A company accused of looting the Municipal Councillors Pension Fund (MCPF) by selling vacant stands for millions to the pension fund, has now sold a large piece of land – allegedly also vacant – for more than R0.5bn to the Government Employees Pension Fund (GEPF).

According to a Netwerk24 report, the GEPF paid R570 525 per hectare for a farm between Klerksdorp and Stilfontein in North West. The seller was Isago at N12 Dev (Pty) Ltd.

In 2018, the Competition Tribunal approved the transaction as one that would not hamper competition. In its reasons, it stated that the GEPF would hold 60% of the land. The remaining 40% would be transferred to Isago Holdings, of which Moedi Bosele owns 19.5% and the South African Military Veterans Association 1%.

The tribunal noted that the GEPF plans to develop the vacant land to create jobs and transfer skills.

However, says the report, the controversial Isago made headlines in 2018 when it settled with the curators of the MCPF to repay R137m to that fund for the empty stands the fund bought.

The curators initially wanted to liquidate Isago. The Hawks are investigating that transaction. GEPF spokesperson Matau Molapo referred queries about the half billion rand acquisition to the Public Investment Corporation, which reportedly did not respond.

The Freedom Front Plus’ Wouter Wessels said he visited the property and couldn’t see any development. According to him, farms sell for approximately R20 000 per hectare in the area and not more than the R500 000 that the GEPF paid.

‘If pure agricultural value of the farm is considered, there is no way the price paid could be justified.’

Full Netwerk24 report (subscription needed)