Former Denel CEO to contest firing

Riaz Saloojee. File picture: Masi Losi

Riaz Saloojee. File picture: Masi Losi

Published Apr 19, 2016

Share

Cape Town - Former Denel chief executive Riaz Saloojee is set to fight the termination of his employment at the state arms firm after serving months on suspension.

Saloojee confirmed yesterday he was still consulting his lawyers about his next move following the termination of his contract as chief executive.

His suspension, along with that of chief financial officer Fikile Mhlontlo and company secretary Elizabeth Afrika, is seen as part of the fallout over efforts to capture Denel by the controversial Gupta family.

Read: Denel in top 100 defence manufacturers

Saloojee has never faced a disciplinary process, but is understood to have been made several offers of settlements after the breakdown of several mediation processes.

Sources sympathetic to the three executives allege they were moved to make way for the joint venture between Denel and Gupta-linked VR Laser.

The deal was at the centre of a spat last week between Finance Minister Pravin Gordhan and Denel, after Gordhan declared the transaction was illegal as it had not been signed off by the National Treasury.

It was concluded after the appointment of the new board by Public Enterprises Minister Lynne Brown last year.

The appointment of some members of the board raised some eyebrows, including that of the chairperson, Daniel Mantsha, who is a legal adviser to Communications Minister Faith Muthambi.

Other members of the board include Thamsanqa Msomi, a former chief of staff at the Department of Public Enterprises when Home Affairs Minister Malusi Gigaba was still the minister of Public Enterprises.

The board also includes Johannes “Sparks” Motseki, a former MK Military Veterans Association (MKMVA) treasurer, who is known to have business links with the Gupta family.

Co-operative Governance Minister Des van Rooyen is also a former treasurer of the MKMVA.

Another curious appointment to the board was Tauyame Mahumapelo, whom the SACP has alleged is related to North West Premier Supra Mahumapelo, though this could not be independently verified.

CAPE TIMES

Related Topics: