Court upholds MTN executive suspension

MTN says its executive for corporate services, Robert Madzonga, remains suspended pending an internal investigation into allegations of misconduct and irregularities against him.

It follows a Labour Court ruling on Friday (30 August) dismissing with costs his urgent application to have his suspension lifted, MTN said in a statement.

The Sunday Times reported on 18 August 2013 that MTN suspended Madzonga because he authorised R12.3 million in questionable payments to a legal friend.

Some of the payments were based on invoices for 40 hour days and hourly rates of up to R168,358.

A report by PwC further found that there was no evidence that the lawyer receiving these payments, Nozuko Nxusani, did any work for MTN.

Madzonga filed legal papers against the mobile operator over his suspension, arguing that he was suspended because of an internal grievance claim against senior manager Lily Zondo.

MTN said in  statement:

“MTN had opposed Mr Madzonga’s court bid, successfully arguing that his continued presence in the workplace could cause instability and jeopardise on-going investigations against him.

“In his application, Mr Madzonga said MTN decided to suspend him after he lodged a grievance against three of its executives. He also attributed his suspension to allegations of misconduct against him for which he received a warning in 2011, arguing that he was therefore protected by the doctrine of double jeopardy.

“However, MTN convinced the Court that new information had come to light that necessitated further investigations against him. Now that the Labour Court has upheld MTN’s suspension, the company will continue with its investigations.

The operator said that, while Madzonga has been suspended, no charges have been laid against him.

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Court upholds MTN executive suspension