The delay in the government’s Oilgate probe is adversely affecting the business of African National Congress-backed Imvume Management, the company said on Tuesday.
”The unresolved allegations against Imvume continue to have an adverse effect on its commercial activities with a number of entities, organisations and individuals which have expressed ongoing concern over ‘reputational risk’,” Imvume and its boss Sandi Majali said in Sandton.
The Donen commission, established in February, was stood down on Monday after witnesses went to court to have scrapped a term of reference forcing them to answer questions that may incriminate them.
Meanwhile, the Democratic Alliance and FF Plus have urged President Thabo Mbeki to broaden the commission’s terms of reference to include a probe into allegations of African National Congress involvement in the Iraqi oil-for-food scandal.
That decision now rests with Mbeki and Justice and Constitutional Development Minister Brigitte Mabandla.
”[We] have no objection to that regulation and were willing to be frank and forthcoming to the commission and answer all questions and produce all documents relating to the [UN’s Iraqi oil-for-food-programme] without fear that these would be incriminating,” Imvume and Majali said.
”The commission has been postponed indefinitely … which has deprived Imvume and Mr Majali of presenting their evidence, answering questions and producing documentation in a public forum.”
Imvume and Majali contend that the UN’s allegations, pertaining to alleged unlawful surcharges, are unfair and ”without any evidence at all”.
They have welcomed the opportunity of clearing their names before the commission and reiterated their commitment to the hearings.
Under its terms of reference, the commission must probe and make recommendations on alleged illicit payments by South Africans of oil surcharges and kickbacks to the former Iraqi regime under the United Nations oil-for-food programme.
It is tasked with establishing the truth of a UN report’s allegations against Imvume and Majali, Montega Trading, Mocoh Services and its Michael Hacking, Omni Oil and its Shaker Al Khafaji, Ape Pumps, Flacon Trading Group, Glaxo Wellcome SA, and Reyrolle Limited.
It must also determine whether the conduct of any company or people amounted to an offence under South African law.
Although the commission did not proceed, Imvume produced not only the documents it was subpoenaed to hand over, but a transcript of a meeting with the UN investigators, it said on Tuesday.
”This is a clear demonstration of co-operation by Imvume and Mr Majali with the Donen commission, as they had also co-operated with the [UN investigators],” they said.
Majali and Imvume made it clear they intend suing the commissioners of the UN’s Independent Investigating Committee for defamation relating to, among other things, the leaking of information to various publications.
The company furthermore planned to continue with its litigation against the Mail & Guardian and the Freedom Front Plus (FF+) over allegations regarding payments to the family members of two government ministers.
The UN Security Council established the oil-for-food programme in the 1990s to alleviate the effect on Iraqis of sanctions against the country.
It allowed for oil proceeds to go into a special account for food and medicine.
A UN committee later found that former Iraqi dictator Saddam Hussein’s government bypassed sanctions by soliciting aid in return for oil contracts. – Sapa