Former cabinet Minister, who was at some point a leading candidate for the portfolio of Vice President in the former President Festus Mogae administration, David Magang has again took a shot at the government of Botswana for lack of sight and vision with regard to the beneficiation of her mineral resources.
Magang shared his assessment of government at a public lecture organized by the University Of Botswana Department Of History on Thursday where he was the guest speaker. As a key presenter, his particular focus was to lead discussion in interpreting and interrogating a quote “A nation without a past is a lost nation” as extracted from a speech by Botswana’s founding President Sir Seretse Khama which he delivered during the 1970 University of Botswana (UB), Lesotho and Swaziland Graduation Ceremony in Swaziland.
Magang said he has been singing the same song to government since 1978 until 2006 when government heeded and implemented the long call for diamond beneficiation. “In Botswana, the one great lesson we have learnt is the belatedness with which it dawned on us that it was time we beneficiated our mineral resources, an imperative I obsessively kept calling attention to as far back as the early 80s and to which the powers-that-be were so lackadaisically resigned,” he lashed out at the government during the deliberation to the audience who were almost full in capacity at the state of the art new UB conference facility in Gaborone.
He continued to point out that sadly, in addition to the diamond beneficiation fracas, there is still a whole host of lessons that government has chosen to simply ignore. For example, he said Botswana’s examination-based educational system has on balance been resoundingly vain owing to its archaic emphasis on rote-learning instead of spontaneous internalization of the inculcated knowledge. “It should have been discarded a long time ago, like the Scandinavian country of Finland has, but why we continue to cling to it so boggles the mind as to numb the senses altogether,” the suburban Phakalane township developer maintained.
The business mogul also revealed why there was suddenly a need for a Directorate of Corruption and Economic Crime (DCEC) which was later established in 1994 – in order to combat corruption and economic crimes in the country. Economic prudence and a characteristically peace-loving bent on the part of Batswana are not recently nurtured virtues, he observed. He maintained that, “of course we have over the years seen the emergence of a level of greed and self-aggrandizement in certain quarters that is eye-poppingly brazen and blatant – necessitating our putting into place graft-bursting institutions such as DCEC to provide the necessary checks and balances – but that is more of an anomaly than an all-encompassing national trait.”
The property magnate said that in terms of the education, he also points a finger at government for not having listened to the late Patrick Van Rensburg in relation to embracing education with production at an early stage. The 79 year old hailed Patrick Van Rensburg as a pioneer educationist who founded the highly efficacious Brigades movement in Botswana at a time when Batswana were desperate for the barest vocational skills. He said “if we had keenly embraced his concept of education with production, the country’s unemployment levels would not be this acute. Although a vociferous proponent and practitioner of vocational education for self-employment, Patrick van Rensburg did not advocate for marginalisation or abolition of history in the school system as seems the case currently.”
He continued to take a shot: “yet all the above fair-skinned personages are not spoken of in the same glowing terms as the equally illustrious indigenous Batswana. None of them has been put on a particularly towering pedestal by the chroniclers and savants of our national history or merited a posthumous nominal honour after a national landmark,” he pointed out in his 1 hour 30 minutes long lecture to the audience.
According to the former ruling Botswana Democratic Party (BDP) legislator, the blame, as far as he is concerned, “lies squarely on those who devise the curricula in the history departments at both the high school and university level. I need not stress that those who perform sterling in any facet of national progress must be equally lauded and proportionally projected irrespective of skin pigmentation. Colourbar must not be allowed to factor into the appreciation and salutation of our national heroes.”
When hitting at the UB academics on equal token as he did to a large extent to the government of the day, Magang highlighted that “my own hosts today, the University of Botswana authorities, bear their share of this oversight I regret to say.” He said he is given to understand that there is a long-held tradition at the national university whereby buildings and other constituent facilities are officially known by mere numbers instead of being named after national heroes some of whom he had made mention of in his address.
“Maybe the recent re-naming of the hospital at the University of Botswana after the recently departed Sir Ketumile Masire is a signal on the part of the university authorities that they are intent on making amends in this regard.” The former Lentsweletau Member of Parliament reminisced that once he asked the late Professor Thomas Tlou also why most of the theses of Botswana’s indigenous historians were based on research conducted in other countries when ideally their own country ought to take pride of place.
“The professor laid the blame squarely on Government: he told me whereas other governments were prepared to avail funding for research to even non-citizen historians, ours didn’t seem to care an iota,” he said. Magang continued: “almost every University of Botswana lecturer I have had occasion to talk to over the years bristles at the stigmatic absence of a printing press at a university that prides itself as one of the best on the continent. An in-house printing press would make information dissemination by way of books easier and cheaper. It would open the floodgates of indigenous bibliographical output, which presently comes only in trickles as international scholarship arbiters repeatedly lament.”
Magang asserted that Africa is rich in an indispensable amount of epoch-making history and yet Caucasians, who document much of world history, typically dismiss the continent as inconsequential by any stretch of the imagination. He said this same cynicism was directed at Botswana by the colonialists, who regarded the country as far from historically worthwhile when he cross-examined Sir Khama’s appeal for Africans to break-away from the shackles of mental oppression, and become masters of their own destiny by writing their own history. Magang asked to what extent are efforts made to see to it that certain misconceptions or seeming ambiguities do not hold or are clarified.
For example, he wondered why most Batswana continue to cling to the erroneous position that The Three DiKgosi went to England to ask for British protection when the fact of the matter was that the protectorate – or a profaketorate as he calls it – had been imposed on the country, suddenly and unheralded, by the British government a decade earlier in 1885 and that the object of The Three DiKgosi’s mission was to register their revulsion at the planned handover of our country to Cecil John Rhodes. In the 1960s, he stated that Botswana was perceived as a country which was virtually without history which made the country earn a tagline: “happy is a nation that has no history. By this standard, there can be few nations happier than Bechuanaland.”
Part of the Sir Seretse’s speech reads: "we were taught, sometimes in a very positive way, to despise ourselves and our ways of life. We were made to believe that we had no past to speak of, no history to boast of. The past, so far as we were concerned, was just a blank and nothing more. Only the present mattered and we had very little control over it. It seemed we were in for a definite period of foreign tutelage, without any hope of our ever again becoming our own masters.”
“The end result of all this was that our self-pride and our self-confidence were badly undermined. It should now be our intention to try to retrieve what we can of our past. We should write our own history books to prove that we did have a past, and that it was a past that was just as worth writing and learning about as any other. We must do this for the simple reason that a nation without a past is a lost nation, and a people without a past are a people without a soul," it continued. Magang interrogated the famous speech, and how it was subsequently misread or misunderstood, in order to be able to explain Sir Seretse Khama’s vision of Botswana’s development with the country’s history as a cardinal aspect of nation-building.
Botswana Football Association (BFA) leadership appears to be bowing down to Nicolas Zakhem’s football pressure. The development comes to the open roughly 24 hours after the Gaborone United director publicly labelled Maclean Letshwiti and his committee failures for deciding to chop five premier league clubs under the pretext of club licensing disqualification.
As early as Wednesday noon, the BFA emergency committee met with one agenda item to discuss the possibility of reinstating the clubs. This publication gathers that the committee saw it fit to pardon the five clubs without entertaining a second thought. The committee even invited the clubs to the meeting, sources say.
Late last month, the five teams were disqualified from playing in the premier league, pending the appeal outcome. The teams are Notwane, Extension Gunners, BR Highlanders, Mogoditshane Fighters, together with Gilport Lions. The immediate decision by BFA follows what Zakhem had said and advised that it was wrong to chop clubs given the COVID-19 situation in the country.
Unbeknownst to BFA leadership, observers stress that Zakhem exerted public pressure and influenced them to change tone without asking. At the meeting, BFA president Maclean Letshwiti, his vices, Marshlow Motlogelwa and Masego Ntshingane, Aryl Ralebala, the Botswana Football League (BFL) chairman, together with Alec Fela, an ordinary member in the now stubborn NEC.
However, the reactive move by the association to reinstate the clubs is highly welcomed in certain quarters, but it also appears to have left a permanent scar, especially at BFL. As things stand, the general feeling on the ground is to oust chairman Ralebala for failing to defend these clubs before the eyes of President Letshwiti.
This publication has intercepted an ongoing petition to unseat Ralebala and his deputies from the BFL board. Strange enough, the signed petition has thus far attracted clubs with household influence in the league itself. GU, Township Rollers, Notwane, Extension Gunners, Police XI are some clubs that have already appended their signatures to have Ralebala removed.
The big clubs are believed to fighting for principle and demand fair governance at BFL. The reality is that these clubs command a large following, and sponsors can always have a say based on their presence.
When approached for clarity, Ralebala said he could not comment on allegations or issues that lack substance. He concedes that he has heard about the rolling petition but is yet to lay his eyes on it. “I have heard about the petition, but I don’t know where it is coming from. I think it is best you ask those who have signed it. My focus is to commence the league and make sure everything is on point,” said Ralebala.
Football observers state that Ralebala, together with Letshwiti, are now faced with a dilemma. Reports coming from Lekidi Football Centre, although yet to be fabricated, are that the big guns lead others to form a parallel structure where they will play on their league. The clubs are angry at their chairman for taking many of the instructions from the BFA boss, and already a general melee is gathering traction that the two must resign as football has lost direction.
Zakhem says, although he supported Letshwiti, he has a sense of duty to stand for the truth. “I knew I supported Letshwiti and his troops, but you see, these guys have lost direction. I have long advised them that chopping clubs like this will cause confusion and delay progress, but they cannot listen. Letshwiti gave BFL autonomy, but I do not know why he is still interfering,” Zakhem said.
You may, by now, have heard about the dark side of the high profile P100 billion case, but wait, there is also the brighter side. Staff Writer AUBREY LUTE explores the positives accruing from the fall of the country’s biggest financial ‘scam-dal’.
A chance to fix the country’s financial record
They have not publicly been saying it, but the state agencies and the President, Dr Mokgweetsi Masisi, have been at pains to explain and rationalise how an amount almost equal to the country’s GPD left the central bank.
Many insiders attributed the country‘s troubled financial status to the case, including the grey-listing, non-compliance and identified deficiencies, some of which were hitting citizens around the globe. Botswana was in 2018 taken aback by FATF news that the country has been listed alongside countries that do not comply with (AML/CFT). The European Union Commission later flagged Botswana in March 2019 for lacking strategic deficiencies in AML/CFT regulations.
A chance to restore the dignity of the law enforcement arms
The case, without a doubt, was a distraction object on the law enforcement agencies, which spent a chunk of their time bickering and finger-pointing. A leaked audio recording exposing the explosive meeting of the law enforcement arms of government, being the Intelligence Services, Corruption and Economic Crimes agency, and the Prosecutions division summed it all.
The case presented a monumental crisis threatening the core of their being. Following these developments, the Presidency, clearly under the influence of a tripartite member, took a spine-chilling decision to disband the DCEC, a move that was saved by the organisation’s founding director- Tymon Katlholo’s bold protest.
The DPP, the Police, and the DCEC staff were used in the process to carry out bizarre instructions, some of which left the state with an egg on its face. Mistrust and backstabbing were the order of the day within the law enforcement agencies, and the P100 billion case was to blame. “Some badly wanted the plot executed while the other side badly wanted it to end to restore sanity,” an insider says.
The source further adds that “if the case did not end soon, it was going to end a lot of people’s relationships and careers because those who refused to carry the insane instructions were seen as sympathisers to former President Ian Khama.” With the case having fallen, these agencies can reflect, reconcile and go back to work.
A chance to fix diplomatic relations…
It was not only South Africa that was accused of Sabotaging Botswana’s prosecutorial goal. The state also accused several countries of refusing or delaying to assist in the process. Of all the nations, only South Africa has decided to take Botswana to task, perhaps on its proximity to Botswana. Others long ignored Botswana’s requests for assistance to the frustration of former DPP deputy director who repeatedly told the courts that they were struggling to get responses from the international community. With the case having fallen, Botswana may get a chance to face her actions, apologise and rectify the promise that lessons have been learnt.
Pressure off the shoulders of those who have to account…
The case did not only affect the law enforcement agencies. All the stakeholders were put in the spotlight to provide answers. The first to bolt out of the circle was the central bank, Moses Pelaelo, who, like DCEC director-general, long declared the case a scam. He told the world that his books were in order and that no money was missing risking his high-paying job.
According to insiders, his superiors, the then Minister of Finance and Development Planning – Dr Matsheka and his subordinate, Dr Wildfred Mandlebe, were only whispering, without success, to the Gods that there is no money missing.
So concerned and under pressure was Dr Sethibe- then the head of the Financial Intelligence Agency- who, like his Ministry supervisors, was engaging in silent screams to warn the powers that be, all in vain. He later jumped the ship to his former employer, the University of Botswana, allegedly to protect his name and career.
At the time of the fall of the case, the DIS and the DPP were at advanced plans to higher American to come and probe the Bank of Botswana’s servers in a move that bankers feared could compromise them further.
The case was bleeding the country’s coffers…
Had it not ended, the case was likely to end up ‘genuinely’ costing the country P100 billion Pula duo to its complexity and challenges. Insiders say sources who had sold the law enforcement agencies some falsified documents were paid handsomely.
Moreover, investigations were costly as they involved the international community and frequent travelling. “We are told there was also motivation for some officers to act abysmally and out of their way,” an insider said.
Lessons leant for public officers…
Public officers are often duty-bound to obey superiors instructions, no matter how irrational. The case was an eye-opener to many public officers that principle pays in the discharge of one’s duty at all times. The professional careers of the P100 billion case conspirators are currently in shambles. And as expected, the influencers, if at all there any, are nowhere to be seen.
Botswana remains on the grey list of the Financial Action Task Force (FATF) and the “black list” of the European Union, a status quo that highlights the country as one of the high-risk jurisdictions to deal with money.
The far-reaching implications of these listings is a compromised Foreign Direct Investment drive for Botswana. In particular, these listings mean investors now have to exercise some caution and restrain when thinking about putting their money in Botswana. On Tuesday, Minister of Finance and Economic Development Peggy Serame said that Botswana could see itself out of the “undesirable listing” by October this year.
Serame called for united and concerted efforts towards liberating Botswana out of this financial noncompliance tag. She said the delisting could be archived by concerted efforts from all stakeholders: players in the financial services sector, non-financial services businesses, regulators, and every individual who deals with transactions.
Botswana is a founding member of the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG). This regional body subscribes to the Financial Action Task Force (FATF) to combat money laundering and financing of terrorism and proliferation.
One of the membership obligations to ESAAMLG is for Botswana to be peer-reviewed by the other Member States and other international bodies like the World Bank, IMF or FATF. The most recent assessment for Botswana to gauge compliance with the FATF standards was conducted by ESAAMLG in 2016 and culminated with publishing the Mutual Evaluation Report (MER) in 2017.
Following the discussion and adoption by the Task Force and approval of the MER by the Council of Ministers, the country was placed under enhanced follow-up. This led to a one (1) year observation period in which the country was expected to improve its technical compliance (legislative framework) by correcting the deficiencies identified in the MER.
After one year, in October 2018, the Task Force decided that the country was not taking sufficient steps to implement the recommendations made by the assessors in the MER. The Task Force recommended that Botswana be referred to the International Cooperation Review Group (ICRG) for monitoring and potential listing often referred to as the ‘FATF greylisting”.
Following the FATF greylisting, the EU placed Botswana on its list of high-risk third countries, often referred to as the ‘black list.’ In 2018, Botswana and FATF agreed to an Action Plan that had six items with several timelines. In terms of Risk and coordination, Botswana was told to develop and implement a risk-based comprehensive national AML/CFT strategy, assess the risks associated with legal persons, legal arrangements, and NPOs, and operationalize the modernized company registry to obtain and maintain essential information and Ultimate Beneficial Ownership information.
Botswana was further advised to enhance the capacity of the supervisory staff, including by developing risk-based supervision manuals and providing adequate training, implement risk-based AML/CFT supervision and impose sanctions against violations.
Furthermore, Botswana was instructed to improve analysis and dissemination of financial intelligence by the Financial Intelligence Unit, including operationalizing an online Suspicious Transactions Report filing platform and prioritizing high-risk predicate crimes, and enhancing the use of financial intelligence among the relevant law enforcement agencies.
Regarding terrorism financing investigation, Botswana was instructed to develop and implement a Counter Financing of Terrorism Strategy, operationalize the Counter-Terrorism Analysis and Fusion Centre, and ensure the Terrorism Financing investigation capacity of the law enforcement agencies.
In 2018, the 11th Parliament passed 25 pieces and, later, six others related to AML/CFT/CFP. At the just ended Parliamentary session of the 12th Parliament, lawmakers passed the Financial Intelligence (Amendment) Act to address the definition of beneficial ownership.
Cabinet approved the National AML/CFT/CFP Strategy of 2019-2024 in October 2019. At the June 2021 FATF Plenary meetings, the FATF made the initial determination that Botswana had substantially addressed the Action Plan and that this warranted an on-site assessment to verify that the implementation of Botswana’s AML/CFT/CFP reforms is in place and is being sustained. Furthermore, an assessment was to be instituted to check if the necessary political commitment remains to sustain implementation in the future.
Serame said in a televised press briefing that Botswana’s exit from the FATF grey list and the EU black list would be determined by the outcome of the on-site assessment, which will be discussed at the FATF Plenary in October 2021.
She revealed that the Botswana delegation attended the Eastern and Southern Africa Anti-Money Laundering Group 42nd Task Force of Senior Officials meeting from the 26th August to the 6th September 2021, followed by the Council of Ministers on the 7th September 2021.
She told the media that at these meetings, Botswana was commended for making progress in complying with the FATF standards by addressing deficiencies in her AML/CFT/CFP framework. “We are making all these efforts of complying with the FATF standards so that we guard against our financial system being used for money laundering, terrorism financing and proliferation financing,” she said.
“We are hopeful that at the October 2021 FATF Plenary meetings, the outcome of the on-site visit undertaken by the FATF in August 2021 will bear positive results, leading to Botswana being delisted from the FATF greylisting,” she said. However, Minister Serame called on all stakeholders to support the government to remove Botswana from the greylisting.
“As Government continues its efforts of putting in place the necessary legislative and institutional framework, due diligence must be exercised by all institutions, including the ordinary Motswana, so that no one is found dealing with financiers whose credibility is wanting,” she said.
The minister reiterated that all players in the financial services sector had a role to play: “It is important that where unsolicited funds are offered, the individual or entity so receiving the offer must ensure that the funds being offered are not associated with unlawful acts. If we are not diligent, criminals may use unsuspecting people and entities to launder proceeds of crime.”
She reiterated that the government is committed to doing all within its power to remove the country from the FATF “grey list” and the EU “black list”. However, she noted that to achieve that requires the cooperation and assistance of financial institutions, designated non-financial businesses and professions and individuals to ensure full compliance with AML/CFT/CFP rules and regulations.
“These efforts will not only assist us to be removed from these mentioned lists but are for the benefit of our country to maintain a high standard of financial prudence and an economy which genuine investors can have the confidence to invest in,” Serame explained.