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By Bongani Hans 
2h ago
Johannesburg – The First National Bank (FNB) has closed the bank account of Democracy in Action, the civil society organization that has been raising funds to help the public protector Busisiwe Mkhwebane pay its legal fees after the courts issued a series of personal cost orders against you. .
Independent Media is in possession of a letter written by Frik Basson, the bank’s director of “desirability management” for commercial clients, to Democracy in Action president Thabo Mtsweni regarding the closure of the accounts.
In the letter dated September 14, 2020, Basson wrote: “FNB has now elected to exercise its contractual right to terminate its banking relationship with you and this letter serves as notice of such termination in relation to the accounts. Therefore, we recommend that you visit the nearest FNB branch to close all your FNB accounts before 2:00 PM on November 19, 2020 (the ‘Termination Date’). “
According to Mtsweni, the organization had used the account to settle R238,000, which the Constitutional Court ordered Mkhwebane to pay last year.
Mtsweni said he was informed by FNB of the account closure as people across the country were depositing money to help Mkhwebane resolve another personal costs order in connection with the latest Supreme Court of Appeal ruling against him in his appeal to Estina Dairy farm.
“Since we were still receiving donations on Monday, we received a letter from the bank saying that they were closing our account. So we think this is politically motivated. Our lawyers are taking the matter to the banks ombudsman so that FNB explains to us why they would like to close the accounts, and hopefully we will get some joy from the banks ombudsman, ”he said.
The organization, two weeks after starting to raise funds for Mkhwebane, had raised more than R107,000.
Mkhwebane spokesperson Oupa Segalwe said Mkhwebane had emphasized from the beginning that she was never involved in this crowdfunding initiative and did not ask for her or anyone to help her.
“Consequently, Democracia en Acción is in the best position to comment on the matter, since they were the ones involved in the campaign and not the public protector,” he said.
FNB spokesperson Nadiah Maharaj said that due to client confidentiality, the bank would not provide information.
“The Bank has a responsibility to ensure that its bank accounts are managed in accordance with all relevant laws,” Maharaj said.
Transform RSA Chairman Adil Nchabeleng said that the FNB’s unilateral actions against a black organization raising funds for a legitimate cause highlighted how banks used their oligopoly to combat any action that sought to advance and protect the transformation agenda. .
“Banks cannot be allowed to remain a law unto themselves, making decisions that cannot be challenged even as they perpetuate the continued economic subjugation of the majority,” he said.
Special Investigation Unit
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