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By Bongani Nkosi 
3h ago
Johannesburg – The ANC has not proven in court that it is not obligated to pay a 102 million rand debt it owed to a marketing agency that produced and installed thousands of its election posters last year.
Acting South Gauteng Superior Court Judge U Bhoola has ruled that the evidence provided by Ezulweni Investments showed that he entered into a good faith oral agreement with the ruling party.
As a result of the agreement, Ezulweni produced and installed 30,000 PVC posters as part of the ANC’s last push strategy ahead of the 2019 general election.
He installed the banners on street poles in all provinces, except the Western Cape, just a week before the elections.
The party was charged R2 900 per banner for installation and R70 for removing each banner after the elections.
But after the elections, the ANC steadfastly refused to pay Ezulweni despite his numerous demands.
The CEO of the KwaZulu-Natal-based company, Renash Ramdas, revealed in court documents that letters to President Cyril Ramaphosa and ANC Secretary General Ace Magashule received no response.
The ANC defended itself against the lawsuit, arguing that it had no obligation to pay Ezulweni. He said the deal the company cited was not binding because it was not authorized by the party’s general treasurer (TG) Paul Mashatile.
“There is no evidence that the TG approved the agreement. There is also no evidence of a purchase order, ”said the ANC’s chiefs of argument.
“Ramdas knew or should have known that he was the only authorized representative to conclude the deal.”
Ezulweni’s attorneys, from the Bezuidenhout Valley-based law firm Sarlie & Ismail Inc, did their best to prove that officials Nhlanhla Mabaso and Lebohang Nkholise were licensed by the ANC.
Based at ANC headquarters, Luthuli House, CFO Mabaso and Procurement Officer Nkholise agreed with Ramdas that their group would supply 30,000 posters.
Ezulweni’s papers detailed WhatsApp meetings and communication between Ramdas, Mabaso, and Nkholise discussing the progress of the banner projection. “Mabaso and Nkholise admit to having received the messages from Ramdas but deny having responded to them,” Judge Bhoola said in the ruling.
“However, on … April 27, 2019 at 12pm, Nkholise responded with a ‘thumbs up’ emoji, clearly indicating his approval for the 20,000 posters (which according to Ramdas could already be available) “.
A letter Mabaso and Nkholise sent to Ramdas on April 9, 2019 as proof that everything was in order added credibility to Ezulwini’s position that the ANC pair was authorized.
Sent to Mashatile allegedly by Electoral Chief Fikile Mbalula, it stated: “This letter is to request your office to help us with the payment of 30,000 PVC posters needed for the election campaign.
“The total cost is R 87 million, R2 900 per PVC banner. This letter is accompanied by an invoice from Ezulweni Investments. “
Judge Bhoola ruled that the evidence before the court showed that Mabaso and Nkholise had the authority to enter into agreements.
The party was ordered to pay more than R102m plus interest.
The star
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