South Africa

Kgalema Motlanthe's name is starting to appear with a bit too much frequency in the Press, usually for the wrong reasons. In his latest "episode" he is being connected to a shady loan offering from the Land Bank :

"The state-owned Land Bank funded the buyout of a food empire for a company in which ANC secretary-general Kgalema Motlanthe and presidential adviser Manne Dipico have a stake."

 

Whats the problem you may be asking? Well see if this strikes you as odd :

"The Pamodzi deal was the first large empowerment deal to be financed by the Land Bank — and was questioned by the bank’s own auditors, Ernst & Young, the Sunday Times has established. The firm was concerned about the bank having overexposed itself by lending such a large amount to a single entity. The R800-million constituted more than 40% of the bank’s reserves. The norm is for the bank to limit its exposure at between 15% and 20% of its reserves per client."

 

Hmm you what do you think?