South Africa: Hlaudi Motsoeneng Loses SCA Bid to Keep Multimillion-Rand 'Success Fee'

analysis

On the hook for more than R25-million, Motsoeneng is now in the sights of the Special Investigating Unit, which is ready to institute civil proceedings and refer any criminal conduct to the NPA.

Former SABC chief operating officer Hlaudi Motsoeneng has failed in his bid to overturn a high court ruling that he pay back more than R11.5-million to the South African Broadcasting Corporation (SABC) Pension Fund and the SABC.

Motsoeneng was dismissed from the public broadcaster on 12 June 2017.

He was entitled to withdraw his pension but after the SABC's audit department got wind a month later of a "success fee" worth more than R11.5-million - awarded by the board for a MultiChoice deal - it sought to take action to recoup the funds.

The "bonus" had been motivated by the SABC's governance and nominations committee (GNC) and approved by the former group chief executive officer, James Aguma, on 19 August 2016, apparently for raising R1.19-billion for the broadcaster in the MultiChoice deal.

Motsoeneng received R11,508,549 in two tranches, on 12 and 13 September 2016.

On 20 July 2017, the SABC informed the GNC that it had no authority or mandate to pay Motsoeneng the success fee, which it also deemed to be unlawful and unwarranted, and requested that the CEO and principal officer of the pension fund withhold Motsoeneng's pension benefits until the matter had concluded in court.

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