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Facebook to raise $10 billion in IPO

Facebook to raise $10 billion in IPO

Facebook unveiled plans for the biggest ever Internet IPO that could raise as much as $10 billion, but made it clear CEO Mark Zuckerberg will exercise almost complete control over the company, leaving investors with little say.

The Harvard dropout, who launched the social networking phenomenon from his dorm room, will control 56.9 percent of the voting shares in a company expected to be valued at up to $100 billion when it goes public. Facebook says it has 845 million active monthly users.

Wednesday's long-awaited filing kicks off a process that will culminate in Silicon Valley's biggest coming-out party since the heyday of the dotcom boom and bust.

In its filing Facebook says it is seeking to raise $5 billion, but that is a figure used to calculate registration fees among others and analysts estimate it could tap investors for $10 billion.

That would value the company at $100 billion, dwarfing storied tech giants such as Hewlett Packard Co, while validating the explosive growth worldwide of social media as communication and entertainment.

Zuckerberg's economic control of about 28 percent of the shares would be worth $28 billion at a $100 billion valuation, ranking him as the fourth-richest American.

The 27-year-old's ownership position means Facebook, a company dissected in 2010's Oscar-winning "The Social Network", will not need to appoint a majority of independent directors or set up board committees to oversee compensation and other matters.

The company's ownership structure and bylaws go against shareholder-friendly corporate governance practices put in place in the United States after years of investor activism.

As Facebook states in its prospectus, Zuckerberg will "control all matters submitted to stockholders for vote, as well as the overall management and direction of our company."

Zuckerberg struck deals with several Facebook investors that granted him voting rights over their shares in all or most situations. Those included Yuri Milner's DST Global, venture capital firm The Founders Fund, and entities affiliated with Technology Crossover Ventures, the IPO filing shows.

Google Inc's Sergey Brin and Larry Page retained control of the search giant through similar arrangements and the Sulzbergers did much the same at the New York Times.

"Zuckerberg, at the time, probably had his choice of investors," said Steven Kaplan, a professor at University of Chicago's Booth School of Business, who researches venture capital and corporate governance. "He basically had the ability to say 'my way or the highway.'"

"The downside of doing this is that the value of Facebook may be slightly lower than it would be if he were not retaining control."

Facebook could make its market debut in the middle of the year based on the usual timetable of IPOs.

Its IPO prospectus shows that Facebook generated $3.71 billion in revenue and made $1 billion in net profit last year, up 65 percent from the $606 million it made in 2010.

"We often talk about inventions like the printing press and the television," Zuckerberg said in a letter accompanying the documents. "Today, our society has reached another tipping point."

"The scale of the technology and infrastructure that must be built is unprecedented."

Facebook appointed Morgan Stanley, Goldman Sachs and JPMorgan as its lead underwriters. Other bookrunners include Bank of America Merrill Lynch, Barclays Capital and Allen & Co.

Zuckerberg agreed to cut his compensation from $1.48 million last year to $1 effective January 1, 2013, following the example of Apple founder Steve Jobs.

Facebook's chief operating officer and Zuckerberg's top lieutenant, Sheryl Sandberg, earned $30.8 million in total compensation last year.

Last Updated ( Thursday, 02 February 2012 07:16 )

Razor-blade accused get bail

Five men accused of cutting a 62-year-old woman's throat with a razor blade were released on bail in a Limpopo court, according to a report on Thursday.

Beeld newspaper said the five men, accused of assaulting Anita Jacobs-Van Niekerk in her home, were granted R3000 bail each in the Naboomspruit Magistrate's Court on Wednesday.

Lerato Nkumane, 26, Willy Baloyi, 28, Ben Maake, 32, Frans Mokonyane, 27 and Jonathan Mathovela, 26, stand accused of stealing her handbag and withdrawing R7000 cash from her bank account after forcing her to give them her PIN.

Mokonyane was believed to have done gardening work for her.

Police spokeswoman Lt-Col Ronel Otto at the time said the men allegedly "assaulted the woman with fists and wounded her severely while trying to cut her throat with a razor blade".

The men were released on bail after their defence lawyer argued that the State did not have enough evidence to link them to the crime.

Jacobs-Van Niekerk is currently in a serious condition in hospital and is not able to speak or swallow.

Her four-year-old grandson, who lived with her after his mother died, was receiving trauma counselling after seeing his grandmother in her injured state, shortly after the attack.

He was now living with another family member.

The case was postponed to March 14.

UJ stampede victim's sons urged to study hard

South African Higher Education Minister Blade Nzimande urged the son of the woman who died in a stampede at the University of Johannesburg to study hard in honour of his mother, the SABC reported.

Nzimande was speaking at the funeral of Gloria Sekwena, 47, in Kagiso in the west of Johannesburg on Saturday.

The broadcaster said Gauteng premier Nomvula Mokonyane pledged support to the family, providing transport for mourners and counselling services.

Sekwena's coffin was placed in the middle of the mourners inside the Lady of Peace Church surrounded by flowers, while her framed picture was placed nearby, the broadcaster reported.

Family members spoke about Sekwena's desire to see her son getting good education.

The broadcaster further reported that Sekwena had also received a degree in nursing at the same institution in the past.

Sekwena died two weeks ago at the campus while accompanying her son to see him through the application process.

UJ management has offered to pay for her son's studies should he be accepted to study there.

Mbeki on Twitter and Gaddafi

Former president Thabo Mbeki said on Monday he was sceptical about Twitter being a great conveyor of reliable knowledge.

Mbeki said in response to a question after a speech to the University of Stellenbosch Business School he thought the social media tool was not appropriate for discussing knowledge meant for the betterment of society.

“I am sceptical about this notion of Twitter being that great conveyor instrument for the democratisation of knowledge,” Mbeki said at the start of the school's knowledge conference.

“If you want to discuss knowledge which has got to do with the betterment of society I don't think it is appropriate.

“Even the internet in general, blogging and so on, is not the place where you can… put all these things under theories."

In his speech Mbeki questioned whether knowledge had become “less democratised and more compromised” as an instrument for the improvement of society. He said traditional media institutions were unable to control which political rhetoric "caught fire" with the public.

It was difficult investigate claims and counter-claims, he said. The conference should look into how false knowledge was "advanced" by groups with agendas.

He suggested that "false knowledge" was used to remove slain Libyan leader Muammar Gaddafi from power.

“False knowledge was advanced that the Gaddafi regime was about to slaughter millions of civilians,” Mbeki said.

"This was to justify the imposition of a 'no-fly zone' over Libya which served as a cover to overthrow the Libyan government and impose a regime approved by the Western Powers in their interest."

The Council of Europe had also asserted that "false knowledge" was propagated about a swine flue epidemic in 2009 to benefit highly profitable pharmaceutical companies.

Mbeki said the media remained very influential in South Africa.

“It becomes a very important vehicle for the conveyance of that knowledge,” he said.

“Particularly [where] readers seem to have sufficient confidence in the media, so they think if it comes from newspaper it is true.

"Thabo Mbeki stole half a dozen eggs from supermarket. Therefore it is true because it comes from the newspaper."

New CEO at the SABC

Lulama Mokhobo has been appointed the SABC's new group CEO, the communications ministry said on Monday.

"After a recommendation by the South African Broadcasting Corporation board, Communications Minister Dina Pule applied her mind and is pleased to announce the appointment of Ms Lulama Mokhobo as the group chief executive of the SABC," it said in a statement.

The appointment, for five years, is with immediate effect. She replaces acting CEO Robin Nicholson.

She was previously SABC group executive for public broadcasting services. She had extensive executive leadership experience in the private and public sectors.

After obtaining her BA degree from the University of Botswana and Swaziland, she completed her Master of Science qualification at the Utah State University in the USA.

Last Updated ( Tuesday, 17 January 2012 04:12 )

 

SA, Cuba formalise defence cooperation

SA, Cuba formalise defence cooperation

South Africa and Cuba on Tuesday signed a memorandum to put a stamp on the cooperation between the two countries’ armies, a spokesman said.

Defence Minister Lindiwe Sisulu signed the memorandum of understanding with Ulises Rosales del Toro, the vice-president of Cuba's council of ministers, according to defence ministry spokesman Siphiwe Dlamini.

“We're cementing that South Africa-Cuban defence cooperation,” Dlamini told AFP.

The two countries have already worked together in the past, but the agreement formalises exchanges in the air force, veterans, military health and education, training and development.

“They're bringing their instructors. The main target is military health,” said Dlamini.

“The memorandum gives a framework on operations, but the details are left to the officials.”

“We are looking to introduce Cuba to our defence industry,” he said, adding that South Africa could also share its experiences in peace-keeping with Cuba.

The island state supported South Africa's ruling African National Congress during its struggle against apartheid.

It opposed the apartheid regime and sent some 50,000 troops to Angola who fought South African apartheid forces until their withdrawal in the late '80s.

The two countries established diplomatic relations at the fall of white-minority rule in 1994.

They set up a joint bilateral commission in February 2001 and have since cooperated in a number of projects including sending South African medical students to study in Cuba.

Cuban doctors and teachers have also come to work in South Africa.

A 2004-agreement between South Africa and Cuba resulted in the deployment of 101 Cuban doctors to Mali, with financial backing from South Africa.

In 2008 South Africa forgave Cuba's debt of 926.8-million-rand ($117 million, 73 million euro).

Last Updated ( Monday, 16 January 2012 05:37 )

Mob kills elderly KwaZulu-Natal couple

A mob set alight and killed an elderly couple who were accused of practising witchcraft in Lindelani near Ntuzuma, KwaZulu-Natal police said on Thursday.

"We were called in at 1am on Wednesday because a house was burning," Captain Thulani Zwane said.

He said they found Elsa Dubazane, 60, dead in her bedroom and her husband Rafael Dubazane, 66, dead on the road.

Police were investigating a case of murder. No arrests had been made.

The Mercury reported that the couple was attacked and assaulted on Friday by a mob which accused them of killing their granddaughter and burying her in the yard.

"Their granddaughter died at Mahatma Gandhi Hospital on January 4. She had overdosed on some pills because she was having family problems," Zwane said.

He said police were waiting for the results of a post mortem as there were allegations that Zakude Shozi,16, had been beaten by either her grandmother or her father.

Tutu tries to corner Motlanthe over visa

Johannesburg - Deputy President Kgalema Motlanthe must rectify the injustice around the Dalai Lama visa debacle and ensure that he is granted permission to travel to South Africa, the Desmond Tutu Peace Centre said on Wednesday.

"We feel a grave injustice has been done in the manner in which the matter has been handled," said chairperson Dumisa Ntsebeza in an open letter to Motlanthe.

"We appeal to you to rectify the injustice and ensure that his holiness is granted a visa by tomorrow morning [Thursday]."

Newspaper reports quoted Motlanthe on Wednesday saying the government was planning to grant the Dalai Lama a visa.

The Star newspaper said it had asked Motlanthe if the government would have granted the Tibetan spiritual leader a visa if he had not cancelled his trip to attend Archbishop Emeritus Desmond Tutu's 80th birthday celebrations at the weekend.

Motlanthe replied, according to The Star: "Of course, he has been here before. I don't see why it should be an issue at all."

Motlanthe, who recently concluded a trip to China, denied that there had been pressure from Beijing not to grant the Dalai Lama the visa.

China

It is widely believed the government had buckled under pressure from China - its biggest trading partner - which deems the Tibetan spiritual leader a separatist and discourages foreign leaders from hosting him.

In light of Motlanthe's comments, Ntsebeza said the foundation had requested the Dalai Lama to consider travelling to South Africa after all.

"We requested the office of Tibet in Pretoria today [Wednesday] to communicate with him to convey our apologies and embarrassment for the disrespect shown, and to ask if he would consider travelling tomorrow [Thursday] or Friday - even if it means arriving too late."

The Dalai Lama was due to deliver the inaugural Desmond Tutu International Peace Lecture at the University of the Western Cape on Saturday. He also has engagements in KwaZulu-Natal and Gauteng.

All of this was contingent on the visa being granted by the South African High Commission in New Delhi, said Ntsebeza.

In the letter, Ntsebeza pleaded with Motlanthe to announce unequivocally to the nation that a visa would be granted immediately.

He said the apparent dithering over his visa application showed tremendous disrespect to two of the world's greatest spiritual leaders.

Minister of Finance lambasts ratepayer associations

It is "totally unacceptable" for ratepayer groups to refuse to pay their rates and place their money in trust accounts, says Finance Minister Pravin Gordhan.

"This is totally unacceptable behaviour," Gordhan told media on Wednesday in a briefing on the local government budgets and expenditure review.

"It is something we want to engage with Salga (the SA Local Government Association) on and get a clear message through that if you live in South Africa you are a South African citizen, you are using municipal services - you pay for them."

Gordhan said the emerging "trend" shown by ratepayer groups was something that required "very strong discussions".

"This kind of non-compliance with the law is not acceptable at all."

He said many of the issues ratepayers had with their municipalities could be resolved "the South African way".

"We sit around the table, we say what our challenges are and we find practical solutions to them. Creating tension and antagonism doesn't help."

Gordhan said the Treasury would be working with Salga and "bigger municipalities" to get more assertive debt collection processes and to write off debt that was "uncollectable".

He said given the fiscal constraints faced by the government, political and administrative leaders had to do more to cut down on "improper" procurement practices and on fraud and corruption.

"There is no doubt much more could be done in this area than is being done," he said.

The Treasury "looked forward" to working with the auditor-general and accountant-general on putting "more stringent requirements in place" and getting better cooperation from officials and political leaders to ensure that taxpayers' and ratepayers' money was not "frittered away" without proper justification.

Municipalities, he said, had to do more to ensure they took decisions that ensured better quality spending,

"Municipalities need to focus on delivering services, on building their capacity, on building economic infrastructure, on investing the right amount in capital infrastructure and on both maintenance on infrastructure and the development of new infrastructure."

They also had to "forget the frills" such as buying a "brand-new Mercedes or anything else like that".

"That will make a significant contribution to enabling municipalities to enable the national fiscus to cope with some of the stresses and strains of the very uncertain economic environment in which we are living."

Afrikaner hatred the problem, not Malema

While welcoming Judge Lamont’s finding that Julius Malema’s songs indeed constituted hate speech, PRAAG, the Pro-Afrikaans Action Group, cautioned against any premature jubilation about the judgement. “South Africa has had a long tradition of Afrikaner hatred that manifests itself in various ways. Mr. Malema’s defiant calls for Afrikaner genocide are but the symptom of a deeper malaise within the Afro-Saxon identity that has become coterminous with being a so-called ‘South African’”, said the Afrikaner group’s leader, Dr. Dan Roodt.

PRAAG regards the singing of anti-Afrikaner and anti-Boer songs by radical black ANCYL members “as but the latest expression of a long tradition of Afrikaner hatred, stretching back to the days of British colonialism. The notion that Afrikaners bear the stigmata of being both outcasts from Europe and from Africa, is a common one and often expressed in South African English. In fact, Mr. Malema’s display of Afrikaner hatred is secretly enjoyed by those who still lament the fact that Britain did not ‘finish the job’ in 1902 and allowed the Boer children and womenfolk to survive, despite an atrocious genocide committed against them at the time. In a certain sense, Mr. Malema is the product of the increasing anglicisation and Afro-Saxonisation of South Africa, so vigorously pursued by the former Minister of Education, Kader Asmal who also detested Afrikaners and Afrikaans.”

Despite the positive outcome of the court case, PRAAG was pessimistic about the future prospects of ethnic coexistence in South Africa. According to Dr. Dan Roodt, “this event should be seen as a small victory on the road to Afrikaner emancipation from the violence, irrationality, corruption and discrimination of the so-called ‘new South Africa’ which is democratic in name only. South Africa is a land of hate which manifests itself in the atrocities of farm murders as well as in the suppression of Afrikaans and the Afrikaner identity by the Afro-Saxon state.”

PRAAG called upon all Afrikaners to join the struggle for lasting freedom, security and peace. “Mr. Malema, like so many others, has trampled upon our dignity and human worth. In the words of Judge Lamont, he was dehumanising us, which is a step on the road to genocide,” Dr. Roodt said. “Like the people of Kosovo and many others who have been subject to ethnic hatred and incessant propaganda, Afrikaners will only be safe in a territory and a republic of their own.”

Roodt also lambasted the “masochistic tendencies of some Afrikaners”, such as author André Brink who stated yesterday on SABC1 that “he belonged to a people who deserved extinction” and that “he had a strange lust to die violently”. Many Afrikaners already suffered from the Stockholm syndrome, identifying with their oppressors, their torturers and executioners.

“We must say no to hate speech and propaganda, but also to this kind of abject and guilt-ridden angst about one’s own identity. Brink and others have internalised the logic of Afrikaner hatred. Julius Malema is much easier to deal with and less insidious than the self-hating confessions of an André Brink,” Roodt concluded.

Last Updated ( Tuesday, 13 September 2011 03:49 )

South African army will not intervene against unrest

The army will not intervene in the violence outside the ANC's headquarters in central Johannesburg, Defence and Military Veterans Minister Lindiwe Sisulu said in Cape Town on Tuesday.

"That is a matter for the police," Sisulu told journalists.

"We defend the territorial integrity and sovereignty of the country. That matter we will not entertain at the moment.

"If it is the burning of T-shirts, that is a police matter. And I am certain the police are perfectly competent to will deal with it."

Supporters of ANC Youth League leader Julius Malema pelted the police and journalists with rocks and burned T-shirts with the image of President Jacob Zuma outside Luthuli House on Tuesday morning, where Malema and other ANCYL leaders were due to face a disciplinary hearing.

National youth service

Sisulu said that had plans for a national youth service gone ahead, the riots outside of Luthuli House would "not be happening".

"No it (the national youth service) didn't happen sadly. What we did was try and solicit the support of national executives of various political parties and churches, so we could get the buy-in of the youth into this programme.

"We had anticipated that by now we would have trained about 2 000, and I could assure you this would not be happening if this had gone forward."

The plan was for the service to train young men and women in among others, personal discipline, civic education, patriotism and the necessity of volunteering.

The department, Sisulu said, was "unfortunately" interdicted from going ahead with the plan by civil rights group AfriForum.

"We had to stop until the case was over. The case was thrown out of court and sadly the country has lost out on the opportunity which we could have utilised. However, we still want to appeal to all youth to respond to this.

"It is not a political programme. It is across the board. It is not a boot camp. It works. It is a hard slop, but it works."

AfriForum had argued the SA National Defence Force wanted to use the service to train ANCYL Youth League and Young Communist League members.

FW de Klerk responds to Malema calling him 'the enemy'

The FW de Klerk Foundation has taken note of Mr. Malema's remarks regarding former President De Klerk. They are so silly that they hardly merit comment.

However, Malema’s bombastic outbursts on a wide range of other topics from nationalisation to Botswana - and the inexplicable failure of the ANC leadership to call him to account - cannot be ignored.

Malema and the ANCYL have become a serious embarrassment to South Africa.  They are beginning to undermine international confidence in our economy; they are damaging relations with one of the most progressive and democratic states in Africa; and they are eroding the inter-community reconciliation that President Mandela worked so hard to promote.

The behaviour of Malema and his colleagues must presumably also to an acute embarrassment to many principled and disciplined members of the ANC.  They must be painfully aware that Malema’s self-aggrandisement, his irresponsible outbursts and his undisguised lack of respect for the ANC leadership  have no place in the traditions that the ANC has developed over the past 100 years.

Pig devours abandoned infant

Johannesburg - The remains of a baby who was eaten by a pig was found along a river bank in Taung, North West police said on Monday.

The pig was found feeding on the baby along the Kolong River in the Ranstad Village in Taung on Monday afternoon, said Lieutenant Colonel Lesego Metsi.

"According to the owner of the pig when he approached the animal he noticed that it was eating something and he could see blood all over its mouth.

"When he reached the pig the only thing he could find was the tiny left arm, the thigh and remaining half-eaten piece of a skull," he said.

Police were searching for the mother of the child. She was likely to be charged with concealment of death.

However, Metsi said it was unclear whether the newborn baby was dead or alive when it was dumped alongside the river.

Eric Miyeni exposes SA media hypocrisy

Eric Miyeni exposes SA media hypocrisy

"It is certainly ironic that the editor of City Press intends suing Mr. Eric Miyeni for libel when the entire Naspers group, to which City Press belongs, has for a long time specialised in vilifying and heaping calumny on especially Afrikaner dissidents critical of the corrupt and violent dystopia that South Africa has become," said Dr. Dan Roodt, leader of PRAAG.

Roodt castigated the South African media for what he terms "their natural instinct for propaganda, half-truths and conceptual smuttiness". PRAAG feels that local media have always been either in the pocket of the mining houses or the British Empire or some exterior force or power. "That is why at various critical moments in the past, the South African media could romanticise ANC terror and the necklacing of civilians, but now react with shocked dismay at the use of a necklace metaphor about one of their own," Roodt said. "The SA media's adulation for Winnie Mandela and her statement that the country would be liberated through the use of matches, petrol and the infamous necklace, is certainly at odds with their sudden concern over so-called 'hate speech'. When Nelson Mandela called for killing all whites in front of the hammer and sickle, it was considered an expression of reconciliation and tolerance by the hacks in front of their computer screens. Why then pick on Eric Miyeni? Or has liberation gone out of fashion?"

PRAAG called on the Naspers group and City Press to cease their hypocrisy and allow columnists to speak their mind. "What Mr. Eric Miyeni said, is less extreme in its consequences than Naspers's almost genocidal propaganda campaign against the Afrikaner, calling for the disappearance or assimilation of an entire nation in the name of a racial obsession based on colouredness rather than blackness. City Press and its monopolistic owner's campaign against Miyeni are merely a case of the pot calling the kettle black. Or coloured."

Dr. Roodt has often been smeared by various Naspers columnists and letter writers, accusing him of being "a Hitler" for his defense of literary Afrikaans and calling him a "racist" for pointing out the high crime rate among young males of certain ethnic groups in South Africa. Also, he has "dared to criticise the Goebbels of Naspers, Dr. Leopold Scholtz, who has consistently been calling for the biological assimilation of Afrikaners by coloureds, in a programme of racial eugenics apparently espoused by the multinational media group".

"My advice to Ferial Haffajee is, to paraphrase Sylvia Plath, every woman loves a terrorist, at least in South Africa. You have made your bed, now lie in it," Roodt said.

PRAAG would rather that opinions like those Eric Miyeni be heard than be suppressed. "If Naspers may hate the Afrikaner and vilify us on a daily basis, why may Mr. Miyeni not dislike the proverbial white capitalists and their pseudo-black lackeys?" the organisation asked.

Editor's note: The original column by Eric Miyeni has been removed from The Sowetan's website where it was first published. As background to the above story and in defence of free speech, we republish it here:

Haffajee does it for white masters

Eric Miyeni

JULIUS Malema must never answer a Ferial Haffajee. Who the devil is she anyway if not a black snake in the grass, deployed by white capital to sow discord among blacks?

In the 80s she'd probably have had a burning tyre around her neck. We know where she comes from. She was groomed by The Mail & Guardian, the same newspaper that produces the Jacob Dlaminis of this world, black people who say it was nice to live in the townships under apartheid.

And today we must believe that Haffajee's utter hatred of ANC politicians is based on journalistic integrity. Quadruple crap. I am more inclined to think that people like Haffajjee, who edits City Press, are most likely to be the kind that wakes up in the morning, sees their black faces in the mirror only to feel a wave of self-hatred rising up to nauseate them.

Who's this mystery businessman that apparently paid R200 000 into Malema's family trust? Which government tender did Malema grant him and how?

Can we be sure that City Press did not manufacture these facts? If it didn't, how do we know it did not break the law to obtain them and then twisted these "facts" to ruin Malema? We know that News Of The World was closed down in England because its journalists illegally hacked into people's private phones for news. Who's to say that Haffajee's City Press isn't doing the same?

And let's say Malema does have a family trust, that the trust is funded by black businesspeople and that these businesspeople made their fortune through government tenders. What the hell is wrong with all that?

It's clear to everybody that white South African business is locking black people out. The only real source of business for us is our government. Are we now being told that if we make money through government contracts, our only hope, we cannot use that money to help fellow black people who are in politics, who need private funding to function?

Where then should black politicians get financial support?

Trusts are legal entities. There is no legal limit to how much legally earned money can be put in them or by whom. If Malema has a family trust that is not in breach of any law, it is none of Haffajee's or anybody's business. The man is not a government official.

Mandela has trusts in his name, but because white people put money in them there are no Haffajee complaints. The white DA receives money largely from white business, which is the main economic beneficiary of the government's tender system.

The Haffajees of this racist world are not digging up any dirt on DA officials. Instead, they sickeningly presume that white fortune is legitimately earned until proven otherwise and that it's the opposite for black success.

To hell with Haffajee and her kind.

 

Last Updated ( Wednesday, 03 August 2011 12:13 )

South African farmer found buried in shallow grave

Bloemfontein - A Free State farmer was buried in a shallow grave after being attacked on his Reitz farm on Monday, said Free State police.

Sergeant Mmako Mophireng said police were alerted by his son when he became suspicious after a stranger answered one of his telephone calls to his parent's home.

Police arrived to find two women tied up, but no sign of the farmer.

It was in a search of the farmyard that they discovered the shallow grave in which the farmer's body was buried.

Mophireng said two people had since been arrested at an informal settlement in Reitz. One of them apparently worked on the farm a few days ago.

He said the two women were taken to the Bethlehem hospital.

At least 10 die in Malawi unrest

Malawi's president has lashed out at anti-government demonstrators as two days of protests have left at least 10 people dead in unprecedented levels of unrest in the southern African country.

Reports from Agence France-Presse have put the number of deaths at 18.

Hospital officials and activists said on Thursday the victims had been shot with live ammunition, and that at least 44 others in the northern city of Mzuzu alone were being treated for gunshot wounds.

President Bingu wa Mutharika vowed to "ensure peace using any measure I can think of" as protesters gathered for a second day in the impoverished state roiled by fuel shortages and price hikes.

"If you break shops and banks will you have fuel? You demonstrated yesterday and throughout the night until today, but is there fuel today because of the demonstrations?" he asked.

"I think God will do something to help us, will bless us, because these people are not being led by God, they are being led by Satan," the president said.

Mutharika first came to power in a 2004 election, and he was re-elected in May 2009. The state has enjoyed relative peace and stability in the past decade but tensions have been growing this year over worsening fuel shortages. High unemployment alongside a deteriorating economic situation also threaten to reverse development gains made in the early years of Mutharika's presidency.

On Wednesday, protesters attacked businesses belonging to the president's political allies. Looters in the capital of Lilongwe had targeted shops belonging to ruling party officials, witnesses said.

Human rights watchdog Amnesty International said eight journalists were beaten by police during Wednesday's protests, and a female radio reporter was seriously wounded.

Amnesty researcher Simeon Mawanza said the president's regime is becoming increasingly intolerant of dissenting voices.

"The tension there won't die down just because of yesterday's events," he said. "It could intensify, as people died at the hands of police."

The situation was tense but calm on Thursday amid a heavy military and police deployment on the streets in the country's two main cities.

Tim Hughes, a political analyst at the South African Institute of International Affairs, said the unrest is wholly uncharacteristic of Malawi.

"Certainly since democracy in 1994 -- while there's been sporadic outbursts of inter-party violence -- there's never been a violent protest like this on the streets," he said.

"This form of public protest, taking on the state, expressing this degree of frustration -- it's a new phenomenon," he said.

Hughes believes the wave of protests is spurred by a sharp decline in the Malawian economy.

"Global factors have kicked in," he said. "The country is now running short of scarce foreign exchange, and imports such as fuel are limited."

Foreign donors are also now becoming sceptical and cautious of a possible democratic reversal in the country, resulting in the severing of diplomatic ties, and a cut back in aid, Hughes added.

Former ruler Britain already has indefinitely suspended aid to the country, citing concerns about economic management and a crackdown on human rights.

On Thursday, Britain's Minister for Africa, Henry Bellingham, said the situation was "worrying" and appealed to Mutharika to rein in security forces and loyalists.

"The ongoing violence and reprisals by elements connected to President Mutharika's Democratic Progressive Party underline the concern that the UK has expressed about the state of democratic governance and human rights in Malawi," he said in a statement. "The rights of free assembly and expression guaranteed under the Malawian Constitution must be respected. The UK utterly condemns the threatening behaviour of machete-wielding DPP activists and the violent attacks on demonstrators and the media."

United Nations secretary general Ban Ki-moon also expressed concern.

"He is saddened by the loss of life and reiterates his call for all differences to be resolved through peaceful means," UN spokesperson Martin Nesirky said in New York.

Elections are not due again in Malawi until 2014, and Mutharika is barred from seeking a third term.

Mutharika, a 77-year-old former World Bank economist, had won widespread praise from international institutions and donor governments for pushing through economic reforms and clamping down on corruption. But he also has alienated many former allies including his predecessor, whom he accused of plotting to assassinate him.

Malawi, which gained independence from Britain in 1964, is among the world's least developed nations and UNAids estimates there are 920 000 people living with HIV/AIDS here.

Madonna, who has adopted two children from the country and plans to build schools there, said on Wednesday she hoped Malawi would find a peaceful way out of its troubles.

"I am deeply concerned about the violence today in Malawi, especially the devastating impact on Malawi's children," the star said. "Malawi must find a peaceful solution to these problems that allows donors to have confidence that their money will be used efficiently."

Schoolgirl murdered for body parts in South Africa

Pretoria - A witness watched as schoolgirl Masego Kgomo was mutilated, the North Gauteng High Court in Pretoria heard on Thursday.

Albert "Nono" Mathebula was testifying in the trial of Brian Mangwale, who has pleaded not guilty to murdering and raping the 10-year-old Masego and selling her body parts for muti.

Mathebula was initially also arrested in connection with Kgomo's murder.

He testified on Thursday that he was smoking dagga with friends on the night of December 31 2009 when Mangwale arrived in a car with a man named Jan, a woman in sangoma's clothing and a young child.

He and two of his friends accompanied them to a sangoma's house in Soshanguve.

Mathebula went inside with the woman, who carried the child. His friends stayed in the car.

He told the court that he and Mangwale were given cooldrink which contained something that made him feel dizzy, out of control and hear voices in his head.

"On entering, we found initiates. They were dressed in sangoma clothing," Mathebula testified.

"... The lady came in with a cloth. The child was not crying. It appeared she was also made to eat or drink something. When Jan cut her open, she did not scream.

"... I did not see the other parts. I only saw the internal organs. When she was cut open I looked so I could see what it is inside a woman's body.

"Jan continued to cut open the child. When they were removing the organs I vomited," he said.

Mathebula said the child's body was later put into the car boot and he and his friends were dropped off at a party.

"My friends asked me what happened with the child. I did not tell them. I was afraid," he said.

Mangwale’s trial was previously postponed for judgment, but Judge Billy Mothle called Mathebula and two other witnesses to shed more light on the killing.\

The other witnesses, a magistrate and a senior policeman, testified that Mangwale made confessions and a pointing-out to them in March last year about the alleged murder and mutilation of another young girl.

They said Mangwale told them how the girl was lured into their car and taken to bushes near a river, where a sangoma called Jan Maleka cut out her tongue and cut off both her breasts before removing her womb.

The sangoma took the body parts with him when they left the child's body behind in the bushes.

Mangwale told them he was paid R4 500 for the job.

They said Mangwale showed no signs of having been tortured or forced to make the statement and told them he wanted to clear his conscience.

Mangwale has claimed that he was tortured by the police and was forced to confess to Kgomo's murder and that of another young girl, which he could not have committed as he was in jail at the time.

A number of confessions, in which he has given different versions of the murder, have been admitted as evidence against him.

Mothle criticised the State and police for the way in which the case had been presented, saying it had been left up to him to go and find the witnesses.

He said it was clear that a number of people had been involved in the murder and he wanted to know why the others had not been charged.

Prosecutor MJ Makgwatha said the only evidence against other possible perpetrators was contained in Mangwale’s confessions, which could not be used as evidence against them.

Other accused might still be charged if new evidence emerged, but it was possible that they might never be brought to justice.

She said the State did not want to call any of the alleged accomplices as witnesses because the national prosecuting authority was not prepared to offer them indemnity from prosecution.

The trial was postponed to August 8 for possible new witnesses, failing which Judge Mothle would give judgment.

Black-run municipality 'in total disarray'

Bloemfontein - Managers and officials of the Setsoto local municipality could face criminal and disciplinary charges over allegations of theft, fraud and corruption, the Free State government said on Thursday.

Free State Co-operative Governance and Traditional Affairs MEC Mamiki Qabathe ordered a probe into the municipality after protester Andries Tatane died in service delivery protests earlier this year.

In an executive summary of its report released on Wednesday, it found that the municipality was in total disarray with no proper management and financial control.

It was totally unstable because of widespread theft, fraud and corruption.

The investigation found that supply chain management department staff were often coerced by senior managers into making orders that were against policy.

It recommended that the municipality's director of corporate services be suspended and investigated over alleged illegal staff appointments and the unauthorised buying of vehicles.

The chief financial officer should also be suspended and disciplined for allegedly buying 90 desktop computers at inflated prices.

The municipality’s IT officer should also face disciplinary charges over the employment of his fiancée at the municipality.
The investigators also recommended that two demand and acquisition clerks be suspended pending criminal investigation of fraud and corruption.

Another clerk in the same department should be sent on precautionary leave pending a forensic investigation.

Co-operative governance spokesperson Ntai Mokhitli said the full report could not be released because of the pending disciplinary charges against some officials.

In the summary, investigators indicated that the Meqheleng Concerned Citizens (MCC) group under whose leadership most of the protests were conducted had some "personal interests" in the Setsoto local municipality.

One of the findings was that the MCC wanted "our comrades" to be appointed at the municipality.

The investigators said that in a letter from the MCC to the municipality on March 25, a request was made for "intervention and collaboration in the filling of the vacant advertised posts".

In the letter, the MCC said it would be "appropriate" for the accounting officer to give 18 of "our people" employment in the municipality.

"All this will count in your favour as the municipality," the MCC wrote.

"We’ll provide you with the list of all our comrades today, March 25 2011."

Earlier, MCC spokesperson Sam Motseare said this allegations and others were not true.

"It's a blatant lie," he said.

The Setsoto municipality covers the towns of Ficksburg, Senekal, Clocolan and Marquard.

Mokhitli said the report and recommendations were tabled before the Setsoto municipal council last week.

The department would closely monitor the implementation of the recommendations.

Abel Malan gets bail

Cape Town - A farmer accused of assaulting University of Stellenbosch academic Professor Anton van Niekerk was on Wednesday released on R5 000 bail by the local magistrate's court.

Abel Albertus Malan, 47, is the grandson of Danie Malan, a prominent business executive involved with insurer Sanlam.

Malan, from Mbombela, allegedly confronted the professor in his office on July 14 about a letter that appeared in Die Burger newspaper on July 5.

In the letter, which Malan found offensive, the professor wrote that apartheid could never be condoned. In the heat of the confrontation, Malan allegedly toppled the professor's desk onto him.

Malan faces two charges - intimidation for allegedly threatening the professor with assault, as well as assault with intent to cause grievous bodily harm.

Malan appeared briefly before magistrate Anita Potgieter, who ordered him to surrender his passport to the police and to be out of Stellenbosch by 20:00 on Wednesday as the conditions of bail.

Other conditions were that he return to court on August 25, when the case would be transferred to the Stellenbosch Regional Court.

Malan was warned not to have any contact, direct or indirect, with Van Niekerk.

He has to inform the investigating officer of any change of address, and may not enter the Stellenbosch magisterial district without permission, except to attend court proceedings.

A final condition was that he report to the Mbombela police every Friday between 06:00 and 20:00.

Malan was warned that he would be taken back into custody, and his bail revoked, if he breached any of his bail conditions.

Torture at Pretoria Central Prison?

Pretoria - The correctional services department and police are investigating allegations of torture at Pretoria Central Prison.

Correctional services spokesperson Phumlani Ximiya said on Tuesday that an internal investigation was underway into the conduct of six warders accused of shocking a prisoner with an electrified riot shield.

A criminal case had also been opened with police.

Ximiya said correctional services national commissioner Tom Moyane was "shocked" at the allegations and condemned such behaviour by prison staff.

The investigations follow the smuggling out of prison of a sound recording of what is claimed to be warders shocking a prisoner.

The sound bite was aired on Radio 702. The station quoted police spokesperson Wanda Olivier as saying a case of assault had been opened against six warders and that arrests were imminent.

Olivier could not immediately be reached for comment.

Ximiya said the internal investigation could lead to disciplinary action against the warders. As of noon on Tuesday they were still at their posts.

The National Institute for Crime Prevention and Reintegration of Offenders spokesperson Jacques Sibomana said while many believed inmates "deserve what is coming to them", the victim in this attack was awaiting trial and had not been convicted of any crime.

"How then can such an environment contribute to changing the criminal behaviour of its inmates, when daily acts of criminality are perpetrated by their guardians?" he asked.

No end in sight for fuel shortage

Cape Town - South Africa's fuel workers union has rejected a minimum 8% wage increase and is holding out for a double-digit hike, the union's chief negotiator said on Tuesday.

Talks between the industry and the Chemical, Energy, Paper, Printing, Wood and Allied Workers' Union (Ceppwawu) are at a deadlock, Jerry Nkosi, the union's chief negotiator, told Reuters.

"We are not reaching an agreement because the employers are not listening to our demands. We are not happy with the revised offer," he said.

The strike has left filling stations dry across South Africa for more than a week and will likely cost the continent's top economy billions of rand in lost output.

On Monday employers raised their wage offer to between 8% and 10%, depending on the employment level. The previous offer was for a hike of between 4% and 7%, while unions have asked for 13%.

No request for tax audit of Malema received

Johannesburg - The SA Revenue Service has not received any requests for a tax audit of ANCYL leader Julius Malema, its spokesman said on Tuesday.

"By the close of business yesterday [Monday], we hadn't received anything," said Sars spokesperson Adrian Lackay.

"If we receive a request for an investigation, obviously we will consider it and establish the merits in the claims that the MP will make, and then we will proceed from there."

Democratic Alliance MP Dianne Kohler Barnard said at the weekend that she would write a letter to Sars requesting that Malema be investigated.

This was after the Sunday Independent reported that Malema was building a R16m mansion in Sandown, Johannesburg, while earning a salary of R25 000 per month.

The house would include a secure basement from where he could hide in case of an attack on him.

Malema told The Star newspaper in a report on Tuesday that he would co-operate if Sars decided to probe him.

"Sars conducts lifestyle [audits] on anybody as and when they wish to do that," he told the daily.

But he did not want to comment on the reports that he was planning to build himself a bunker.

"My life and what I do with my house is not a public issue. I am not a public representative," Malema reportedly said.

Six men arrested for renaming Mandela Drive

Six men have been arrested for allegedly using stickers to rename Nelson Mandela Drive Clive Derby Lewis Drive on directional boards in Pretoria, police said on Monday.

Lt-Col Tshisikhawe Ndou said the six white men were caught on CCTV cameras along Nelson Mandela Drive in Sunnyside on Sunday night.

“The police rushed to the scene and arrested the six who were found with several replacement stickers. They were immediately arrested and taken to Sunnyside police station.”

They refused to explain their actions to police.

The men, aged between 25 and 38, were charged with malicious damage to property and expected to appear in the Pretoria Magistrate's Court on Tuesday. Ndou said they had not been linked to any right-wing movements.

Derby-Lewis, a former Conservative Party politician, is serving a life sentence for his role in the assassination of SA Communist Party secretary general Chris Hani.

Hani was assassinated on April 10, 1993 outside his home in Dawn Park, a racially-mixed suburb of Boksburg. Using a gun provided by Derby-Lewis, Polish far-right immigrant Janusz Walus shot him in the head as he stepped out of his car.

Mugabe could call elections this year

Harare - Zimbabwean President Robert Mugabe on Friday said new elections were possible this year despite a timeline that put the polls in 2012 at the earliest.

"We still have six months to go and elections can be held this year," Mugabe told a meeting of his Zanu-PF party's central committee.

"The inclusive government was never meant to last forever."

Mugabe said Prime Minister Morgan Tsvangirai's Movement for Democratic Change (MDC) wanted to extend the so-called "global political agreement" under which it shares power with Mugabe's party in a tense coalition government.

"When we appended our signatures to the global political agreement it was on the understanding that this was a vehicle for fresh elections which would decide who should govern this country," Mugabe said.

"Having joined government and tasted the warm sweetness of power, the MDC formations no longer want elections. They want elections suspended indefinitely and their governorship extended to infinite."

Negotiators from the rival parties agreed on July 6 to a timeline for election preparations that would put the polls in 2012.

The roadmap set down a timeframe of 45 days to complete new electoral laws, followed by 30 days for voter education and two months to prepare a new voter roll.

No decision was made on the date for a referendum on a new constitution.

Under Zimbabwe's unity accord, signed after violent and inconclusive presidential elections in 2008, a new constitution must be approved by referendum before new general elections.

The constitution-writing process is running a year behind schedule.

Drafters have set September as the target for a referendum, but repeated delays have cast doubt on the date.

Afrikaner fistfight over 'white guilt' article

Afrikaner fistfight over 'white guilt' article

With political temperatures among Afrikaners rising on the eve of more radical land expropriation policies from the ruling ANC, an alleged fistfight has broken out in the office of Stellenbosch academic Professor Anton van Niekerk. Mr. Abel Malan, the deputy chairman of Afrikaans organisation Die Verkenners, was arrested by campus police at the University of Stellenbosch after he had apparently overturned Van Niekerk's desk and a hit him in the face.

According to a report in Die Burger, the Cape-based newspaper, Van Niekerk suffered facial bruises and his glasses were broken. Malan had made an appointment to see Van Niekerk about his article alleging that white Afrikaners carried enormous amounts of guilt towards black South Africans, published in both Die Burger and its northern sister newspaper Beeld.

Malan is also a candidate for the Volksraadverkiesingskommissie, holding an alternative Afrikaner election to elect an Afrikaner parliament. Die VVK, as it is known, has issued a statement by Mr. Paul Kruger, stating that “the huge number of traitors in the ranks of the Boer-Afrikaner people, is our biggest enemy in our struggle for freedom, which is centuries old. An example of this is the utterly offensive newspaper article by Anton van Niekerk of Stellenbosch, published in July 2011. One of the candidates in our Volksraad election of September 2011, Mr. Abel Malan, was arrested on 14 July 2011 concerning an incident between himself and Anton van Niekerk. The Central Committee of the Volksraad Verkiesing Kommissie (Electoral Commission for the election of a Boer-Afrikaner People’s Council) stands firmly behind Mr. Malan and we convey our best wishes to him for the upcoming legal proceedings.”

The university's rector yesterday convened a media conference. Professor Russel Botman, the rector and an affirmative-action appointee, stated that Van Niekerk was "also threatened by Malan". Van Niekerk had to see a doctor and a trauma councillor yesterday.

The university had posted a security guard in the office opposite that of Van Niekerk and he was quick to intervene to stop the brawl. Asked whether Van Niekerk had known Malan prior to their meeting, Botman said "no. But that does not mean that Anton van Niekerk had not been receiving threatening phone calls."

Botman further stated that "it was a despicable deed and regrettable within the context of our attempts and striving to create a South Africa in which the rights of all its people are protected".

Mr. Malan has been in police custody since his arrest and is expected to appear in the Stellenbosch magistrate's court today. He is also reputed to have a number of "collaborators" in the Stellenbosch area, as reported by the Beeld newspaper. Beeld also described him in its headline as a "right-winger" but declined to characterise Professor van Niekerk as a liberal or left-winger.

Van Niekerk's opinion piece on white guilt was written after the publication of a philosophical article by Rhodes University academic Ms. Samantha Vice in which she advised white people to be "silent and modest" in responding to black rule in South Africa. Whites should also vacate the public space, not participate in politics and allow blacks to remodel the country to their liking unhindered.

Since the takeover by the black-nationalist African National Congress in 1994, South Africa has become extremely violent with rampant crime and a very radical affirmative-action programme that requires even white-owned family businesses to employ quotas of black people. Various politically connected blacks have also become fabulously wealthy as a result of "black economic empowerment" laws whereby corporations are required to hand more or less free shares to an elite of black beneficiaries.

Last Updated ( Friday, 15 July 2011 08:59 )

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