South Africa’s biggest custodian of public money, the Public Investment Corporation (PIC), has gone to war with United Democratic Movement leader Bantu Holomisa in a political and financial clash that could shake the country’s retirement system.
Holomisa has publicly suggested that R3.5-trillion in pension assets managed by the PIC may be at risk due to mismanagement, questionable deals and alleged political interference.
The PIC says Holomisa is lying, deliberately, publicly and with destructive intent. The corporation has launched a full offensive, preparing submissions to the Presidency, Parliament, Scopa and the SIU to strip down and refute what it calls “false, malicious and reckless allegations”.
Government workers’ pension
This is a power struggle over the retirement futures of millions of government workers. The teachers, nurses, police officers and cleaners who keep the country running.
PIC Board Chairperson Dr David Masondo did not mince words. He said Holomisa has been misleading Parliament, the Presidency, and the country. He accused him of using selectively leaked internal documents to create panic and damage the trust in the institution.
“These claims are false, reckless, and intended to cause public alarm. They impugn the integrity of the PIC,” Masondo said.
The PIC argues the truth is the opposite of collapse. It says the organisation is financially strong and has grown assets from R461-billion in 2005 to over R3-trillion by March 2025. It crossed R3.5-trillion for the first time in September.
Lanseria Holdings investment
Holomisa has zeroed in on the PIC’s investment in Lanseria Holdings. He accuses the asset manager of bending rules to serve politically connected interests.
But the PIC says the deal dates back to 2013. The investment was governed by strict legal frameworks. And the loan and interest were settled through a binding arbitration process.
In short, the PIC says there was no looting, no missing R400-million, no quiet payout to anyone. The corporation says Holomisa is either misinformed, or intentionally misleading the public.
The PIC is scheduled to face MPs at the Standing Committee on Finance on Friday, November 7. Leaders expect a stormy confrontation at the committee hearing.
