Harith welcomes ruling after being acquitted of any wrongdoing

Infrastructure financier and development firm Harith General Partners has been acquitted of any wrongdoing by a forensic investigation launched by the Public Investment Corporation (PIC) and Government Employees Pension Fund (GEPF).

The PIC confirmed this on Tuesday, saying there was no evidence to support the allegations of impropriety that were made against Harith by UDM leader and MP Bantu Holomisa five years ago.

The allegations which were made against founding chief executive Tshepo Mahloele and former chairperson Jabu Moleketi were also found to be baseless. 

“Forensic investigations instituted by the PIC, reports arising from these, and information contained therein, are internal and privileged. Disclosures made to investee companies are done on the same principles. However, the PIC can confirm that it has informed Harith that the investigation that was conducted, as recommended by the commission of inquiry into allegations of impropriety regarding PIC, found that there was no evidence to support the allegations that were made against it,” said the PIC's spokesperson Adrian Lackay.

Harith chief executive Sipho Makhubela said the firm was satisfied that the truth has finally prevailed in the years-long, sustained and malicious campaign to taint it with allegations of malfeasance.

"The PIC forensic probe is the fifth process to test the allegations, all returning with no findings of wrongdoing on Harith’s part. The report vindicates Harith which has had to operate under a human-made cloud of suspicion, peppered with sporadic, gratuitous, false and unfair political [narrative]," said Makhubela.

The forensic probe was commissioned following the recommendations by the Mpati commission into the affairs of the PIC.

The commission wanted the following to be probed:

• “To examine the entire Pan African Infrastructure Development Fund initiative to determine that all monies due to both parties [PIC and GEPF] have been paid and properly accounted for”;
• “To determine whether any monies due to overcharging or any other malpractice should be recovered”; and;
• “The board of the PIC should examine whether the role played by either Mr Moleketi and Mr Mahloele breached their fiduciary duties or the fit and proper test required of a director in terms of the Companies Act”.

“Harith operates in the highly regulated financial services sector, so we are no strangers to, and are quite comfortable with heightened scrutiny. Our line of business requires the utmost fidelity to those who entrust us with their funds and investments. That’s why throughout these processes that have ensued since these allegations were first raised, we have been fully cooperative and played open cards at every stage,” said Makhubela.

"Throughout all these processes, Harith’s detractors have been able to wantonly and with no consequence, continue to cast aspersions on a lawfully established and legitimately operating corporate entity, exacting an incalculable toll on the company, its brand, credibility in the market, employees, shareholders, investors, as well as business and financial relationships.

"Throughout this saga, the callous campaign to destroy Harith and the reputations of Messrs Mahloele and Moleketi was thinly masked as an exercise of political or parliamentary 'oversight' and insults hurled at them became the trading stock of a politician and his entity who were seeking to shore-up their dimming prospects.

"The kind of brand and character assassination Mr [Bantu] Holomisa and his ilk embarked upon in the past five years is a sinister perversion of political and constitutional oversight and checks and balances!

"Yet, even through this period, Harith was not cowered and continued to focus on its vision of harnessing Africa’s capital muscle towards the development of socio-economically impactful infrastructure across the continent, an undertaking that was made infinitely harder by this economic sniping campaign. Harith considers this sordid chapter closed and places its trust in the discerning people of South Africa and the continent, who know too well that 'lies have short legs'," said Makhubela.