S.Africa’s Gordhan to remain in post despite being issued with summons


“Eyewitness News has learnt that a formal summons has now been issued for Finance Minister Pravin Gordhan”, it said on its website.

“I can assure you there has been no political interference in this matter”. He replaced David van Rooyen, who had the job for a few days.

The Rand falls a staggering 2.93% against the British Pound on the latest legal problems for the South African Finance Minister.


He denied that politics played any role in the case against Gordhan. Like most emerging markets, Pretoria faces a challenge in preventing the foreign investors that hold 20 percent of its government debt from turning tail once the U.S. Federal Reserve raises rates. That was the way Mr Gordhan described it in an interview a week ago.

The finance minister has led efforts to help South Africa keep its investment-grade rating and is seen by worldwide investors as a steady hand to guide the economy through the slowest growth since a 2009 recession.

“We will not tolerate corruption; we will act forcefully against wastage”, he said in his first budget address, sending a message he still repeats today. “The summons was received by Minister Gordhan’s office in circumstances where we had expected that the National Director of Public Prosecutions (NDPP) would interact with us in light of the correspondence exchanged between our office and the NDPP dating back to 18 May 2016”. Speaking to investors, ratings agencies, worldwide policy makers, and the team argued that there are sound reasons for optimism in South Africa’s growth potential.

But he will need all his wits about him if he is to survive the country’s treacherous politics and the legal system while trying to rescue the moribund economy. The country is set to go through a review at year-end.

In August, the Democratic Alliance warned that the arrest of Gordhan would be a disaster for South Africa.

South Africa’s economy has been struggling with record unemployment, drought and political scandals surrounding Zuma.

The charges relate to the early retirement of former Sars official Ivan Pillay which the NPA says cost Sars R1.1 million.

Meanwhile, Gordhan, addressing an event in Johannesburg, confirmed the summons and said he would be in court on 2 November.

The Helen Suzman Foundation cited comments by deputy president Cyril Ramaphosa earlier this week who said that nothing must be done to create problems in state institutions.

Turkey can’t be excluded from a possible operation to recapture the Iraqi city of Mosul, Turkey’s president said Tuesday, telling Iraq’s leader to “know his place”. “It should concern us because when a government works well it should be a government that does not wage war with itself”.

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