SARB opposing Mkhwebane application to postpone CIEX case

The Public Protector has filed an application to the High Court in Pretoria, asking for more time to file her answering affidavits in the case involving the so-called CIEX report.

Absa, the Reserve Bank and the Minister of Finance all want the report's remedial action reviewed by the court.

Busisiwe Mkhwebane probed an apartheid-era bailout to Absa's predecessor Bankorp and found the South African Reserve Bank (SARB) failed in its obligation to recover the monies and that Treasury failed in its obligation to ensure that the Reserve Bank do so.

Among others, Mkhwebane instructed the Special Investigating Unit to investigate the matter and ordered Parliament to amend section 224 of the Constitution - the latter has since been withdrawn.

The matter has been set down for early December, but the Public Protector is asking for a postponement until late January.

In her affidavit, Mkhwebane explains she was informed by her legal team on the 16th October that they would not be able to meet the deadline due to, among others, the documents in the matter exceeding 7000 pages.

But the SARB says in its responding affidavit, filed on Monday, that Mkhwebane fails to meet the necessary criteria to have the matter postponed.

According the the SARB, Mkhwebane's papers were not filed timeously as she only approached the court close to a month after she was informed by her legal team.

The answering affidavit further states her reasons are inadequate as "no explanation at all is given as to why the Public Protector must have until the end of January 2018".

The central bank further stresses that the matter needs to be resolved.

"The delay in the resolution of this matter continues to have a negative effect on financial stability," reads the affidavit.

The Reserve Bank is asking the court to dismiss the application with costs.