Former Government Communications and Information System (GCIS) boss has denied claims of attempted money laundering after he was dismissed from the All Africa Decolonisation Congress (AADC) party he just formed in December.
The AADC has accused Manyi of trying to use churches that support the party to launder money and discussing party funding with the controversial Gupta family.
"Mzwanele Jimmy Manyi went overseas on December 19 to meet with the Gupta brothers and discuss funding for our political party," claims the party's Edward Mokomele.
Manyi had on Wednesday announced his new political home, the African Transformation Movement (ATM).
"I stopped corruption at GCIS. I am challenging anybody here to raise their hands if they say I have stolen a cent from government. I won't apologise for being associated with the Guptas and I don't have 'Guptaphobia'.
"The Guptas have not been found guilty in the country by any court. If the Guptas will give me money, I will take it. If they would wake up one day and say Manyi, here is R20m, I will take it. I have not been to the Guptas to seek funds. If ATM says I must go to Parliament, I will go to Parliament," said Manyi on Wednesday.
Manyi started AADC in early December before he announced his decision to leave the ANC.
Mokomele further alleges that Manyi insisted that the newly established AADC join hands with ATM.
"It was then brought to our attention that Manyi and ATM leadership are laundering money through the party and as a movement intending to bring change in SA, we have distanced ourself from Manyi and all his fraudulent activities," said Mokomele.
Manyi has told News24 that the claims made by Mokomele were "rubbish", and threatened legal action against him.
"AADC is my own creation, my own party and I will prove that by shutting it down," he said.
"I have already instructed my lawyers to sue Mokomele for defamation of character," Manyi added.
Manyi has also apparently sent a text message to Mokomele threatening to sue him and have him jailed.
The former owner of the now defunct ANN7 and New Age has also labelled Mokomele's claims as a smear campaign aiming to "destruct him from doing some work with ATM".
"The ATM leadership is not even bothered by the claims because they existed long before I was even a subject," Manyi continued.
Mokomele also threatened Manyi with litigation and accused him of using the party and its members for his own benefit.