The Gupta family has announced today that they are all resigning from Oakbay Investments and Oakbay Resources and energy.
Duduzane Zuma, son of President Jacob Zuma, is also cutting ties with the company, and leaving his position as director of Shiva Uranium.
Banks FNB, Absa and Sasfin, as well as auditing firm KPMG, have all severed their relationships with the family following allegations that the brothers hold undue influence over Jacob Zuma.
Editor of Peter Bruce of Business Day & Financial Mail analyses what it all means.
This has been a long time coming, and its fast turning into tragedy in a way. I feel really sorry for a young man like Duduzane Zuma. He is a nice guy and I think he got caught up in something that was bigger than him and he's done the right thing by exiting.— Peter Bruce, Business day & Financial Mail
This is only the beginning of this particular part of the story and Duduzane removing himself from the Guptas is a big step though, because it takes the real poison out of the relationship between the two families. I mean you cannot do business with your father, if he is running a government from whom you, in the course of your business, you are going to need licences, access, contacts, you know, you are regulated by him. It is just toxic, and I;m glad it's ended for all of our sake.— Peter Bruce, Business day & Financial Mail
Bruce says Duduzane Zuma's investments in Shiva uranium were fairly recent, and once you exit your investments you are no longer invested.
But what of the Gupta family? Is their cutting ties a genuine cut from Oakbay?
Oakbay is very tightly owned by the Guptas, and they obviously will call the shots. What shots they will call is another question. It could be the beginning of them, if you believe the rumours, leaving the country altogether.— Peter Bruce, Business day & Financial Mail