Probe Into Wrongdoing by Major Multinational in eThekwini and Its Billion-Rand Government Dealings

ActionSA has launched a full probe into Resolve Communications’ client, UPL South Africa’s recent R17 billion infrastructure deal involving Infrastructure South Africa, an entity of the Department of Public Works and Infrastructure, despite the company’s alleged central role in one of South Africa’s most devastating environmental disasters.

Our concern follows information received from a senior public official who has come forward as a whistleblower, alleging that they were approached by a member of Cabinet and instructed to back off and not pursue UPL. If true, this would constitute an extremely serious allegation of political interference and warrants an immediate investigation.

An investigation by amaBhungane alleged that the UPL warehouse contained millions of litres of toxic chemicals, including highly potent neurotoxins and human carcinogens, exceeding the quantities that could legally be stored without the required environmental authorisation. The subsequent fire and chemical spill contaminated water systems and surrounding communities, with devastating consequences for the environment, economy and public health.

Worryingly, UPL has not publicly disclosed the full inventory of the toxic chemicals that were stored at the facility near a shopping centre and school, while concerns have repeatedly been raised regarding attempts to downplay the extent of the disaster and the company’s responsibility for its consequences.

ActionSA is also investigating the role of Resolve Communications, the Public Relations firm chaired by former DA leader Tony Leon, which appears to have acted on behalf of UPL during the fallout from the disaster to manage public scrutiny following the environmental disaster.

Our probe seeks to answer a simple but deeply troubling question about how a company that has yet to face any consequences from either the national or provincial government, both led by GNU arrangements, for the devastating toxic chemical spill in eThekwini has found itself engaging with government on a multi-billion-rand infrastructure deal.

This question is made even more pressing by information received by ActionSA from a senior public official who has come forward as a whistleblower, raising further concerns about an apparent high-level effort to shield UPL from accountability.

While many questions remain unanswered, it is concerning that Infrastructure South Africa supported engagements between UPL and a development finance institution regarding financing opportunities linked to a reported R17 billion infrastructure initiative. Based on publicly available information, this raises serious questions about the due diligence undertaken by government and whether sufficient consideration was given to UPL’s environmental record.

ActionSA believes South Africans deserve complete transparency regarding the nature of government’s engagement with UPL, the decision-making process that facilitated these discussions and whether any public officials exercised proper oversight before advancing the company’s interests.

These developments reinforce the need to establish whether political access, corporate influence or Public Relations efforts may have contributed to shielding UPL from meaningful accountability while it simultaneously engaged with government on significant commercial opportunities. The recent revelations regarding Resolve Communications’ alleged influence-peddling involving DA Ministers, together with UPL’s reported R17 billion infrastructure deal, make it imperative that this probe seeks full answers.

ActionSA will therefore pursue this matter through every available oversight mechanism. From Parliament to the eThekwini Municipality, we will utilise our full legislative access to obtain all relevant information, scrutinise every engagement between UPL and government, and determine whether proper governance processes were followed.

South Africans cannot accept a situation where corporations implicated in devastating environmental harm appear to enjoy privileged access to government while affected communities continue to live with the consequences of environmental destruction.

Government owes the public complete transparency and those responsible must be held fully accountable.

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