The Companies and Intellectual Property Commission (CIPC) has scolded Telkom CEO Sipho Maseko, ordering him to attend a corporate governance and director duties course within 90 business days over the granting of a R6m interest-free loan to the company’s suspended chief financial officer, Jacques Schindehütte.
In a statement, which Telkom was instructed to issue to shareholders, the company says the CIPC has notified it that it believes it has contravened sections of the Companies Act as the payment of the loan was authorised prematurely and prior to the board passing the “necessary precursor financial assistance resolutions”.
The compliance notice requires Telkom to update the commissioner of the CIPC on a monthly basis on the progress made in recovering the loan amount from Jacques Schindehütte.
According to Telkom, Schindehütte, who is still under suspension on an unrelated matter, has already repaid the full amount of the loan.
In the statement to shareholders, Telkom says Maseko has “noted the directive to attend a corporate governance and director duties course and will make the necessary arrangements to attend such training within the stipulated timeframe”.
A copy of the CIPC’s compliance notice has been provided to the Independent Communications Authority of South Africa as required by law. – (c) 2014 NewsCentral Media