Moneyweb reports that one of the first tasks for the reinstated Passenger Rail Agency of SA (Prasa) board will be to pay Collins Letsoalo several million rand in back pay.
This follows a ruling by the Pretoria High Court that Letsoalo, who was fired in February by the board from his position as acting group CEO for increasing his salary by 350%, was in fact entitled to the increased amount of R5.9 million. The board’s firing of Letsoalo was seemingly the trigger that led to former transport minister Dipuo Peters’ decision early in March to remove all but one member of the board four months before the end of its term. Judge Peter Mabuse ordered that the board be reinstated and the interim board that Peters had appointed be removed. Regarding Letsoalo’s salary increase, the judge said: “It is not correct, in my view, that the (salary) increase was unlawful or that it had not been agreed by the parties in the appointment document… The truth is that, based on the information before the court, Letsoalo was entitled to the same package that was agreed upon in his appointment package or the same package that was enjoyed by Lucky Montana (the former CEO).”
- Read this report by Antoinette Slabbert in full at Moneyweb
- See too, Axed Prasa boss comes up smelling of roses after ruling, at Business Report
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