The former chairperson of the now defunct VBS Mutual Bank, Tshifhiwa Matodzi, has testified that they had a strategy to give gratifications and bribes to politicians who convinced municipalities to invest in the bank.
Matodzi testified in the corruption trial related to the VBS looting at the Special Commercial Crimes Court in Polokwane, Limpopo.
Former mayor of the Thulamela local municipality, Avhashoni Tshifhango is on trial for alleged corruption.
Tshifhango allegedly received a vehicle to the value of more than half a million rand as gratification after the municipality invested R30 million in VBS.
The key state witness in the VBS looting, Matodzi arrived in court escorted by heavily armed correctional service officials. The former chairperson of the liquidated VBS bank is serving a 15-year jail term for more than 400 charges.
He took the stand in the corruption trial of former mayor of Thulamela local municipality in Thohoyandou, Avhashoni Tshifhango.
Matodzi was warned before he took the oath to answer questions honestly.
“Tshifhiwa Matodzi do you have any objection to take in the prescribed oath? Before I start with the evidence of Mr Matodzi, I will request the court to warn Mr Matodzi in terms of section 204 of criminal procedure.”
“Wherever the prosecutor in the criminal proceeding informed the court that any person called as a witness on behalf of the prosecution will be required by the prosecution to answer questions, will answer question which may incriminate such witness.”
Matodzi said they used ROBVET company to pay bribes and gratifications to influential people.
“At [the] municipality [it] will be politician … it was part of our strategy to lobby. Unfortunately, in this business when we talk about lobbying we are referring to giving influential people bribes and gratifications even paying them costs from that business,” adds Matodzi.
The court has heard that a meeting was held between the ANC Treasurer in Limpopo, Danny Msiza, former mayor of Thulamela municipality, Avhashoni Tshifhango and VBS officials to discuss an investment by the municipality.
Matodzi told the court that Msiza asked Tshifhango why the municipality was not investing in VBS.
“Danny Msiza was enquiring from the accused person why there is no investment from that particular Thulamela local municipality. Danny was responsible for deploying mayors in the ANC.”
Matodzi also told the court that Tshifhango had requested VBS bank to purchase a vehicle for him as gratification for the investment made by Thulamela municipality. He said Tshifhango was given the vehicle and he did not pay a single installment.
Matodzi will conclude his testimony on Thursday. Thereafter, another key witness will take the stand.
