Civil society organizations in South Africa have raised concerns about the forthcoming sale of Telkom’s stake in Vodacom to UK based Vodafone.
Among these is the South African Communist Party (SACP), which is part of a tripartite that also includes the African National Congress. The SACP expressed its support to the trade union that launched a court proceeding against the transaction.
“It is our firm belief as the SACP that the sale is not in the national interest and neither does it help us to stabilize and leverage our strategic national assets in the current fluid global economic meltdown. The Telkom sale of its Vodacom shares to the British company Vodafone is a case of greedy BEE elements (and others) compromising our national resources and capacities,” said SACP spokesperson Malesela Maleka.
“To us, this deal represents nothing else but narrow and elite enrichment scam. It forms part of initiatives to hollow the state of strategic assets and has potential to undermine our efforts to build a developmental state. The SACP would like to reiterate its call on government to urgently review, and preferably reverse, this deal.”
It further said that it was in full support of the court application Communication Workers Union (CWU) filed last week.
“The SACP welcomes the court process launched by the Communication Workers Union to stop the merger between Vodafone and Vodacom. The merger is as a result of the sale of the Telkom’s sale of its 15 percent shares held in Vodacom to London based Vodafone.The SACP takes this moment to express its full support for the court action that has been undertaken by the CWU,” Maleka said.