Global firms snared in South Africa’s corruption scandal


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JOHANNESBURG (AP) – South Africa’s biggest corruption case since the end of apartheid has entangled not only the president and ruling party but also some major international companies, including U.S. firm McKinsey and KPMG.

The scandal has weakened the ruling African National Congress, which meets this week to choose a new party leader who likely will be elected the country’s next president in 2019.

The allegations that have threatened to take down President Jacob Zuma and briefly sent the country into recession this year include illicit dealings with state-owned companies and other multinational firms, including German software giant SAP and British public relations company Bell Pottinger.

The sprawling scandal centers on Zuma’s close associates, the Gupta family of Indian immigrant businessmen, who are under investigation by a parliamentary committee for influencing Cabinet appointments.

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