Gigaba has seven days to prove SAA's Myeni remains in job legally

SAA chairwoman Dudu Myeni

SAA chairwoman Dudu Myeni

Published Sep 14, 2017

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MPs have given Finance Minister Malusi Gigaba seven days to provide it with proof that South African Airways (SAA) chairwoman Dudu Myeni was reappointed to the board legally.

In a statement by Yunus Carrim, chairman of Parliament's standing committee on finance, he said MPs were concerned about the legality of Myeni's reappointment after her term expired on August 31. 

"The committee requests that the minister provide it with all documentary evidence relating to the extension of her term of office or her reappointment, including compliance with the provisions of the Companies Act and specifically the notice to the Companies and Intellectual Property Commission, provided such notice was given," the statement said.

"The committee requests that the minister responds to the committee within seven days of receipt of this resolution."

During a meeting of the committee on Wednesday, Deputy Finance Minister Sfiso Buthelezi told MPs Gigaba had extended Myeni's term of office until the state-owned airline's annual general meeting in November.

However, MPs raised concern that he did not have the power to do so without cabinet approval.

Later when Gigaba arrived to appear before the committee, the minister said he had consulted lawyers before he extended Myeni’s term. 

Gigaba later said he would again consult with his legal team after parliamentary legal adviser Frank Jenkins disagreed with the view that SAA’s memorandum of incorporation allowed the minister to take a unilateral decision in this regard.

"The committee, after deliberations on the available evidence, is concerned about the legality of the extension of the term of office of the chairperson of the board of SAA," Carrim said in Thursday's statement.

"The Committee therefore believes that the decision to extend the term of office of the Chairperson must be reviewed."

Carrim added that although MPs raised concern about the suitability of Myeni to continue as SAA board chairwoman, the committee's resolution was "based on legal concerns".

African News Agency

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