EWN reports that trade union Solidarity has threatened legal action against state-owned entities (SOEs) which fail to act against former executives who were involved in fraud and mismanagement.
On Wednesday, the union announced that it had launched a process in terms of the Companies Act to investigate former Denel board members with a view to possible prosecution. The cash-strapped arms manufacturer has recently been struggling to pay its employees their full salaries. Whether at Denel, SA Airways, Eskom and many other SOEs, several high-powered executives have been fingered as having enabled rampant fraud and corruption. Several investigations to hold the former executives to account and recoup the money they have mismanaged have been undertaken, but not many have been held to account. Solidarity’s Anton van der Bijl said they were prepared to go to court to force SOEs to act against former executives involved in wrongdoing. "It's time for the taxpayer to say enough is enough and we stand up for our rights in a legitimate way," he indicated. Denel responded on Wednesday, saying it would soon take legal action against its former executives to recover the money. Other SOEs have also initiated investigations, but questions have been raised about when action would be taken.
- Read the original of the above report by Clement Manyathela at EWN
- Read Solidarity’s press statement in the above regard at SA Labour News
- Read too, Denel assures that it will take action against former executives accused of wrongdoing, at Engineering News
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