Orrin Singh12 July 2024 | 10:29

Ex-chair Matodzi fingers key people in the collusion, graft leading to VBS Bank’s insolvency

In a 70-page affidavit, Matodzi detailed how various key figures, including himself, brought the Venda bank to its knees through the looting of more than R2 billion over the course of several years.

Ex-chair Matodzi fingers key people in the collusion, graft leading to VBS Bank’s insolvency

FILE: VBS Mutual Bank in Thohoyandou. Picture: Sethembiso Zulu/EWN

JOHANNESBURG - In a scathing affidavit, former VBS Mutual Bank chairman Tshifhiwa Matodzi has fingered several key people in the collusion and corruption that led to the bank’s insolvency in 2018.

On Wednesday, Matodzi was sentenced to 15 years imprisonment after pleading guilty to multiple counts of fraud, theft, money laundering and racketeering charges.

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Matodzi detailed how various key figures, including himself, brought the Venda bank to its knees through the looting of more than R2 billion over several years.

In a 70-page signed witness statement, Matodzi, who has entered into a plea agreement with the State, identifies several people who were responsible for collusion and corruption, leading to the bank’s insolvency.

Among those are former high-ranking VBS employees, non-executive board members, politicians, and businessmen - several of whom are awaiting trial relating to their involvement in the 2017 VBS scandal.

This includes former VBS CEO Andile Ramavhunga, who Matodzi alleges, among other corrupt activities during his time at the helm of the bank, signed a letter to the Public Investment Corporation (PIC) containing false financial information in October 2017.

Others include former VBS CFO Phillip Truter, who was sentenced to 10 years in prison in 2020, former VBS head of treasury Phophi Mukhodobwane, former VBS GM of credit Solomon Maposa, and former VBS GM of sales and marketing Ntendeni Nemabubuni.