British Lord vows to haunt “State Capture” corporate

British Lord Peter Hain has vowed to continue to "haunt" and pursue State Capture-implicated company Bain. Speaking to BizNews from the House of Lords after the British government decided not to re-suspend Bain from getting government contracts, Lord Hain says: "I would like every government in the world, because they do a lot of work for governments and the public sectors in the countries in which they operate generally, I would like them to be suspended from that work. Their global reputation is already toxic because of their complicity in this…State Capture disaster for South Africa, which set the country back so far and from which you're still trying to recover." Lord Hain says there needs to be an admission in the business community of its culpability. "…the reason I'm so passionate about this is it wasn't just the politicians that were guilty. It takes two to tango. And it was the businesses who paid the bribes, who paid the backhanders, who did the soft audits… who did the whitewash reports…".Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox at 5:30am weekdays. Register here..The seventh BizNews Conference, BNC#7, is to be held in Hermanus from March 11 to 13, 2025. The 2025 BizNews Conference is designed to provide an excellent opportunity for members of the BizNews community to interact directly with the keynote speakers, old (and new) friends from previous BNC events – and to interact with members of the BizNews team. Register for BNC#7 here..If you prefer WhatsApp for updates, sign up to the BizNews channel here..Watch here.Listen here.Edited transcript of the interview.___STEADY_PAYWALL___.Chris Steyn (00:01.499)The British government has decided not to re-suspend State Capture-implicated company Bain from receiving government contracts. That campaign has been led by Lord Peter Hain. Welcome, Lord Hain..Peter Hain (00:17.176)Hello Chris, good to be with you..Chris Steyn (00:19.619)What reasons have you been given for this decision by the Labour government?.Peter Hain (00:25.57)Well, the cabinet minister concerned, Pat McFadden, whom I know and admire, and I wrote to him last October asking him to suspend Bain from receiving government and public sector contracts in Britain, similar to what happened in South Africa. He wanted to do this. He was absolutely appalled to learn of Bain's terrible behavior during the State Capture decade, and I'll explain that in a moment. However, he was unable to do so because of legal advice.He was determined to test that legal advice from his departmental lawyers and escalated it to a higher level in government, where they confirmed it reluctantly. The spirit within the government, based on my understanding from conversations I've had, wanted to suspend Bain, but they were unable to do so for legal reasons..Chris Steyn (01:17.745)For our viewers, please recap the case you made against Bain..Peter Hain (01:22.754)Bain, along with other global corporates—household names like KPMG, McKinsey, HSBC, and Bank of Baroda—were implicated in President Zuma's infamous decade of State Capture, characterized by shameless corruption and looting that robbed the economy of potentially a fifth of its worth. This includes both direct looting and its impact on the National Treasury as well as lost GDP and wealth in the country. It was an absolutely catastrophic episode that betrayed the values of the anti-Apartheid struggle, which put my young white parents in jail in Pretoria during the 1960s. I was determined to help expose this global dimension when I was asked by Pravin Gordhan and others back in 2017. One of the companies I named was Bain, which turned out to be among the worst offenders..They have never properly apologized. They were indicted by both the Nugent Judicial Commission, headed by Judge Robert Nugent, and by the Zondo State Capture Commission for their unique role in disabling the South African Revenue Service (SARS) at President Jacob Zuma's direct behest through about 17 one-on-one meetings outside his office with the company. All of this was totally irregular.They advised on how to disable SARS, which is vital for collecting taxes and funding essential services and investments for the country. SARS was renowned for being one of the best tax agencies globally, and Bain's advice reduced it to a shadow of its former self..Chris Steyn (03:44.184)They disabled its capabilities by advising on key experts and SARS officials who were tracking major criminals dodging their tax obligations—like tobacco kings involved in smuggling. Bain actually advised Zuma's appointees on how to do that.No other company had that record. To their credit, McKinsey, KPMG, HSBC, Standard Chartered, and others apologized for their roles. However, Bain did apologize for its actions regarding SARS but penalized one of its global partners, Athol Williams—a Cape Flats native who rose through the company ranks—when he blew the whistle on what had transpired. He was subsequently sacked by Bain and financially penalized; he now lives in England out of fear for his life. They have never taken responsibility for that.Moreover, they have not accepted responsibility for their massive earnings—approximately £10 million sterling from disabling SARS alone—and another £90 million from various other state-owned enterprises corrupted under President Zuma. They have never paid this money back or explained it despite invitations from the Zondo Commission. This catalogue illustrates their complicity in this egregious episode of corruption in South Africa's history..Peter Hain (06:10.942)One point I want to make is that this is not just a rogue South African head of operations as they claimed recently to the British government. The South African management who disabled SARS were answerable to their London managers and ultimately their headquarters in Boston because Bain & Company is a global management consultancy founded there. This complicity infects their entire global operation; hence it's serious enough for me to continue pursuing them while other corporates have owned up and repaid or promised reparations..Read more: BN Briefing: US energy emergency, SA's R100bn transformation fund, and Netflix subscribers hit 300M.Chris Steyn (07:41.095)Ultimately, how would you like Bain to be held accountable?.Peter Hain (07:46.858)I would like every government worldwide—since they do significant work for public sectors—to suspend Bain from such work. Their global reputation is already toxic due to their involvement in this State Capture disaster for South Africa, which set the country back significantly and from which it is still trying to recover. Their complicity is absolutely damning. I hoped I could persuade the British government to suspend them again after a brief suspension in 2022; however, the Liz Truss government reversed that decision due to weak ministerial support and legal threats..Chris Steyn (09:20.785)How will you take this further personally?.Peter Hain (09:24.802)By continuing to speak out about it. The Financial Times reported recently on the British government's decision while explaining my concerns about Bain remaining toxic; I'm not satisfied with how they've been let off this time. As a member of the British House of Lords—despite being South African—I feel compelled to continue addressing this issue because State Capture has primarily pointed fingers at politicians rightfully so; former President Zuma lost his office due to public disgust over his blatant looting.However, not enough politicians have faced consequences; many still occupy high positions within government despite being implicated in corruption that persists throughout society today—it's just less obvious now..I believe global corporates are now more cautious about bribing officials due to potential exposure as before; if any incidents arise where I can expose such actions under privilege in the House of Lords, I will do so.The reason I'm passionate about this issue is that it wasn't just politicians who were guilty—it takes two to tango; businesses also played roles by paying bribes or conducting soft audits as KPMG admitted doing or producing whitewash reports like those from Hogan Lovells..Peter Hain (11:50.84)Bain stands at the forefront of culpability among businesses involved and has faced minimal consequences thus far; hence I'll continue pursuing them relentlessly.Their managing director in London requested a meeting with me; however, I declined because I've met with KPMG, McKinsey, HSBC—all at high levels—when I first exposed these issues between late 2017 and 2018; their bosses were shocked enough they flew from New York and London for frank discussions where they admitted culpability.Bain's request came without an acknowledgment of responsibility or answers regarding my charges; thus I refuse any engagement until they own up..Read more: Trump's tariffs and energy orders: What they mean for SA's economy – Kevin Lings.Chris Steyn (14:08.911)Before we conclude, please tell us about your recently published corruption thriller..Peter Hain (14:16.034)Thank you Chris! This is the third book in a trilogy that began with The Rhino Conspiracy, followed by The Elephant Conspiracy, and now The Lion Conspiracy. These books address wildlife trafficking and poaching while exposing international criminals behind these activities along with corrupt politicians who shelter them—threatening vital species like rhinos, lions, and elephants.This issue transcends mere wildlife enthusiasm; it's crucial for those concerned about who shelters these international criminals..Chris Steyn (15:20.945)Thank you! That was Lord Peter Hain speaking with BizNews from the House of Lords in London; I'm Chris Steyn—thank you again, Lord Hain..Peter Hain (15:31.032)Pleasure! Good talking with you..Read also: .Alec Hogg's Davos Moments: From Ramaphosa's fizzle to AI's sizzleLessons from Argentina: Javier Milei at DavosTrump pressures Putin to end Ukraine war or face sanctions

British Lord vows to haunt “State Capture” corporate

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