The Public Investment Corp.’s board of directors offered to resign amid an inquiry into allegations of wrongdoing.
The move throws the South African fund manager of more than 2 trillion rand ($150 billion) deeper into crisis.
The institution responsible for most South African government worker pension funds has been “destabilized” by a series of claims, including against at least four board members, Chairman Mondli Gungubele said in a letter to Finance Minister Tito Mboweni co-signed by eight other executives. “Our assessment is that this may not be the end,” they said, adding that they are prepared to stay on until a new board is appointed.
Africa’s largest fund manager is the subject of an ongoing inquiry into various investment decisions, including in the bonds of Eskom Holdings SOC Ltd. and technology company Ayo Technology Solutions Ltd. In the past year, half of the PIC’s executive committee have been suspended or resigned, including ex-Chief Executive Officer Daniel Matjila.
Last week, the PIC said it would investigate allegations against two non-executive directors and acting CEO Matshepo More, who was not one of the signatories on the resignation letter.
State of Paralysis
“These events have been unbearable to us as individuals and have undoubtedly had a negative impact on our professional integrity,” the board members said. They are “an attempt to bring the institution into a state of paralysis.”
Have your say
More Business Headlines
- GIPC signs MoU with German-African Business Association
- AGI focuses on 12 economic reforms in 2019
- Uganda deports MTN boss
- Expert cautions BoG as Savings and Loans sector cleanup looms
- How South Africa’s blackouts are crippling businesses
- GOIL shares customised Valentine's Day chocolates with customers
- GCAA sets up task force to investigate allegations of extortion, coercion at KIA
- Ghanaian scientists identify ‘Prekese’ seeds as potent natural fungicide
- Govt’s barcode innovation for fertilizers tackles theft
- Mac Attram to create millionaires with first Business Accelerator Boot Camp
- Oil production in Ghana to double by 2023– Ofori-Atta
- JP Morgan rolls out first US bank-backed cryptocurrency
- GNPC Foundation sees progress in ongoing projects in Western region
- Huawei to start Africa data centre services from March
- GACL to initiate firm steps to tackle corruption at airport