OldMutualBL Premium reports that axed Old Mutual CEO Peter Moyo says jail terms are the appropriate punishment for Old Mutual directors for the contempt of court he is accusing them of.  

Responding to Old Mutual’s court papers filed last week when the insurer argued there was no basis for the court to find that its directors disobeyed its order, Moyo said anything less than a term in custody would be “disturbingly inappropriate” because Old Mutual has committed the worst type of court disobedience.  Moyo filed a contempt of court application in August after the insurer barred him from resuming his duties at its Sandton office after a high court ruling that he should be temporarily reinstated.  His legal team has since added a list of contempt of court charges, including Old Mutual’s move to fire Moyo for the second time in August and the appointment of Iain Williamson as acting CEO.  Moyo was fired by the insurer over an alleged conflict of interest relating to NMT Capital.  The high court in Johannesburg has issued two orders for his reinstatement, but Old Mutual maintains that the second axing is valid.  In the court papers filed on Wednesday, Moyo, who is suing the insurer for R250m for damages and for what he would have earned had he not been fired, maintained that the directors must be committed to prison for at least six months.

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