Former director-general of National Treasury, Dondo Mogajane, has left the door open to joining active politics in the future as he takes a sabbatical to write a book about his life in public service after stepping down from all professional roles and the boards that he serves on yesterday.

Mogajane yesterday announced that he was stepping down as CEO of the Moti Group and chairperson of the Government Employees Pension Fund (GEPF), effective immediately, following months of public pressure over allegations linking him to the looting of VBS Mutual Bank.

He has also been the CEO of the Moti Group since 2022 when he stepped out of the public service after 23 years in government.

Mogajane announced yesterday in a video statement that he was stepping down from his roles. He maintained that he had upheld his commitment to South Africa with unwavering loyalty, dignity, integrity, and, most importantly, humility throughout his career in public service.

“However, I acknowledge the gravity of such claims. It is with a deep sense of responsibility that I have made the decision to step down from all my professional roles and the boards that I have served, effective immediately,” he said.

“I will be taking an extended sabbatical to focus on my personal well-being, spend time with my family and, particularly, my grandson, and reflect on my professional journey. This time will also allow me to explore personal interests I have long deferred.

“While this chapter of my career has drawn to a close, it is not the conclusion of my story. This period marks a pause, not an endpoint. At a later stage, I may decide to possibly re-enter the private sector and, maybe, even politics.”

Mogajane allegedly accepted a R1 million “gratification” when he was director-general of National Treasury from convicted former chairman of VBS Mutual Bank, Tshifhiwa Matodzi, in order to allow the defunct bank to continue taking municipalities deposits in contravention of the law.

Matodzi had claimed that the R1m bribe to Mogajane was to facilitate the withdrawal of the circular issued by the National Treasury in August 2017 warning municipalities that deposits made at a mutual bank contravened municipal finance regulations, and were not allowed.

According to Matodzi, Mogajane had promised to grant VBS a special 18-month dispensation to continue accepting municipal investments, during which it was in the process of getting a commercial banking licence.

Mogajane has labelled these statements as unfounded and malicious allegations from a convicted criminal with questionable motives. He said he believed in the importance of due process and remained confident that, in time, the truth will prevail, and his reputation will be fully restored.

Mogajane has since July 2022 been the chairperson of the GEPF, the largest pension fund in Africa with more than R2.3 trillion in assets under its management with around 1.2 million active members and about 500 000 pensioners and beneficiaries.

Before tabling the Medium-Term Budget Policy Statement last week, Finance Minister Enoch Godongwana said he would deal with “the reputational risk” posed by Mogajane as chairperson of the GEPF.

Godongwana yesterday acknowledged the decision by Mogajane and extended his gratitude to him for his service.

The GEPF Board of Trustees yesterday said it had received and noted Mogajane’s resignation as a trustee and chairperson, and thanked him for his service.

“The Board also wishes Mr Mogajane well in his future endeavours. In line with the GEP Law and Rules, the Deputy Chairperson of the Board, Mr Eddie Kekana, will assume the role of chairperson of the Board until further notice,” it said.

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