CONSTITUTIONAL COMMENTARY AND EVENTS

24 years ago, South Africans from all walks of life stood in snaking queues to cast votes in the nation’s historic first multi-racial democratic elections. The mood for most, was buoyant, if not a little uncertain, given the challenges that lay ahead for the nation.

Today, South Africa’s position as a constitutional democracy is well solidified, with its citizens, to a large extent, enjoying the nation’s democratic dividends. There has been visible progress – notably in areas such as electrification – across the country. Statistics South Africa (Stats SA) shows that in 1994 to 1995, 50.9% of South African households had access to electricity, that figure by 2012 had increased to 85.3%. In general, while crime rates are at unacceptably high levels, the murder rate in particular has decreased, although this fact has done little to assuage the perceptions regarding the prevalence of violence in South Africa. In 1995, the nation’s murder rate stood at 66.9 per 100 000 people according to the Institute for Security Studies (ISS). In 2012 to 2013, the murder rate, according to the South African Police Service (SAPS) had decreased to 31.3 per 100 000 people. 

International and South African news has been consumed over the last few months with the tumbling of Steinhoff International N.V. (Steinhoff) and the sudden resignation of its former Chief Executive Officer (CEO), Markus Jooste (Mr Jooste). Following the announcement of suspected accounting irregularities in Steinhoff’s financial statements, the fall in Steinhoff shares has, according to media reports, wiped out over R200 billion in market capitalisation. At the time of announcement, the Government Employees Pension Fund was, through the Public Investment Corporation, the second largest shareholder in Steinhoff.

In the Netherlands, where Steinhoff is incorporated, there are talks of a large-scale class action against Steinhoff’s directors and auditors. Locally, it appears that the Hawks and the Financial Services Board are investigating Mr Jooste. Recently there has also been an announcement that Mr Jooste will possibly be subpoenaed to appear before Parliament.