IFP leads powerful march to save Ithala Bank from potential liquidation

“ENOUGH is enough!“

That was IFP President Velenkosini Hlabisa’s rallying cry during a mass march against the potential liquidation of Ithala Bank, in Durban on Monday, outside the provincial offices of the South African Reserve Bank (SARB).

Before handing the memorandum to a representative from the SARB, Fatima Bobbert, Hlabisa gave the SARB an ultimatum to respond to their demands within 21 days.

“This is a matter that goes to the very heart of KwaZulu-Natal’s prosperity. Losing Ithala would severely undermine KwaZulu-Natal’s developmental agenda, which depends on institutions like Ithala to drive inclusive economic growth,” said Hlabisa to thundering applause from the crowd.

It was among some of the demands made by the IFP:

– “We demand that the South African Reserve Bank’s Prudential Authority (PA) seize and desist from further action to liquidate Ithala Bank.

– “We demand that the Repayment Administrator (RA), Johan Kruger, seize and desist from their unjust assault on a pro-poor, African bank.

– “We demand that Ithala Bank be granted a banking license so that it is able to become a fully-fledge State Bank.

– “We call on Treasury and the KwaZulu-Natal Government to ensure a lasting solution to #SaveIthala.

– “We demand protection for the poor who have lost access to their funds.

“We will defend uMntwana waKwaPhindangene’s (Inkosi Mangosuthu Buthelezi) legacy at all cost. The institutions he built must be protected, supported and multiplied. Therefore, we declare Hands Off Ithala,” said Hlabisa.

Buthelezi was credited for being the brains behind the formation of Ithala Bank in 1958.

Not pulling the punches, Hlabisa added: “Enough is enough. We will do everything in our power to save Ithala Bank.”

Ithala Bank is locked in a legal brawl with Prudential Authority, which is an entity of the South African Reserve Bank (SARB).

Other leaders present at the march included the national spokesperson, Mkhuleko Hlengwa, and the member of the provincial legislature, Blessed Gwala.

Hlabisa said the liquidation hovering over Ithala Bank caused “Untold distress”.

“For many decades, the bank has been a lifeline to many struggling poor people. We will fight to defend the legacy of Shenge (Buthelezi). What is happening to Ithala is an unjust assault on the bank, which is a pro-poor African bank. This cannot be left unchallenged,” said Hlabisa.

He said the SASSA beneficiaries would bear the brunt if Ithala Bank was liquidated.

“The Prudential Authority, under the South African Reserve Bank (SARB) should seize and desist from the action to liquidate Ithala Bank,” remarked Hlabisa.

Like Hlabisa, the IFP’s provincial chairperson and Premier, Thamsanqa Ntuli, launched an attack on the PA.

“We will fight as the IFP to save Ithala Bank because we will not allow the legacy of our late leader Mangosuthu Buthelezi to be destroyed. We want the South African Reserve Bank to reverse its intention to liquidate Ithala Bank,” Hlabisa said.

On Friday, King Misuzulu KaZwelithini called an Imbizo, where he expressed his frustrations at the attempt to shut down Ithala, claiming that there was a “third hand” involved in the matter of Ithala.

“We can’t fold our arms and allow an institution such as Ithala Bank to be liquidated. We will join all the efforts that were aimed at saving the bank,” he said.

Induna Sipho Mkhwanazi warned that “there will be war if the Ithala is liquidated. We will not allow the people behind the impending liquidation of Ithala Bank.”

Mkhwanazi said the IFP would continue to mobilise support for Ithala.

The scores of IFP backers who were part of the march were clad in party T-shirts bearing Buthelezi's face. Many of them were bused in from different locations.

Others hoisted placards emblazoned with the words: “Hands off Ithala” and “Protect Ithala Bank”.

Traditional leaders, including Amabutho, chanted songs as they marched to the SARB’s office.

Despite the sweltering heat, the march remained peaceful, with the South African Police Service and Metro Police efficiently maintaining order in the bustling Durban CBD. Private security personnel were also present on SARB premises to ensure safety. Only a minor altercation between Hlengwa and a SAPS member was noted and quickly resolved without further incident.

Other organisations and political parties, including the uMkhonto weSizwe Party (MKP), the ANC and the DA, were also backing Ithala in its fight to survive.

The MKP has been holding demonstrations in support of Ithala, in different parts of the province, including a recent one held in Dundee last week .

DAILY NEWS