Police have denied being part of a political conspiracy targeting Finance Minister Pravin Gordhan, it was reported yesterday, after the DA described the Hawks’ investigation into Gordhan as a “witch-hunt”.
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The case is linked to a covert investigative unit set up within the tax agency to allegedly spy on politicians, including current President Jacob Zuma.
But Gordhan, a widely respected technocrat, refused to go, saying he had been legally advised he was “under no obligation” to present himself to the police.
A Zuma-backed plan to build a series of nuclear power plants, at a cost of as much as $60 billion, has caused tension with the Treasury for months and is likely adding to pressure on Gordhan’s position, analysts say.
Zuma said on Thursday he had confidence in Gordhan but was powerless to stop the investigation into him.
It is a good way of looking at the cold war between the President of the country and Finance Minister, it is really an extraordinary situation. The Minister was summoned to appear at the Hawks offices to receive a warning statement, a request which he chose to decline.
City Press reports that more than 30 people, including businessmen tied to the Zuma family, and the president’s controversial nephew Khulubuse Zuma, have been prepped as witnesses against finance minister Pravin Gordhan and three former Sars officials; with charges to be laid down as early as this coming week.
The country’s credit rating is set to be cut to junk status this year, according to a Reuters poll this week, with economists surveyed citing the heightened political risk around the Gordhan saga.
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The rand, which had tumbled 5 percent since Tuesday in response to the investigation, picked up on Friday as the dollar retreated, with investors awaiting a speech by the Federal Reserve for clues on a rate hike in the United States.
