KPMG cuts ties with Guptas

Johannesburg – KPMG has become the first private firm to cut ties with the Gupta family over the fallout from the Mcebisi Jonas saga two weeks ago.

Both KMPG and the Gupta family, through their company Oakbay Investments, confirmed on Friday that their partnership has ended.

The international auditing firm said it would no longer continue working for Gupta-linked companies amid the swirling scandal on state capture.

Read: ‘#StateCapture at pornographic levels in SA’

Since Jonas, the deputy minister of finance, confirmed publicly that he was offered the position of his then boss Nhlanhla Nene as minister of finance more people have come forward.

The ANC has launched an internal probe on state capture, urging its members who have been influenced or pressurised by the Gupta family to report to ANC secretary-general Gwede Mantashe’s office.

That decision followed a lengthy discussion in the meeting of the national executive committee.

ANC provincial chairman in Gauteng Paul Mashatile said last Friday that the discussion on the Gupta family’s alleged state capture lasted for two days.

#ANCNEC: Party draws line in sand on Guptas

However, the decision of KPMG on Friday followed its internal introspection and it was decided that as a reputational international auditing firm it would not afford to be associated with the Gupta family.

It said the risk was too huge and confirmed that the decision was not based on auditing, but the political storm around the Gupta family through its businesses.

The Gupta family has come under intense scrutiny since the scandal broke two weeks ago.

Parliament has been urged to take action on the family.

Opposition parties have launched criminal charges against the Gupta family and President Jacob Zuma’s son Duduzane.

The Hawks confirmed this week that it was investigating the complaints lodged by the official opposition, the DA.

Zuma has also been questioned numerous times in Parliament on his association with the family.

Public Protector Thuli Madonsela has also confirmed that she was conducting an investigation into the Guptas after the DA and the Dominican Order, an organisation of priests and brothers from the Catholic Church in Southern Africa, asked her to probe the family.