Denel suspends CFO Odwa Mhlwana
JOHANNESBURG - South African state-owned arms manufacturer Denel, which has been struggling to pay salaries to staff, has suspended its chief financial officer Odwa Mhlwana while it conducts a probe into allegations of misconduct by him, the firm said on Monday.
Reforming troubled state-owned entities such as Denel is a top priority for President Cyril Ramaphosa as he strives to put the sluggish economy back on a sustained growth trajectory.
"The Denel Board of Directors is in receipt of a number of serious allegations by whistle blowers, since its appointment on 8 April 2018. In terms of governance process, the Board’s Audit Committee reviews and considers actions on each allegation. Where an investigation is concluded, the Audit Committee guide the Board and or Executive Committee on required actions and responses. The current investigations were concluded while the Board was managing the 2018 financial year end and exploring, with debt providers, the most optimal strategies to relieve the Company of its short-term liquidity constraints," The Denel Group said in an emailed statement.
- REUTERS / BUSINESS REPORT ONLINE