Suspended head of listed investments at the PIC, Fidelis Madavo. File Image: IOL

CAPE TOWN - Suspended head of listed investments at the Public Investment Corporation (PIC) Fidelis Madavo told members at the #PICInquiry on Tuesday that he had not seen any impropriety by senior executives or directors at the PIC.

Madavo, who was suspended just before he was scheduled to testify before the commission, said that he could say on the record that he did not witness any mismanagement by the PIC's senior executives or directors.

Madavo was placed on suspension over the PIC's investment into Ayo Technologies IPO early this morning, the commission heard. 

It should be noted that Madavo has yet to see the report and noted that he was not even in the country when the Ayo agreement was reached. 

The suspension

"Following responses that were given to SCOPA in Parliament in December 2018, the PIC board resolved to commence an investigation into the Ayo Technology Solution transaction, with a specific focus on the role that employees of the PIC may have played".

Madavo, however, said that he was not involved in any irregularities and never witnessed any acts that looked improper. 

He went to add that the Ayo deal was given to a team at the PIC to investigate and clear for investment through former chief executive, Dan Matjila. 

Matjila informed the team that Ayo was a possible investment opportunity but normal checks and balances needed to be done.

Madavo went on to add that the Ayo IPO went through a number of investment criteria processes before it was approved.

Improper suspension? 

Christopher Pholwane, the executive head of human resources, at PIC was the second person to give testimony at the #PICInquiry.

Evidence leader, Advocate Jannie Lubbe, asked Pholwane about the Madavo and Seanie suspensions. 

He wanted to know if these suspension orders were common at the PIC, given the timing and the way it was carried out. 

Pholwane said that he had not seen the report that led to the suspensions, but he went ahead with the suspensions.

Pholwane told the Inquiry that in most cases a suspended employee is given an opportunity to respond to their suspension. But it should be noted that this did not happen with Madavo and Seanie.

This is a developing story.

BUSINESS REPORT ONLINE