A foundation linked to former public protector Busisiwe Mkhwebane has asked American law enforcement agencies to investigate whether millions of US dollars stolen from President Cyril Ramaphosa’s Phala Phala game farm in 2020 may have breached United States currency-smuggling and anti-money laundering laws.
In a formal submission sent to the FBI, the US Department of Justice (DOJ), the Financial Crimes Enforcement Network, and the US Treasury Department on May 19, the Advocate Busisiwe Mkhwebane Foundation argued that the matter involves “the presence of millions of undeclared United States dollars on a private farm owned by a sitting head of state”.
The foundation urged US authorities to “open a formal investigation into the origin, transportation, and concealment of the US dollars found at Phala Phala” and to consider possible violations of American criminal and financial laws.
Proceeds from legitimate buffalo sale
At the centre of the complaint is the foreign currency that Ramaphosa has acknowledged was stored at his Phala Phala farm in Bela Bela, Limpopo, before it was stolen during a February 2020 burglary.
Ramaphosa has consistently maintained that the money represented proceeds from a legitimate buffalo sale to Sudanese businessman Mustafa Mohamed Ibrahim Hazim and has denied any wrongdoing.
The foundation’s complaint relies heavily on three provisions of US law.
The first is 31 U.S.C. § 5332, a bulk cash smuggling law that criminalises the concealment and transportation of more than $10 000 (R163 000) across US borders with the intention of evading mandatory reporting requirements.
The second is 18 U.S.C. § 1956, which deals with money laundering and the transportation of funds across international borders to conceal their source, ownership or control or to evade reporting requirements.
The third is 18 U.S.C. § 1957, which criminalises monetary transactions involving property derived from specified unlawful activity where the amount exceeds $10 000.
Sovereign interest of the US
The foundation told US authorities that the amount involved exceeded the $10 000 reporting threshold by a substantial margin.
It cited Ramaphosa’s own account that someone stole $580 000, while noting other reports that placed the figure significantly higher.
“The presence of millions of undeclared United States dollars on a private farm owned by a sitting head of state, their suspected cross-border transportation in violation of the reporting requirements of 31 U.S.C. § 5316, and their concealment in a manner consistent with money laundering constitute conduct that directly engages the criminal laws of the United States,” the submission states.
The foundation further argued that “the integrity of the US dollar as the global reserve currency is a sovereign interest of the US” and stated that American authorities have a legitimate interest in determining whether US laws were violated.
“There exists no principled basis upon which the Phala Phala matter should be treated differently,” the foundation said, comparing the matter to international corruption and asset-forfeiture cases previously pursued by US authorities.
However, the complaint may face significant jurisdictional hurdles.
While the foundation argues that the dollars were likely transported from the United States to South Africa without the required declarations, the submission does not appear to present direct evidence that the money originated in the US, crossed US borders unlawfully, or passed through the US financial system.
Assistance sought from SARS
Many of the statutes cited in the complaint require investigators to establish a clear American jurisdictional link, such as conduct occurring in the US, the use of US financial institutions, or proof that reporting requirements under US law were triggered.
The submission acknowledges that it is based on publicly available information, official reports and sworn testimony.
It states that the foundation “does not assert personal knowledge of all facts set out herein but believes that the information provides reasonable grounds to suspect that violations of US federal law have occurred and warrant formal investigation”.
Among other steps, the foundation wants investigators to seek assistance from South African authorities, including SARS, the South African Reserve Bank, the Hawks and the National Prosecuting Authority, to obtain records relating to the matter.
The submission concludes by stating that the foundation “submits this report in good faith and stands ready to provide such further information as the relevant agencies may require”.
Foundation chairperson Shirley Willemse confirmed to Sunday World that the complaint was legit. She did, however, indicate they had not received any acknowledgement of receipt yet.
- The Advocate Busisiwe Mkhwebane Foundation has requested US law enforcement to investigate possible breaches of currency-smuggling and anti-money laundering laws related to millions of US dollars stolen from President Cyril Ramaphosa's Phala Phala farm in 2020.
- The foundation’s submission to the FBI, DOJ, Financial Crimes Enforcement Network, and US Treasury highlights concerns over undeclared US dollars and urges a formal probe into their origin, transportation, and concealment.
- Ramaphosa claims the money came from a legitimate buffalo sale and denies wrongdoing, but the foundation points to US laws criminalizing bulk cash smuggling and money laundering, emphasizing significant sums involved above legal thresholds.
- The foundation argues the US has a sovereign interest due to the use of US dollars and compares the case to international corruption investigations, though jurisdictional challenges exist due to lack of direct evidence linking the money to US borders or financial systems.
- The foundation seeks cooperation from South African authorities (SARS, Reserve Bank, Hawks, NPA) for records and information, stating the complaint is based on public sources and is submitted in good faith, though no receipt confirmation has yet been received from US agencies.
A foundation linked to former public protector Busisiwe
In a formal submission sent to the FBI, the US Department of Justice (DOJ), the Financial Crimes Enforcement Network, and the US Treasury Department on May 19, the Advocate Busisiwe
At the centre of the complaint is the foreign currency that Ramaphosa has acknowledged was stored at his Phala Phala farm in Bela Bela, Limpopo, before it was stolen during a February 2020 burglary.
Ramaphosa has consistently maintained that the money represented proceeds from a legitimate buffalo sale to Sudanese businessman Mustafa Mohamed Ibrahim Hazim and has denied any wrongdoing.
It cited Ramaphosa's own account that someone stole $580 000, while noting other reports that placed the figure significantly higher.
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However, the complaint may face significant jurisdictional hurdles.
While the foundation argues that the dollars were likely transported from the United States to
It states that the foundation "does not assert personal knowledge of all facts set out herein but believes that the information provides reasonable grounds to suspect that violations of US federal law have occurred and warrant formal investigation".
