MKP calls for South African government to intervene and save Ithala.
The struggle continues as Umkhonti WeSizwe Party embarked on a picket march against the liquidation of Ithala Bank by the Prudential Authority outside Ithala Bank at Bulwer and Ixopo branch under Harry Gwala Region. This follows an ongoing court case by Ithala SOC Limited (Ithala) to thwart the provisional liquidation application launched against the entity by the Repayment Administrator (RA) acting under the supports of the Prudential Authority (PA) of the South African Reserve Bank( SARB), the case is now joined by the KZN Treasury.
Harry Gwala MKP Organizer Bongani Msomi told this publication that people who Banks with Ithala cry foul as they cannot access their accounts and the most affected clients is business people who have thousands of rands yet they don’t have access to it. “Ithala Bank has been serving our communities for years, and it is a trusted Bank by locals that is why we as Umkhonto WeSizwe Party determined to fight for our people because they are the ones who are suffering the most,” said Msomi. He further expressed their frustration with regards to the involvement of the South African Reserve Bank (SARB) stating that, it is very disturbing because the people who own South African Reserve Bank are not even South Africans yet they are said to be the ones who supports Repayment Administrator. MKP calls for South African government to intervene and save Ithala.
Meanwhile it is reported that, the judge is set to hear the Prudential Authority’s liquidation application for Ithala SOC Limited in March, which is likely focused on solving a financial battles that involve Ithala’s assets, liabilities and equity. Furthermore, KZN Treasury said in the statement, on the contrary to the claims of Mr. Johannes Kruger who is the RA, Ithala does not have a solvency and liquidity problem. The reports says as of 31 October 2024, Ithala’s total assets amounted to R3,25 billion while total liabilities amounted to R2,93 billion. This means that Ithala’s assets exceeded its liabilities by R316 million.
