Telkom to conclude CFO disciplinary

Comment on this story
TelkomW INDEPENDENT MEDIA Picture: Leon Nicholas.

Johannesburg - Telkom will probably resolve a disciplinary process into the alleged misconduct of suspended Chief Financial Officer Jacques Schindehutte by the end of the year.

“It is a comprehensive process but I would like to think before the end of 2014” and not before the start of October, Schindehutte said by phone today, when asked about the hearing.

Pynee Chetty, a spokesman for Pretoria-based Telkom, didn’t immediately respond to a phone call and e-mail seeking comment.

The CFO was suspended in October 2013 following the outcome of a board-commissioned investigation into unspecified allegations made against him.

A disciplinary hearing began January 16.

Chief executive Sipho Maseko said last year he wanted to manage the CFO’s alleged malpractice “quietly” and wasn’t keen to investigate it.

Telkom, which is 40 percent owned by South Africa’s government, will report full-year earnings per share excluding one-time items of as much as 8.75 rand on June 13, the company said last month.

That compares with a restated 0.86 rand the previous year.

Telkom shares have gained 50 percent in 2014, making them the third-best performer on the FTSE/JSE Africa All Share Index.

Deon Fredericks was appointed as acting Telkom CFO on October 24 and will fill the position until Schindehutte’s disciplinary process is concluded, according to a stock exchange announcement by Telkom.

Neither the company nor the CFO have specified the nature of the alleged misconduct.

The Johannesburg Stock Exchange “is engaging with the company on this matter and the company has undertaken to advise the JSE of the outcome of the process,” Andre Visser, general manager of issuer regulation at the JSE, said in an e-mailed response to questions. - Bloomberg News

sign up

Comment Guidelines

  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.

  5. Verified email addresses: All users on Independent Media news sites are now required to have a verified email address before being allowed to comment on articles. You are only required to verify your email address once to have full access to commenting on articles. For more information please read our comment guidelines