A day after Business Leadership South Africa (BLSA) responded to criticism of having disgraced Bain & Company as a member, the local unit of US management consultants quit the lobby group so as not to “distract”.
Business Day reports that Bain South Africa said in a statement that it was withdrawing its membership from BLSA so that it “should not distract from the important work” the lobby group does for the local business community.
On Monday BLSA CEO Busi Mavuso addressed criticism directed at the organisation and herself over the stance taken on Bain after the Zondo Commission exposed the company’s role in hollowing out the SA Revenue Service (SARS).
“Much of this has been ignorant of the facts, poorly informed, sensationalist, and not even vaguely constructive,” said Mavuso.
“I completely understand there is much anger at Bain following the Zondo Commission report, as there should be.
“What Bain did at SARS was highly damaging and every South African is right to be angry. But we need to channel this anger properly.”
The BLSA CEO disputed criticism claiming BLSA has “embraced” or “defended” Bain following the Zondo Commission findings.
Instead, Mavuso points to 2018 when BLSA suspended Bain following revelations at the Nugent Commission. Bain was, however, re-admitted to BLSA in April last year after it returned the millions of rand it was paid by SARS.
Mavuso said the previous suspensions related to State capture, including KPMG, Transnet, and Eskom.
“We acknowledge that Bain South Africa unknowingly participated in the process that caused serious damage to the South African Revenue Service through various lapses of leadership and governance,” said Bain reportedly said.
Bain denies being party to corruption.
However, exiled whistleblower Athol Williams, whose evidence at the Zondo Commission implicated Bain in wrongdoing, on Tuesday said: “This is a small victory for SA society because it shows that our pressure to hold them accountable is working”.
Williams implicated Bain and several other individuals for their role in shenanigans at SARS.
“However, this move highlights the continued efforts by Bain and BLSA to shield the corrupt from accountability – BLSA should have expelled Bain,” said Williams.
He said Bain must release the full findings of the Baker McKenzie investigation into its work with Sars, Telkom, and former president Jacob Zuma.
Williams said Bain should “not try to slink back into the shadows” as the move intends.
“The BLSA board and its members should hang their heads in shame for not acting decisively to expel this company who are clearly acting against our society’s interests,” said Williams, who left the country at the beginning of November last year over whistleblower safety concerns.
“Bain needs to know that we will not let up until they make full disclosure, return all their ill-gotten gains and make amends for the harm they caused,” said Williams a former partner at Bain.
“We know they think SA society is stupid, but they need to realise that we see through their dishonest and insincere public relations.”
