Several parties have spoken out against Standard Bank after the bank made a move to shut down the accounts of Independent Media and IOL.
Standard Bank South Africa (SBSA) has issued letters to Independent Media and 30 other companies in the Sekunjalo Group, informing them of the closure of their business bank accounts on August 21.
The bank’s communication comes after a Competition Appeal Court of SA ruling that upheld the decision taken by three banks to stop offering their services to Sekunjalo companies.
In an opinion piece, columnist Tom Eaton slammed the debanking, saying it is a “fairly disgusting practice” due to it being “hypocritical” and “dishonest”.
“The Zondo Commission proved the extent to which South African banks aided and abetted state capture. Standard Bank was specifically named in the final report, happily accepting hundreds of millions in dodgy deposits without ever flagging transactions that were, according to experts, blatant money-laundering,” wrote Eaton.
“Banks are perfectly entitled to serve whichever customers they choose. They’re also entitled to run whatever reputation-laundering campaigns they wish. But I can’t help feeling that Farage and Survé, both highly public and controversial figures, are being offered up as sacrificial victims, while far nastier people move far dirtier through the same banking system, without a murmur of alarm from anybody,” he wrote.
As Eaton objected to the hypocrisy, chairperson of Youth Business Chain, Michael Mayalo looked at how the move affects the staff of the companies.
Mayalo said the bank’s decision is not just an attack on a media company, it is also an attack on “democracy, freedom of speech, and the basic human rights of every South African”.
He highlighted the thousands of livelihoods at risk.
“Standard Bank's actions against Independent Media SA and IOL are an affront to all South Africans. These are not faceless entities; these are institutions that employ around 1,600 people, supporting over 10,000 dependants. Real human beings whose livelihoods have been snatched away with the stroke of a pen,” he said.
Mayalo added that the human cost is staggering and “the moral bankruptcy displayed by Standard Bank is unforgivable”, as thousands are left in uncertainty.
“Let's not delude ourselves into thinking this is an isolated incident. Every single day, countless South Africans are wronged by banks. Homes are repossessed, businesses are shuttered, dreams are shattered, and yet these financial giants continue to act with impunity,” he said.
Mayalo called on South Africans to rally together and stand up against institutions, as well as demand accountability, transparency and fairness.
Staying on the human factor note, the Public Service and Commercial Union (PSCU) has condemned the decision and called for an end to “discriminatory practices” and demanded “greater protection and support against the impunity of the banking sector.”
PSCU secretary-general, Tahir Maepa said banks are now acting above the law.
“Banks practice discrimination in broad daylight against the working class, counting the cost of these practices amounts to billions that workers had to suffer simply because they dared to bank while black,” said Maepa, lamenting the lack of transformation in the banking sector.
“The PSCU will support the workers affected by this evil move and if Standard Bank doesn’t have a change of heart, maybe it is about time that workers must close down Standard Bank,” he said.
The ANC in KwaZulu-Natal has also thrown their weight behind Independent Media, saying they are opposed to any form of “censorship or interference” with editorial independence of media houses.
ANC provincial spokesperson Mafika Mndebele said ANC KZN heavily opposed the shutting down of accounts during Women’s Month.
“In particular, we remain concerned that Standard Bank intends to close down bank account during the month of August. A period dedicated to observe Women’s Month and to promote women empowerment. Out of thousands of journalists who will be affected by the shutdown of bank accounts - some are women who are breadwinners. What will happen to them and their families?” Mndebele asked.
He highlighted that stories and initiatives by Independent Media often focus on women in the townships and rural areas.
Mndebele reiterated the importance of women empowerment, especially for the development of the country.
“Within the context of Women’s Month, the decision to shut down Independent Media bank accounts should be viewed as a deliberate effort to deny women information that will ultimately empower them with the capacity to change the destiny of our country,” he said.
In conjunction to the above, many South Africans from all walks of life opposed the bank’s decision.
IOL