Former director at the SA Reserve Bank, Stephen Goodson says the often discussed notion of State Capture happened before the advent of the Gupta family who’s name he believes is being used as a distraction in the ongoing debate.
According to Goodson, who served as a director at the bank until 2012, capture of the state happened at the behest of the private banking sector which he says controls the economy of the country.
“The real state capture took place on 30 June 1921 when South Africa was captured by the banks through the courtesy of the South African Reserve bank,” he said.
“Its well documented that central banks serve the interests of the private banking sector,” he said.
Last year the country’s four major banks Absa, Nedbank, Standard bank and First National Bank(FNB) decided to close all bank accounts related to Gupta owned companies.
“It’s possible they may have had some favourable deals, I don’t know.” However Goodson said the public could not rely on the mainstream media which he called, fake news media to report accurately on matters related to the Gupta family.
“You cannot rely on the Mail and Guardian, Business Day, Fin24. These people are part of the state capture scenario,”
Goodson believes the Gupta family’s name is often brought up in relation to state capture as a distraction.
“My interpretation of this so called state capture by the Guptas is just a red-herring. Its a distraction in order to deflect from the real capture that has taken place,” he said.
Recently ANC deputy President Cyril Ramaphosa has been vocal about his support for the establishment a judicial commission of inquiry into various state capture allegations.
“We now know, without any shred of uncertainty, that billions of rand of public resources have been diverted into the pockets of a few.”
“We also know taxpayers of this country paid for a lavish wedding that took place in Sun City and we also know these resources rightfully belonged to the people of South Africa.” he said addressing delegates attending the SACP’s national congress in Boksburg, last week.