The pressure of the Public Protector (PP) and the minister of mineral resources pronouncements caused the rand and the stock markets to tumble, and it raises the question of whether it might be done deliberately for the benefit of the ANC, said Adv. Anton Alberts, the FF Plus’ parliamentary chairman and spokesman on finance.
Adv. Alberts said the PP’s announcement that the Reserve Bank’s constitutional role should be reviewed to be more protective to the population and protect the Rand had a strong adverse effect on the Rand.
He said anyone with prior knowledge would know that the Rand would be negatively affected and one could capitalize on it through Short-Term transactions. The PP also knows what its mandate is and that it cannot prescribe to the executive or legislative authority on how legislation should be. Yet she caused a great impact on the currency markets with her report.
Similarly, the publication of the mining empowerment charter by Minister Mosebenzi Zwane in one day wiped out R51 billion of mining shares. “The minister knew what the effect of the charter would be and that it would have an adverse impact on mining shares. The same goes for any person who knew this beforehand and who wanted to position themselves to raise mining shares at a discount.”
“The ANC is on record that they want the government and more black industrialists to participate in the economy. It would therefore be interesting to keep an eye on whether the government itself benefits from mining shares and whether or not the ‘black industrialists’ will accumulate mining stocks, with particular funding from the Industrial Corporation and/or the Public Investment Corporation which have billions of Rands from among others the Public Service Pension Fund, the Unemployment Insurance Fund and the Compensation Fund.”
“The attacks on the sectors of ‘power,’ as identified by the ANC, cannot be coincidental. It has long been known that the ANC, like the EFF, wants control over the banking and mining sectors. Unlike the EFF, the ANC does not use the language of expropriation, but does the same by legislation that systematically places more restrictions on ownership; Thus it is a sneaky way of expropriation.”
“It is also possible for the ANC to create the environment for escapism through the weakening of the markets that provide empowered and politically-linked buyers to make money on the one hand from the Rand’s movement and the purchase of shares where the prices are enforced, just as Optimum has been forced into bankruptcy by Eskom to implement a sale to Tegeta and Oakbay.”
“In view of this, the FF Plus will ask the Financial Services Council and the Johannesburg Stock Exchange to investigate who made short-term transactions on the Rand’s move following the PP’s report. There will also be a watch of who buys mining shares, especially with the help of the Industrial Corporation and/or the Public Investment Corporation,” said Adv. Alberts.
Read the original article in Afrikaans on Die Vryburger
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