POLITICAL VIOLENCE, STOLEN FUNDS, PARTY CHANGES,

UNCLAS SECTION 01 OF 02 DURBAN 000079

SENSITIVE
SIPDIS

AF/S, INR

E.O. 12958: N/A
TAGS: PGOV SF
SUBJECT: POLITICAL VIOLENCE, STOLEN FUNDS, PARTY CHANGES,
PRIVITIZATION, AND REBELLION: KWAZULU NATAL ROUND-UP

REF: A: DURBAN 68; B: DURBAN 50

DURBAN 00000079 001.2 OF 002



1. (U) Summary. Political violence continues in KwaZulu Natal
(KZN) amid government promises to bring stability to the
Greytown area. The KZN Department of Education allegedly has
been swindled out of millions and ends up paying twice for
school supplies. For the first time in its history, the
Democratic Alliance (DA) in KZN is led by a black man. The cost
of uShaka Marine World may be too much for the Durban tax payers
who own it. Members of the Inkatha Freedom Party (IFP) Youth
Brigade push for a change in leadership and vision. End Summary.

Political Violence Continues in KZN


2. (U) As reported in Ref A, post-election political violence
continues in KZN. On June 26, dozens of IFP supporters marched
in Greytown in protest against what they claimed was the ANC's
attempt to push the IFP out of one of its traditional
strongholds. Protesters vowed to fight back if ANC and IFP
party leaders could not resolve their political differences.
The crowd chanted "Makuliwe, Makuliwe," (let there be war) and
one protester warned, "We haven't forgotten how to use our guns,
and we haven't thrown them away.' MEC (Member of Executive
Council - like a provincial `minister') for Transport, Community
Safety and Liaison Bheki Cele promised that political
intolerance will not be tolerated by the police, and that the
government will do everything in its power to bring stability to
Greytown. On July 11, a group of six men were murdered near
Greytown, but police have not determined if the incident was
politically motivated. The leading theory is that the killings
were the result of a family feud.

KZN Department of Education (KZN DOE) Fleeced


3. (SBU) Black Economic Empowerment entrepreneur, Jabulani
Mabaso, has been accused of defrauding the KZN DOE of about R200
million ($25 million). Local media reported that Mabaso
received a tender to supply stationery and wall maps to all
schools in KZN, but the supplies were never delivered. In 2008,
the IFP alleged that the DOE had awarded the tender to Mabaso
because he was a business partner of the husband of then
Minister of Education, Ina Cronje. The IFP withdrew the
allegation and apologized to Cronje after she threatened legal
action against the party. No evidence has ever surfaced to
substantiate the allegation, and Cronje has since been appointed
the KZN MEC for Finance. The KZN DOE has secured a new
distributor for its stationery and wall maps, and it hopes to
recover the money it lost by liquidating Mabaso's seized assets.

KZN DA Change in Leadership


4. (U) Veteran politician Mike Ellis resigned as the leader of
the DA in KZN but will remain his party's deputy chief whip in
the national assembly. Ellis' departure means that KZN DA
deputy leader Sizwe Mchunu is now the provincial leader making
him at age 31 the youngest and first black person to become a
provincial leader of the DA. Bio note: Mchunu was born in
Imbali Township outside Pietermaritzburg, and was attracted to
politics at a very young age. In 1996, while he was a freshman
at the then University of Natal, he was recruited to the Pan
African Student Organization (PASO),the student movement
affiliated to the Pan Africanist Congress. Despite being
elected chairman of PASO, he left the organization after a stint
of seven months and joined the rival Democratic Students
Society, the student wing of the then Democratic Party, which
later gave birth to the DA. Mchunu remained with the party and
worked his way up to become KZN DA deputy leader in 2008.

uShaka Marine World May be Privatized


5. (U) The eThekwini municipality is considering privatizing the
municipality-owned marine theme park to reduce the burden on the
city's budget; uShaka Marine World is the most expensive project
of its kind in South Africa. ANC Deputy Mayor Logie Naidoo told
the Pol/Econ Assistant that the city is concerned about the
growing burden on the city's residents who pay for the facility
with their taxes. On June 9, eThekwini municipality's executive
committee approved a further R15 million ($1.8 million) loan for
urgent maintenance and repairs at uShaka Marine World,
increasing the municipality's equity in the theme park to R500
million ($61 million).


6. (U) All major provincial parties supported the new loan,
although the Democratic Alliance (DA) and the Minority Front
(MF) have expressed concern over the facility's growing

DURBAN 00000079 002.2 OF 002


expenses. `Perhaps it was time for someone with deep pockets to
buy it from us,' said a member of the DA's executive committee.
City Manager, Mike Sutcliffe is committed to maintaining the
municipality's ownership of the theme part and argues that
uShaka Marine World has become a profitable tourist attraction
and has increased property values in the area. Nevertheless,
Durban Mayor Obed Mlaba has asked Sutcliffe to brief the
executive committee on the continued benefits of owning the
theme park.

IFP Faces Youth Rebellion


7. (U) Soon after the IFP was defeated by the ANC in the April
general election, local newspapers reported that leaders of the
IFP Youth Brigade (IFPYB) were demanding that the entire party
leadership step down. As reported in Ref B, the IFPYB puts the
blame on party leader Prince Mangosuthu Buthelezi for the IFP's
poor showing in the election. On May 18, the IFP suspended
eight KZN IFPYB leaders, including KZN Chairperson Skhumbuzo
Khenyeza. IFP Secretary General Musa Zondi said at a press
conference that the conduct of the youth amounted to a `gross
violation of party discipline.' He further accused the
suspended leaders of engaging in a campaign to tarnish the IFP's
reputation.


8. (U) A local Zulu-language newspaper reported that IFP
National Chairperson Zanele Magwaza-Msibi was behind the IFP
youth revolt and that she was intent on resigning from the
party, but she issued a press statement denying the report. She
did, however, concede that the party is currently undergoing a
`rough patch following our electoral setback.' After a
three-day emergency meeting in mid-June, the IFPYB issued an
apology for any harm it may have caused to the Prince's legacy.
The IFPYB also accused the media of `untruthful coverage,'
saying that while it is determined to transform the IFP, it
never called for Buthelezi to step down.
DERDERIANJ