Can't compare Guptas to Ruperts

Published Apr 14, 2016

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Unlike the Ruperts, Wieses and Moutons, who used their political clout for the good of millions of South Africans, the Guptas are only looking to enrich their family, writes Muhammad Omar.

While it may be easy to criticise the recent rise of Afrikaner capitalism or the Stellenbosch Mafia “Many corporate capture facets” (Cape Times, April 13), there is no comparison between the Guptas and Ruperts, or even Koos Bekker. For starters, one gives some credit to the Guptas for entering into sectors hitherto denied to persons of colour, more so the gold and coal mining enterprises.

However, when it comes to influencing government policy the Ruperts, Bekkers, Wieses and Moutons were and are far more astute, and their sentiments and investments have the potential of benefiting and affecting millions of South Africans. Unlike the Guptas, who sought to enrich their family, trying to think SA is some failed state where being cosy with the president’s family will gain political, legal and corporate financial immunity from any fallout that may occur.

Amazing how quickly they were able to relocate and are probably trying to run their empire remotely from the UAE.

What Cronin fails to mention is the meteoric rise of Afrikaner capitalism under the ANC. During the peak of the Nats, capital was controlled by the English and politics by the Afrikaners. The irony is it took an ANC government to propel the Afrikaners into super capitalists on the global stage. Even Gaddafi visited Mkuze and offered farms to our own sugar/irrigation expert Mr Charl Senekal. This was in part to remain anchored in SA, looking east and up north into Africa.

Look at the corporate disasters of Anglo, Old Mutual and even SAB Miller whose identity at head office will be nowhere near South African. Compare this to the investors and JSE darlings Naspers, Sasol, Sanlam, Mediclinic and even a company like Metair, which is quietly expanding its operations around the globe but has a strong South African component.

Even MTN falls into this category.

Many of these companies have had political appointees on their boards, but this was not to gain exclusive access and contracts. That’s the difference.

As for the Rupert family, and more so the late Dr Anton Rupert, who really spelt it out to the then government that SA would have to change and build a super empire around the globe starting with cigarettes, thereafter SA industries, mining and the luxury goods empire with Cartier and Mont Blanc, competing against Louis Vuitton.

Here, you are competing in Beijing and Bangalore, and no political clout will help you. The same with Naspers and their Tencent venture in China. To have identified and made this work was the effort and intellect of a super genius. All these chief executives’ families are domiciled in SA.

The Rupert influence also extends to SA’s cultural heritage. Look at the towns of Graaff-Reinet and Franschhoek, where the estates La Motte, L’Ormarins and the Ruperts’ Rothschild’s estate are well worth a visit even as a non-drinker, and when offered free wine you politely ask for a glass of tap water!

(My request stunned the staff at the Ruperts’ Rothschild estate so much that when I left three staff greeted me on my way out.)

Good to see Olive oil is now being cultivated on these farms as well. These investments enhance SA not just to enrich a family and are way beyond profits and losses. These are legacies.

To even draw the slightest comparison between the Guptas and Afrikaner capitalism is disingenuous and does very little to enhance the debate, nor highlight the political shortcomings of the current president.

This is the greatest challenge going forward.

Muhammad Omar

Durban North

Cape Times

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