2005-11-25,+Behind+throne,+pretender+or+businessman,+Bday


 * Business Day, Johannesburg, 24 October 2005**

= Power behind the throne, pretender to it, or just a businessman? = Vukani Mde and Karima Brown

Sakhumzi (Saki) Macozoma, the powerful African National Congress (ANC) businessman at the centre of the ruling party’s bitter succession row, says he is not a contender for the party throne. Nor is he the backroom kingmaker some make him out to be, he says.

“I can tell you categorically I’m not interested. I do not even know who anoints people in the ANC,” he said yesterday when questioned about his reported ambitions to be president.

But there may be more to Macozoma than meets the eye. His role in the succession battle — though denied — has recently attracted the attentions of apparently rogue elements in the National Intelligence Agency (NIA).

On the face of it, Macozoma is like any of the several businessmen who sit on the national executive committee (NEC) of the ANC. He left Parliament — where he was a powerful backbencher — in 1996 to head up parastatal Transnet, which served as his entry point into big business.

Like Tokyo Sexwale, Cyril Ramaphosa and Mathews Phosa — all ANC luminaries in business — he has since built a veritable empire and is coveted by many company boards.

But that may be all that Macozoma shares with his fellow millionaires on the NEC. He, unlike the other three, remains very much plugged in to the centre of power in the ANC and government. Macozoma is the only one to have the ear of President Thabo Mbeki. He is also a business partner of some key Mbeki insiders, including former economic adviser Moss Ngoasheng.

Macozoma’s rise in business since he abandoned active politics has been nothing short of meteoric. He is chairman and major shareholder of black empowerment groups Safika Holdings and Andisa Capital. He is also chairman of Stanlib, through which Standard Bank earlier this year acquired 20% of Safika.

Safika also owns 25% of Stanlib, making Macozoma one of the wealthiest of the new crop of black economic empowerment captains. His other directorships include Volkswagen, Liberty Life, Murray & Roberts, Nail and Standard Bank.

Macozoma, raised in the poor Port Elizabeth township of KwaZakhele, spent five years on Robben Island following his role in the June 16 uprisings in 1976.

After the ANC’s about-turn on economic policy, which saw the ruling party ditch nationalisation policies in favour of conservative economics, he emerged as one of the most committed defenders of the new path. This has put him on a collision course with the ANC’s left wing, which increasingly identifies him as a key conduit between big business, conservative sections of the ruling party and powerful state organs.

While government is often hesitant to offer ideological justifications for its economics, Macozoma is one of the few who is unapologetic about SA’s capitalist path. He has often stated that creating a black bourgeoisie necessarily creates economic inequality and that this is a “normal” consequence of capitalism.

In the corridors of power and in elite social circles, Macozoma’s power is openly acknowledged.

He is close to former National Prosecution Authority (NPA) head Bulelani Ngcuka.

Many detractors allege Ngcuka spent half his time with the NPA doing Macozoma’s bidding.

That he wields power is denied by Macozoma, who prefers to portray himself as a simple businessman.

However, his pull in the intertwined world of politics and business, whether real, perceived, or exaggerated, explains the outlandish series of events that culminated recently in the downfall of the country’s top spy and two of his underlings.

Last week it was revealed that agents of the NIA, acting without proper authority, mounted a crude surveillance operation on Macozoma and his family.

Following Macozoma’s complaint to Intelligence Minister Ronnie Kasrils, NIA director-general Billy Masetlha, deputy Gibson Njenje and counter-intelligence chief Bob Mhlanga were suspended pending the outcome of an investigation by the intelligence inspector-general.

But Macozoma is not the first ANC businessman to be at the centre of succession conspiracy theories followed by investigations from state security organs.

Analysts are now drawing contrasts between last week’s strange occurrences and events involving another claimed plot in 2001. Then safety and security minister Steve Tshwete accused Sexwale, Ramaphosa and Phosa of “plotting” against Mbeki and instituted a bizarre investigation that had all the hallmarks of state security intervention with legitimate political activity.

Even after Tshwete’s climbdown and apology, no one was ever held accountable.

This perhaps best explains the difference between Macozoma and the ANC’s other notable businessmen. Only Macozoma can demand — and get — the head of the country’s top spy.

It is widely accepted that while Macozoma is wealthy, his power does not derive only from money. In fact, business commentators argue that his business track record leaves much to be desired.

They point to the mess he left at Transnet, which put him on a collision course with then-public enterprises minister Jeff Radebe.

Macozoma brought in American high flyer Coleman Andrews to turn around South African Airways (SAA). Andrews conjured up a massive profit in his first year at the helm, largely by selling off strategic assets and surplus junk.

But by the time his tenure came to an abrupt end, it was clear Andrews’s style of accounting would not save SAA. Macozoma gave his American appointee a R232m handshake and gave Radebe the finger.

Despite his denials, commentators say Macozoma is touted in business circles as either a potential presidential candidate or the kingmaker of one.

“Touting him as a candidate to succeed Mbeki would address the need to continue Mbeki’s economic legacy,” says political analyst Aubrey Matshiqi.

He says the factions around Mbeki and former deputy president Jacob Zuma are slowly coming round to accepting that neither may be suitable for the ANC presidency in 2007.

“The battle that will emerge is around how to cloak a compromise candidate in the image of one of the two factions,” he says.

But the NIA’s unofficial but close interest has stripped the veil of ordinariness that Macozoma has been able to wear with relative success.

Macozoma’s detractors even go so far as to say he is the power behind Mbeki’s throne.

“I deny that. I don’t know how I can be the power behind the throne. I thought the ANC elected its own leaders and the people of SA decide whom they want to be president,” he says.

But as the fallout around the Zuma affair intensifies, the name of Saki Macozoma has increasingly acquired prominence in conspiracy theories.

One conspiracy being peddled is that Macozoma was instrumental in securing the deputy presidency for Phumzile Mlambo-Ngcuka. This, it is said, is part of a succession plan that envisages Mlambo-Ngcuka assuming the top job in 2009, with Macozoma himself — or government spokesman Joel Netshitenzhe — as her deputy.

Macozoma has until now been able to go about his business quietly. Unlike the other empowerment multimillionaires in the NEC, the public has bought into the story that he has no political ambitions.

Last week it became clear that the NIA — or sections of it — are no longer buying this line.

From: http://www.businessday.co.za/articles/national.aspx?ID=BD4A105321