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Pretoria High Court sets aside R5 billion UIF-Thuja Holdings deal 

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Johnathan Paoli

THE North Gauteng High Court has set aside the controversial R5 billion deal between the former chair of Productivity SA and CEO of Thuja Holdings Mthunzi Mdwaba, and the Unemployment Insurance Fund (UIF).

Acting Judge Japie Maritz made his judgement on Friday and said that the deal which was concluded in December 2022, was invalid and prevented Mdwaba from making further defamatory remarks about the Minister of Employment and Labour Thula Nxesi.

This follows Mdwaba’s numerous public claims that Nxesi solicited a R500 million bribe for the deal and that officials acting on behalf of three Cabinet ministers attempted to further solicit a 10% kickback from the irregular deal.

Allegations were that Finance Minister Enoch Godongwana, Higher Education Minister Blade Nzimande and African National Congress (ANC) secretary-general Fikile Mbalula approached Mdwaba for the bribe, despite the CEO failing to provide sufficient evidence of his claims.

Mdwaba previously said the three top leaders approached him, through emissaries, demanding “gateway fees” of R500 million, which would be 10% of the R5 billion deal, which he had secured as seed capital to create employment for 250,000 people, in a jobs scheme.

Subsequently the accused instituted legal action, with Godongwana acquiring a court interdict, Mbalula opening a case of crimen injuria and Nzimande as well the Finance minister and the SG demanding public apologies from the CEO.

Mdwaba described the ruling as a travesty of justice, but that he was not surprised by the outcome, since this was proof of the whole process being orchestrated and designed to bully both Thuja holdings and him in his personal capacity.

“It was clear all along that this was a fait-accompli, hence our instructions to our legal representatives to recuse themselves and we walked out of court when Maritz AJ insisted on proceeding even when we did not have counsel when everyone else in court had both Junior and Senior counsel,” the CEO said.

He said that this demonstrated the desperation and lengths the government under the ruling party would go, especially given the spinning required and their gradual loss of power.

Mdwaba criticised the Nasi Ispani programme by the Gauteng government as a “fake employment opportunity” worth R23.8 billion and said it illustrated the increasing desperation for Nxesi and the other accused to continue fooling the country.

He confirmed that he and his legal team would study the judgement and said they will proceed with an appeal.

“That was round one and endurance is my game which Nxesi does not have in terms of health and fitness as well as time as he shall soon be unemployed. This is why he must work with programmes from which he can loot not Thuja Holdings,” Mdwaba said.

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