to the party heavyweights, including the heavyweights themselves – the so-called “usual suspects” — benefited unfairly from BEE transactions to the detriment of other less known and less connected black businessmen. There is growing sentiment among those who were left on the periphery of BEE prosperity that now is their time.
Since Zuma rose to power, a number of black business leaders have come out of the woodwork to mount their colours to the Zunami. These are business leaders whose silence was deafening for the better part when Zuma endured political and legal misery; and settled on expressing no support for him until even the blind could see he was, in spite of his alleged improprieties, the path to immeasurable prosperity. It is well within their rights and in the interest of their business success, however transient, that they elect a political position of convenience. Business feeds on opportunism.
Sipho Pityana, who was a director-general in the Department of Foreign Affairs in Mbeki’s government and now is the executive chairman of Izingwe Holdings, is one of the numerous business leaders who have aligned themselves with Jacob Zuma. Sipho Pityana contends that persisting with the charges against Zuma is “reckless and foolhardy” and not in the public interest.
He, like Blade Nzimande, attempts to blackmail us by saying, “The crisis of confidence in the country would set in (when Zuma is charged). The price of political instability would begin to show in the economy as skills and capital flights become real. Is this the price that the country should be prepared to pay for the price of a conviction against Zuma?” Pityana conveniently ignores the fact that the subversion of the rule of law is by itself enough reason to trigger the flight of capital he refers to.
Sipho Pityana goes on to admit that, “business in particular tends to be very opportunistic. Its tendency is often to associate with those connected to the powers-that-be, not with those who may have fallen out of favour,” thus making his intentions and those of many other like him crystal clear.
Another business leader worth mentioning is Sandile Zungu, a former Chairman of Denel and now chairman of Zungu Investments and Umthunzi Telecoms among a varied portfolio. Sandile Zungu along with Matodzi CEO Sello Rasethaba and Robert Gumede, executive chairman of GijimaAst, organised an event in November 2007 for business leaders to dine with Zuma; and it was reported at the time that many prominent black business people shunned his invite. They may be excused for having not been endowed with the gift of foresight, otherwise they would have known that in the business arena of opportunism, President Mbeki is a liability.
Sandile Zungu’s alignment to Jacob Zuma may perhaps be largely born of bitterness after losing out on the Transnet’s shares in MTN. His unhappiness was widely reported in the media after claiming to have “shook hands” with then Minister of Department of Trade and Industry, Alec Erwin, to seal the deal, only to learn later that the government had decided otherwise. The man is suing the government and Transnet for R8 billion. Good luck chap!
When returning from the World Economic Forum in Davos, Switzerland, earlier in 2008, Sandile Zungu, like a loyal support, penned a jaw-dropping tribute to Jacob Zuma whom he likened to the Brazilian President Lula da Silva. Zungu encouraged constructive dialogue between the new leadership collective of the ANC and organised business. Suddenly Jacob Zuma had many friends in business he never knew he had.
That Tokyo Sexwale also threw his weight behind Zuma came as no revelation. Although Sexwale has thrived under Mbeki’s economic policies, he was reported to have experienced Mbeki’s vicious corruption combat, or the “political pre-emptive strike” as The Star reported in 2007. It is alleged that President Mbeki, when still deputy president of the country, had requested that Sexwale be investigated for alleged criminal activities. These are allegations against the president that feed the frenzy of political conspiracies among Zuma’s supporters.
We all remember President Mbeki’s trusted lieutenant, the late Steve Tshwete, announcing that Sexwale, Cyril Ramaphosa and Matthews Phosa were hatching a plot to assassinate the president. Sexwale can be forgiven for bearing a chip on his shoulder.
Recently Jerry Vilakazi, CEO of Business Unity SA (BUSA), also insinuated to the shock of his colleagues at a political solution for the besieged president of the ANC. However, President of Busa Brian Molefe was quick to highlight the fact that, “if we have constitutional democracy with the rule of law then surely we must wait for the courts to finalise their processes. I can’t see how any politician can intervene.”
Molefe stressed that, “the interest of business is to see respect for the rule of law. Business has a long-term interest in that because you don’t want precedents to be set where matters before the courts are settled politically. You can’t do that.”
The Times reported that Busa representatives held a meeting with President Mbeki on Friday, August 29 2008, and part of the discussion revolved around the Zuma issue. The Times reports that Brian Molefe rightfully insisted that any resolution would have to be within the law.
It would not be far-fetched that the ANCYL, the Young Communist League, Cosatu, SACP and the ANC would see this meeting as organised business conniving with the President against Zuma. After all, Zuma’s supporters have been talking about a conspiracy that they had never been able to prove. This recent development presents them with ammunition to launch an offensive against the office of the President; in a ridiculous attempt to further intimidate the judiciary and the NPA into submission.
Not only has Jacob Zuma’s ascendancy to power established an unfathomable chasm between the ANC and sent it into rancid disarray and disorder; planting a regrettable seed of discord; he is now driving business leaders into making unfamiliar choices between the two warring factions. I wonder whether the author of the codes of good corporate governance took cognisance of the imperatives of political expediency in business.
Attention is being redirected from effective execution of business strategies and creating value to the shareholders to tactical political positioning which may threatened the long-term sustainability of their business. Those leaders, whose prominence in business is due to the fruits of their political credential and association with Mbeki, may soon find themselves in the business and political wilderness.
Their marriages of convenience with the established white business empires may soon prove unworkable as the object of mutual attraction and affection was only momentary. It is those with fortitude of mind and natural business savvy who would stand firmly rooted amidst the hurricane of political change.
It is principled business leaders like Brian Molefe who choose not a “path of least resistance” by advocating unconstitutional means to resolve Jacob Zuma’s legal quandary, who would become target of senseless attacks by political hooligans with the ANC. Thomas Paine stated in Common Sense (1776): “For as in absolute governments the king is law, so in free countries the law ought to be king; and there ought to be no other.” The rule of law is the foundation upon which our democracy is sustained. It is those who seek to ravage this foundation who we should condemn as counter-revolutionaries. It is Mantashe and the outlaws in the ANCYL who are hell-bent in reversing the gains of the “revolution”.
….. or maybe its that 3rd force again?
Sentletse Daikanyo
You’re also trying to be political correct… if you want to criticise the Pipe Smoking Internet-based health scientist’s deeds, stop beating about the bush…Orrrr is he an endangered species?
You’ve consistently seen it fit to denounce Zuma’s actions, so I just cannot comprehend why you still clamour about people aligned to him whilst the subject of your post is disguised as something slanting towards the Pipe smoker’s suspicious motives.
You piece echoes the feeling of many in this country. Thank you for that. It is also in many ways similar to this piece from the Business Times:
http://www.thetimes.co.za/Business/BusinessTimes/Article1.aspx?id=833013
Zuma antics nothing short of blackmail
Business Opinion
Thank you for being the principled person that you are and keep up the great work.
Just a reminder Sentletse. Brian Molefe is a civil servant under the Mbeki administration, so is his wife Portia. He is not a businessman in the true sense of the word. Molefe can afford to be reckless with public servants’ pensions, the state can always bail him like they are doing with SABC, ESKOM, TRANSNET et al. Most of the business people you’ve mentioned are people who are trading with their own money not just some government appointee masqurading as a business man. Real business people cannot afford to risk their money just to appease the Mbeki crue.It’s ironic that these business people can afford to fly away in case there’s a war and yet they are there ones who are trying very hard to avoid war. Is it a question that they have more to loose than you Sentletse?
Well said. Some of the business people who have now aligned themselves with the glass house of Zuma, will soon realize that the guard will have to change soon, and they might have to shift again – shape shifters. I really honour businessmen like Vuli Cuba who told his longtime business partners Saki Macozoma and Moss Ngoasheng that he does not want to depend on BEE deals, but rather wants to be a true entrepreneur and navigate the business terrain like any other business person.
In the final analysis, the JZ case has started in the courts and it must be completed there. I just hope that the country is strong enough to take that route and risk the destruction of one person rather than that of the fabric that holds our nascent democracy together.
2 for 2
Another really good piece.
Hats off to Molefe, it is so refreshing to view principals in action.
I endorse the thrust of this article and firmly believe the law must take its course.
But we must understand that the Law is not absolute; that said course reflects on it; that it is and forever shall be a work in progress. As such not only the the legislature, but also the judicial and executive arms of the government must be held under close and constant scrutiny. We have a great deal of work to do and any attempt to prevent this from happening must be observed carefully.
This ensures that the elements of balance and bias will always be relevant. Which means that guilt may not be sufficient cause to deny Zuma authority. When all is said and done, cast the first stone applies. Essentially, in South Africa, given our history and the history of the judiciary and the executive, it seems relevant to believe that those who deny this have an axe to grind.
The blackmail that Vavi, Blade and Malema use (that the country will implode should Zuma be found guilty) just proves that some of our “leaders” are ready to go against the very foundations that they will later rely on when they are back in power! One wonders what kind of a country they envision…sacrificing principles for the sake of immediate gains is a curse we will have to live with should we allow such men to mislead us! If Zuma is innocent, then let him prove it in court, if there is a conspiracy…perhaps his defence should focus their energy on unravelling this instead of destroying the pillars of democracy (that is what we PAY them for after all).
Could not have said it any better! Good piece, Sentletse!
It’d be interesting to read what the hounds, chihuahuas and mewing lions that had the penchant for defending the ever-dancing buffoon’s quest for ascendancy to Office, would say in reaction to your “apparent orchestration of the media propaganda against” their favourite buffoonery ANC so-called leader. And I bet that, given that Kgalema Motlanthe seems to be the new object (or proxy?) of thoughtless hostility within the ANC, these hounds are probably also already casting Motlanthe in bad light – thus conveniently forgetting that it was them and their ilk within the ANC who pushed Motlanthe (against the latter’s convictions and will) to go to Parliament.
Well done on your piece, Sentletse, once more!
@Sentletse I could not agree more with the sentiments that you express in this article.
It is those who are baying for the destruction of the rule of law in their efforts to keep Zuma away from his day in court who are the real threat to our hard won constitutional democracy not those who want to uphold our democratic institutions such as our Constitutionality and the rule of law.
The constitution was constructed by all the parties involved in order that it should timelessly serve ALL the people of our nation without fear or favour.
In contrast to the Constitution however most politicians serve only themselves and/or special interest groups with close links to them. Furthermore politicians are mortal so their life spans are limited.
Thus people who put politician’s personal interests above the Constitution are not serving the people of this nation nor are they serving the real interests of future generations either. To do this they need to work tirelessly to uphold the institutions of our democracy, not seek to undermine them.
Molefe stressed that, “the interest of business is to see respect for the rule of law. Business has a long-term interest in that because you don’t want precedents to be set where matters before the courts are settled politically. You can’t do that.”
. Fortunately for the people though because
Hmm, very confused! I simply rest my case on this one.
SIPHO, I would have expected a man of your intelligence to have easily drawn distinction between a government department and a parastatal. I have clearly over-estimated the degree to which you employ your mental faculties.
When you’re a crony-capitalist, you’ll go bankrupt quick-smart unless you’re the crony of the right person.
If you’re a real capitalist, you’ll make a profit just like you’ve always made before. You don’t depend on the umbilicus of cronyism.
Jeez Sentletse; sure there is a technical difference between government and a parastatal but in SA it’s just a technicality. Eskom et al are just parking places for government appointees and their positions have nothing to do with performance. If I read you correctly Molefe has stuck with the Mbeki camp so far, others are swinging or have swung.
Very few of these businessmen are self made. They have become wealthy because of their political connections and their survival depends on keeping these connections strong and in good working order. If this means switching to the Zuma camp, so be it. It’s similar for all business in SA – rather not antagonise politicians. Huge government contracts (defence, stadiums, power stations etc) are so lucrative as you dispense with transparent and open tender processes and enter into the crooked gloom of corruption etc. The great beauty of it from business and government’s point of view is that it’s not your money and you are seldom held to account.
Sentle…you understand economics but you fail to apply its logic in this regards. How could you question the relationship between the economy and the political system if you understand economist’s interest?
If you realise the influence that political factors have on such issues as business cycles, inflation, unemployment, growth, budget deficits and implementation of stabilisation policies, then, you should praise those business guys as having correct approach.
You witness the influence of the motor industry on the latest policy regarding motor industry development programme (MIDP). Why you did not question their interest?
You have to appreciate that the JZ group is not untouchable as you put it. They just human like you. You can sit down with them and express your views without being asked what school did you go to.
Let entrepreneurial-minded people put the interest of business first so that we can fight unemployment, and let black people be rich to balance the scale caused by apartheid.
Sentletse, don’t be personal. It is the truth that Brian Molefe and his wife depend on the government for their livelyhood.If you were to check closely, you’ll probably find that PIC is heavily invested in most businesses that are owned by people who are aligned to the president. It doesn’t matter whether you want to call a state organ a parastatal or governmemt department, the fact is they are all propped up by our taxes. When things go wrong they don’t disappear from the scene like most business do. It is therefore not far fetched to deduce that Molefe is either currying favour or returning favour to his family benefactors.Sentletse, is it pure coincidence that most of the business people who have publicly (emphasis) expressed the same sentiments as Molefe happen to be connected to state organs?
No semantics please Sentletse, just engage honestly.
Now that you’ve done everything and convinced yourself and your supporters that Zuma and his supporters are the worst that has ever visited this country. Your challenge is to critically engage your political views. Does the South African government only deal with democratic countries in the world? If the answer is no,how does that sits with you? Why should businesses be different. The role of business is to follow profit where indicators point it. Only state sponsored entities like the PIC can afford to deal only with paragons of democracy.
I your extract is that business persons blow with the wind, then Saki Macozoma and the rest of the BEE benefiaciary crew under Thabo Mbeki are about to change course, just like Dali Mpofu.
SIPHO, the same people you refer to who express same sentiments as Molefe, do so because they respect the rule of law and expect self-respecting citizens to uphold the same.
Do not confuse democracy and “rule of law”. We have a democracy, yet the rule of law is being undermined by the ANC. The fact that SA may have relations with countries like Cuba who are declared undemocratic is not a reflection on us as a nation. Cubans chose communism instead of democracy; and we should not judge them for the political system they prefer.
Saudi Arabia is not democratic and so are other Arab countries. It is their prerogative to choose the political system that best suit them. It is not for the west or us to impose our political will on them.
You seem to suggest that because Molefe works for a parastatal, he should be singing from the same revolutionary hymn book of the new ANC. It would be a sad day if no one speaks out against what is currently happening.
TMAN, long-term sustainability and growth should be aim of everyone involved in business. I do belief that those whose business success is dependent on political favours; are short-sighted as their long-term sustainability of their business would be compromised.
The majority of business people would always have a political affiliation, but that should not be the foundation upon which their business relies. We know for example that Patrice Motsepe is affiliated to the ANC, and he has so far gone on with managing his business interests and not making political pronouncements in public in order to win favour of the incoming leaders.
There seem to be an element of opportunism that motivates business leaders who come out in support of a political solution for Zuma. And they’re within their right to do so.
Sentle…why it is now that we see opportunists when people associate themselves with JZ but it is not the case when businessmen and women fly out with TM to Angola, Tanzania and etc. Or there is BEE in TM and opportunists in JZ?
TMAN, it is the norm that business leaders accompany heads of state when trade is subject of discussion; when bilateral trade agreements are expected to be signed with other countries, etc. This is not sucking up to the President.
If siding with Mbeki was opportunistic, everyone was then. After all Zuma was upthere with Mbeki too at the time of all of these big BEE deals or was he attending to the masses as many would like us to believe?
I think it is quite simple really, there are basically two categories of human beings, those who follow principles and those who follow others who appear to offer them the most material gain.
Most of us fall between these two poles but sadly with a predominance toward the second poleespecially people who go into business in a big way.
The smaller group of people who follow principles are the people who enable humanity to survive and progress in the long term.
Sentletse you’re becoming too pedantic here. What’s a difference between the absence of democracy and the absence of rule of law?
As for Brian Molefe, I just don’t find someone who agrees with his boss courageous. In my book it doesn’t demonstrate valour when you agree with your benefactors.
My problem with your approach Sentletse is that you choose one set of crooks and do everything to defend them, while at the same time throwing mud at the crooks you don’t like. Maybe you should be guided by principle rather than political expediency.
To Sentletse
“TMAN, it is the norm that business leaders accompany heads of state when trade is subject of discussion; when bilateral trade agreements are expected to be signed with other countries, etc. This is not sucking up to the President”
My question is how are those business people who accompany the president to those places chosen? It’s definately not just any business person who gets afforded the opportunity.