Johannesburg - Pikitup MD Amanda Nair faces a myriad of charges including wrongdoing in areas of human resource and financial management, as well as weaknesses in internal policies and controls not reported to the Pikitup board.
The Star has also established that there are more woes for Nair as Public Protector Thuli Madonsela has almost concluded an investigation against her.
In a letter by Deputy Public Protector advocate Kevin Sifiso Malunga, it was revealed that Madonsela's office is investigating allegations of maladministration, corruption and violation of the Pikitup supply-chain management processes and procedures with regard to the awarding of the tender to Aqua Transport Plant Hire.
The investigation was escalated to Madonsela’s office in 2014 after she controversially awarded the R263m tender to Aqua in spite of her being aware of the company being implicated in alleged fraud in a forensic investigation.
The tender was awarded to Aqua in 2013 despite the bid adjudication committee questioning the decision.
Impeccable sources told The Star that several senior officials from Pikitup were interviewed by Madonsela’s office a few months ago in connection with the allegations.
A Pikitup employee who may not be named for fear of reprisal said Madonsela's office "asked about people who were employed by Nair even though they did not even apply for the positions and had no qualifications".
"They also asked me about a tender fraud," said the employee.
It is believed that Nair has been on special leave for a few months, but despite this, Pikitup consistently said she was on sick leave.
Nair is now set to face an enquiry in terms of the Labour Act following these revelations in a report conducted by an independent firm of auditors.
Besides the call for pay parity with other city entities and departments, Nair was one of the reasons workers trashed the city for 36 days between November 23,2015 and April this year.
The announcement by Pikitup on Thursday was prompted by an investigation conducted by SM Xulu Consulting (PTY) Ltd and Qhubeka Forensic Services.
However, insiders believe the announcement was also related to an investigation by Madonsela’s offices.
During the illegal strike action, workers accused Nair, among other things, of being corrupt and of practising nepotism in hiring staff.
Making the announcement on Thursday , Pikitup spokesman Jacky Mashapu said that in mid-April, the City of Joburg and Pikitup welcomed the intervention of the Commission for Conciliation, Mediation and Arbitration (CCMA), which resulted in an agreement between the SA Municipal Workers’ Union (Samwu), the city and Pikitup.
“The parties have demonstrated their commitment to the letter and spirit of the agreement which saw the implementation of salary parity for general workers throughout the city over the past three months,” he said.
However, SAMWU's Gauteng spokesman Paul Tlhabane said they would not be able to comment until they had seen the report.
He further pointed out that he was confused as to why Pikitup was only making the announcement now about Nair being placed on special leave.
“I’m aware of the so-called suspension or extended special leave. But as far as I can remember she was put on special leave a few months back. We heard about the report but we still haven't received it. We were informally told by some office bearers that the report was out,” he said.
In March, Samwu had delivered a dossier of allegations against Nair to the board and to the City of Joburg’s group risk and assurance services which appointed independent auditors to investigate them to avoid perceptions or reality of bias and interference, he said.
Besides the wrongdoing in the areas of human resource management and financial management, the audit identified weaknesses in internal policies and control which resulted in actions that were not disclosed to the board. These policies will be reviewed dating back to May 2015.
In addition, the board, in carrying out its fiduciary responsibilities, identified matters of non-compliance and wrong-doing and appropriate action will be taken with the individuals involved, he said.
“The overall responsibility for day-to-day management of the company, including compliance with local government legislation and regulations and Pikitup policies, resides with the managing director who reports and accounts to the board.
“The board has accordingly informed Nair, that she is required to attend an enquiry in terms of section 188A of the Labour Relations Act 66 of 1995 to deal with the evidence concerning the allegations and to give her an opportunity to respond thereto,” said Mashapu.
In the meantime, her special leave continues, he said.
In the meantime Lungile Dhlamini, the managing director of Joburg Water, has been appointed as acting managing director of Pikitup until further notice.
“He has an excellent track record at Joburg Water and will bring his expertise and experience to bear in working with the board, management and staff at Pikitup to address the weaknesses that have been identified.”
Mashapu said all parties reconfirmed their commitment to the letter and the spirit of the CCMA agreement and anticipated that in future, workplace -related grievances and disputes would be dealt with only in terms of the Labour Relations Act.
“We are confident that illegal strike action, which caused unnecessary hardship to employees and placed the health and well-being and well-being of residents of Joburg at risk, has been consigned to the past,” he said.