high court The Government of Pretoria has reversed a decision by Communications Minister Mondri Gungubele to dismiss and replace the Director of the State IT Authority (Sita) in July 2023.
The court ordered the current board, which was appointed on an interim basis on July 21 last year, to be suspended and the previous board to be reinstated. The issue was raised by Makano Moshidi, Rendani Ramabulani and Oluwetu Ketsekiru, all of whom were removed from the board of directors.
“I have seriously considered the submissions made by counsel for both the applicant and the respondent. I am satisfied that the balance of convenience favors the applicant,” Justice AJ Yende said. stated in the judgment. “We find that an appropriate and strong basis has been presented for the relief sought.”
As the primary defendant in the matter, Gungubele said the main point of the lawsuit was that the decision to remove the Sita board was to hold it accountable for “illegal acts”.
Gungubele said the board would consult with him on the proposed salary for incoming CEO Bongani Andy Mabaso, who recently resigned and returned to the private sector as group chief technology officer at JSE-listed Altron. Instead, they decided to “unilaterally'' increase the amount by R1 million. . He said the consultations were required under Sita's founding memorandum.
This is despite the board recommending Mr Mabaso for the CEO position in November 2022 with an annual salary of R3.5 million. Court documents say Mr Mabaso was actually asked to pay R4.5 million.
“A breach of the articles of association constitutes misconduct and has a material impact on the board's standing in Sita's professional career, extending beyond his tenure as a director,” Gungubele said.
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Approval of Mr Mabaso's increased offer is to be approved in writing by Mr Gungubele's predecessor, Khumbutso Ntshaveni, who said: It was my mistake as president at the time that there was no such thing.” Minister in charge.” Mr Gungubele pointed out that the approval of the former minister does not relieve the board of its obligations.
Justice Yende noted that while it is within the minister's power to appoint and dismiss board members under the Theta Act, he cannot do so without consulting his ministerial colleagues.
Read: Former Sita CEO Bongani Mabaso joins Altron as group CTO
The judge's order will remain in effect until a final judgment is entered upon the conclusion of the second part of the case (referred to as “Part B” in the court order). Meanwhile, taxpayers face mounting legal claims over the dispute, with Gungubele ordered to pay the application costs. – © 2024 News Central Media