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Sat, 23 Nov 2019 01:12 GMT

South African CEO Suspended After Interference Claims

Business

7Dnews London - Reuters

Wed, 27 Mar 2019 19:08 GMT

The acting Chief Executive Officer of South Africa’s Public Investment Corporation (PIC) has been suspended over allegations of interference into an internal inquiry.

The inquiry is investigating possible impropriety within the fund that is worth some $1.39-billion and which is one of Africa’s largest fund managers. 

The decision was announced in a public statement on March 26th. In the statement, the PIC said it had placed acting CEO Matshepo More on a "precautionary suspension". Vuyani Hako, the current executive head of properties, had been appointed in her place.

More has not responded to requests for comment regarding her suspension which comes just weeks after the PIC's board of directors tendered its resignation. The board chose to resign as the result of wrongdoing by four of its directors.

It remains unclear exactly how More could have interfered with the inquiry into the PIC. The inquiry was authorised by South Africa’s President Cyril Ramaphosa following allegations that some directors had used their position for personal gain.

A spokesman for the PIC has said he is also unable to elaborate on what exactly has led to More’s suspension.

According to Reuters, besides being the largest investor on the Johannesburg Stock Exchange (JSE), the company also has significant stakes within South African blue-chip firms. It also holds bonds of state-owned enterprises like the struggling power firm Eskom and arms company Denel.

Africa