/ 13 December 2010

Millions in legal bills for Shilowa

Millions In Legal Bills For Shilowa

The South Gauteng High Court has rejected Congress of the People (Cope) deputy president Mbhazima Shilowa’s application for appeal and he now faces millions in legal bills, the party said on Sunday.

“Mbhazima Shilowa, Deputy President of Cope, is now faced with legal bills exceeding R1-million for legal cost orders against him,” said Cope spokesperson and MP Phillip Dexter.

“Shilowa and others brought a belated application for leave to appeal, against judgement of the same court on May 27 that prohibited them from staging an undemocratic bid for control of Cope,” he said.

The judgement was passed down on Friday morning.

The party has been decimated by leadership squabbles and poor financial management, in spite of attracting 1,3-million votes in last year’s general election.

‘Futile attempts’
Dexter said that the party had paid for all legal fees amounting to about R3-million since their court case against Shilowa began in May.

“This follows a number of futile attempts, eight in total, by Shilowa and his attorney, John Ngcebetsha, chair of the Gauteng province of Cope, to gain control of the party by means of legal challenges which they lost and were each time ordered to pay the costs.”

He said that while waiting for the outcome of their appeals Shilowa was able to avoid payment of legal fees but would now have to pay back about R3-million to the party in his personal capacity.

Cope president Mosiuoa Lekota accused Shilowa of allegedly attempting to turn the party’s policy conference in May into an elective conference and received a court interdict preventing him from doing so.

Meanwhile the cash-strapped party is struggling with last-minute preparations for its inaugural elective congress, scheduled for next week, amid proposals that the conference should be cut from a two-day to a one-day event to reduce hotel and catering costs, the Mail & Guardian reported.

Decisive meeting
The congress, already postponed twice, is scheduled for December 15 and 16. The party’s congress national committee (CNC) decided on a cheaper venue, the Heartfelt Arena, a hall at the Heartfelt Family Church in Thaba-Tshwane outside Pretoria, instead of a venue in Thaba Nchu in the Free State.

The congress is expected to end the drawn-out leadership battle between current president Mosiuoa Lekota and his deputy, Mbhazima Shilowa. It could, however, give rise to further divisions if the losing faction refuses to accept defeat.

A victory for Lekota would strengthen him in his campaign to take on Shilowa over the allegations, yet to be proved, that he misused the party’s parliamentary funds while still its chief whip. Shilowa could use victory to hit back at Lekota and his allies, who he has already accused of tarnishing his name without producing evidence of alleged financial mismanagement.

If next week’s congress fails to unite the two factions, the long-predicted split in the party could finally materialise. — Sapa and the M&G