Malema, Mazzotti and Pauw spat – R 1 million loan claim surfaces



A feud between author Jacques Pauw and Julius Malema escalated, with Pauw alleging that the EFF chief received a million rand loan from an associate of avowed tobacco smuggler Adriano Mazzotti and in so doing , he may have unwittingly accepted the proceeds of crime.

But Mazzotti, on behalf of his tobacco company Carnilinx and Malema, fought back.

Mazzotti “categorically denied” that a Carnilinx donation to EFF involved money earned as a result of a crime.

Malema said Pauw should open a criminal case if the loan – used for a tax case and which he said was paid by Kyle Phillips, co-director of Carnilinx – was indeed the proceeds of crime and Pauw’s ‘exaggerates himself. – importance “in effectively acting as a court.

“If it’s the proceeds of crime, let them open a case. I won’t be tried – that’s the problem with white supremacy.

“He thinks he’s so much above a level where he can compare to a court. To conclude that people are using the proceeds of crime, only a court can make such a decision,” Malema told News24 on Friday. .

“If guilty, we will return the money”

He said if the EFF turned out to be wrong, he would face it head-on.

“If such a contribution is the proceeds of crime, if she is prosecuted and if she is found guilty, the EFF will be more than willing to return that money,” said Malema.

He said he was sure Pauw could easily see that a criminal case was open against the EFF because Pauw, he claimed, had ties to South African intelligence networks.

For around four years, Malema was at the center of a protracted battle with the South African Tax Service (SARS) over his tax affairs – at one point he should have owed the tax service R 32 million and to another time R18 million.

However, on Friday it looked like his tax problems had eased.

“Settled” tax cases

Malema told News24 that his tax affairs were now fully settled – and that he even received a refund on his tax return.

He suggested he started SARS after acting commissioner Mark Kingon was appointed and struck a new deal with the IRS.

Malema said the two sides were in the process of withdrawing legal claims against each other.

The claim that Malema received the proceeds of crime, via a loan to pay the tax department, is contained in an open letter Pauw wrote to Malema on Friday in response to a letter Malema wrote to him on Wednesday.

Pauw posted the letter on his Facebook page. Read the letter in full here.

Apologies requested for Pauw’s tweet

Pauw said Malema wrote to him asking to apologize for a tweet he posted on Wednesday in which he mentioned four people, including Malema.

In the tweet, Pauw asked why lawyer Dali Mpofu, SC, who represents SARS-suspended commissioner Tom Moyane on a commission of inquiry into governance in the tax administration, was figuratively committing suicide by agreeing to this post.

The tweet read: “Why is Dali Mpofu committing hara-kiri to defend Tom Moyane? Is it because they have a mutual friend: the tobacconist Adriano Mazzotti. Under Moyane, Mazzotti’s R600m tax bill has disappeared. He also paid the EFF registration fee in 2014 and gave Malema a loan to help pay his SARS bill.

This has been retweeted approximately 1,500 times.

Mazzotti denied on Friday that his tax bill “just disappeared.”

“No inappropriate conduct”

“There has been no untoward conduct on the part of SARS members in helping Carnilinx to make it tax compliant,” he said.

“Carnilinx paid what was owed to SARS, which was around R25 million, a far cry from the R600 million of Mr. Pauw and other media,” he said.

Mazzotti then challenged Pauw to support his “scandalous allegation”.

In his letter to Malema on Friday, Pauw said he would not apologize for the tweet.

He pointed out that at a recent press conference, Malema said he never received a loan from Mazzotti to pay his SARS bill.

Loan of R 1 million linked to a tobacco company

“You are asking me to set the record straight. You are right. I was wrong to say that you received a loan from Mazzotti to pay your tax bill.

“In fact, you received a loan of one million rand from Kyle Phillips – a business partner of Mazzotti and his co-director of Carnilinx, an independent tobacco company,” Pauw said.

The Sunday Times reported on it in 2015.

He had reported that court documents indicated that Malema admitted to SARS that Phillips paid off a loan of R 1 million.

The Sunday Times article also said that Mazzotti had previously confirmed that he had donated the amount of Rand 600,000 which the EFF needed to register as a political party and run for office in the election. 2014.

Pauw, in his letter on Friday, said Malema had never denied this information.

“So I guess it’s safe to say it was true that you received a million rand loan from Phillips,” he said.

Malema told News24 on Friday that he did indeed receive a loan from Phillips.

Mazzotti one of the 2014 EFF registration fees benefactors

He said Mazzotti was one of many who surfaced when the EFF previously needed R600,000 to register as a political party running for office.

“A bugle call has been made for all South Africans to make contributions, and Mazzotti is one of them who has made such a contribution,” said Malema.

He said the 600,000 rand fees ‘still haunted the EFF today’ as some hoped the EFF would not be able to raise the necessary funds as they ‘knew what the EFF would be like today’. hui ”.

“If they have a problem with Mazzotti, if they have a problem with the money the EFF received from Mazzotti – if they have a problem with the money I received from Kyle [Phillips], let them open a case, ”said Malema.

In his letter to Malema on Friday, Pauw said he would not apologize to Malema for his tweet and that this was due to his relationship with Mazzotti and Phillips.

‘Partners in crime’

“No, because I think it doesn’t matter whether you took out a loan from Mazzotti or Phillips because – as I’ll show you – they’re accomplices to Carnilinx,” he said.

“I will inform you that by accepting a loan from Phillips, you may have unwittingly accepted the proceeds of crime. This also applies to the 200,000 rand Carnilinx paid in 2014 for the EFF’s registration as a that political party. ”

Pauw said when he and Malema spoke at the time of Pauw’s critically acclaimed book The President’s Guardians was published at the end of October 2017, Malema had described Mazzotti as a “brother”.

In his letter, Pauw referred Malema to a 52-page affidavit from Mazzotti to SARS, dated May 6, 2014.

Pauw said that a section of the affidavit read: “In its drive to promote his business, Carnilinx entered into a multitude of transactions, some of which were legal and others corrupt and illegal.”

“Illegally acquired tobacco”

According to Pauw, another section of Mazzotti’s affidavit stated that Carnilinx “accepts to have illegally and wrongly acquired two tonnes of tobacco per week over a period of approximately 40 weeks.”

Pauw said Mazzotti, in his affidavit, said the money received was used to pay people, but the balance was kept by “the three of us”. Pauw said the three were Mazzotti, Phillips and another director of Carnilinx, Mohammadh Sayed.

“I point out, however, that a substantial amount of this money was used by the three of us as business expenses, attending expensive dinners, entertaining businessmen, politicians and others,” said the Mazzotti affidavit.

News24 had previously received an undated photograph of a group of men seated together – including Malema, Mazzotti, Phillips and Sayed – at a table on which a bottle and several glasses of what appears to be alcohol are placed.

Confessed killer of former mining tycoon Brett Kebble, Mikey Schultz with Carnilinx directors (from left) Adriano Mazzotti with EFF frontman Julius Malema, Mohammadh Sayed and Kyle Phillips in an undated photograph. Men with fuzzy faces are unknown. (Provided)

Pauw, in his letter, told Malema that it was possible that from “these products” – money from illicit tobacco trafficking – Mazzotti paid the EFF 200,000 rand to register for the 2014 elections.

On Friday, Mazzotti confirmed that he had drafted the affidavit that Pauw referred to in his letter to Malema.

“The ongoing allegations of bribery, cigarette smuggling and proceeds of crime are outright false, defamatory and illegal. Mr Mazzotti donated R200,000 to EFF prior to his recording. been in the public domain and it has always been transparent about the payment, ”Mazzotti’s response said.

In Pauw’s letter to Malema, he also referred to Mazzotti’s new mining company, Dithabeng in Limpopo, saying the mine had encountered problems and mining was reportedly halted when residents turned to to a court for a ban in this case.

Mazzotti said the reference to Dithabeng was incorrect and his legal representatives were taking action against various media outlets for false publications.

He said the court documents in the case were publicly available and “anyone who properly investigates would understand that this is a dispute between communities and has nothing to do with Dithabeng.”

“Disreputable characters”

Pauw, in his letter, said Malema should be aware that Mazzotti and Phillips were “not altar boys”.

He ended the letter to Malema with: “You must know that Mazzotti mixes with disreputable characters. Do you know that apartheid assassin Craig Williamson was one of his business partners? And that you were photographed with Mazzotti in the presence of the avowed killer. and gangster Mikey Schultz? “

Schultz was among those pictured in the photo previously provided to News24 showing Mazzotti, Malema, Phillips and others seated together.

Malema, speaking to News24 on Friday, said he had nothing to do with Mazzotti’s business dealings and that if Mazzotti was acting illegally, the law should address him.

“We don’t talk about our business”

“Me and him… we engage on political issues, national matters, not on his business. If he is wrong, they have to lock him up and he has to go to jail and rot in jail for a very long time,” said Malema.

He explained that he had known Mazzotti from his days in the ANC Youth League – and when he was kicked out, Mazzotti was one of the few people who kept in touch with him.

“If Mazzotti engages in shenanigans, in criminal activity… I don’t know about Mazzotti’s business. I read them with interest whenever Jacques Pauw writes about them,” Malema said.

“Mazzotti doesn’t know anything about EFF, he reads it like anyone else.”



Comments are closed.