Oligarchy: The deadly consequences of Covid-19 theft; the dangers of exposing corruption
Hello, and welcome to Oligarchy. We are tracking how Covid-19 and the world’s response to it is affecting the super-rich — and what that means for power and politics.
CORRUPTION KILLS
Last week, South African President Cyril Ramaphosa gave an important speech about the national effort to contain Covid-19, which has killed more than 6,000 South Africans. He directly addressed the increasingly loud concerns about the theft of money being spent to fight the disease: through fraud, overpricing of goods, collusion between companies and officials, and the creation of fake charities.
- “More so than at any other time, corruption puts lives at risk,” he said.
His government initially won praise for its response to the outbreak, but the virus has since surged, and allegations of embezzlement from the health budget have become increasingly hard to ignore, with media reports of more than $130 million being stolen.
- "South Africa is becoming a nation of thieves, with the most unscrupulous enablers in official positions all too ready to feast on the relief meant for the most vulnerable in our society,” said Sandile Zungu, president of the Black Business Council.
Some of the allegations have touched people in Ramaphosa’s inner circle, and cynics suggested the only reason the president was speaking out now was because he desperately needed a loan from the International Monetary Fund to keep his government solvent. The loan was duly approved on Monday, with the usual warnings about “full transparency and accountability.”