{"id":164003,"date":"2017-03-13T11:29:35","date_gmt":"2017-03-13T09:29:35","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=164003"},"modified":"2017-03-13T11:29:35","modified_gmt":"2017-03-13T09:29:35","slug":"myenis-highest-order-delinquency-is-killing-saa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/government\/164003\/myenis-highest-order-delinquency-is-killing-saa\/","title":{"rendered":"Myeni\u2019s \u2018highest order\u2019 delinquency is killing SAA"},"content":{"rendered":"<p>The crisis at SAA has reached a \u201ctipping point\u201d that was threatening its survival, hence the application to have chairperson Dudu Myeni declared a delinquent director, according to SAA Pilots\u2019 Association (Saapa) chair Jimmy Conroy.<\/p>\n<p>Saapa, together with the Organisation Undoing Tax Abuse (Outa) have filed court papers as part of a campaign to declare SAA chairperson Duduzile Myeni a delinquent director.<\/p>\n<p>Myeni is also chairperson of the President Jacob Zuma Foundation and the Mhlathuze Water Authority Board. She was appointed acting SAA chairperson in September 2012 before the position became permanent in June 2013.<\/p>\n<p>Saapa \u2013 which represents 737 out of 740 SAA pilots \u2013 this week filed 63 pages of court papers in the Pretoria High Court.<\/p>\n<p>Outa chairperson Wayne Duvenage said the case against Myeni is \u201csetting a precedent\u201d.<\/p>\n<p>\u201cWe would have liked to have lodged this in December &#8230; this is a thorough and complicated matter,\u201d he said.<\/p>\n<p>The four parties Saapa and Outa cite in their court papers as four defendants are Myeni, SAA, state-owned company Air Chefs and Finance Minister Pravin Gordhan.<\/p>\n<p>Yolisa Tyantsi, a National Treasury spokesperson, said Gordhan and Treasury couldn\u2019t comment on the matter as it is before the court.<\/p>\n<p>SAA spokesperson Tlali Tlali said SAA was served with the court papers on Thursday morning and the airline wouldn\u2019t comment on them as it is a legal matter.<\/p>\n<p>Conroy said his organisation has taken a formal decision to commence legal proceedings to have Myeni declared a delinquent director.<\/p>\n<p>\u201cThis is the first time that this action has been brought against the chairperson of a state-owned company in South Africa,\u201d he said.<\/p>\n<p>\u201cOur national carrier is quickly reaching the tipping point where its very survival is in question. We believe this is a direct result of the accumulation of poor governance, political interference and a dearth of expertise and strategic vision \u2013 a delinquency of the highest order,\u201d Conroy said.<\/p>\n<p>The Federation of Unions of SA said it fully supports Saapa&#8217;s decision to have Myeni declared a delinquent director.<\/p>\n<p>Ben Theron, Outa portfolio director of transport, said SAA has lost R10.6 billion over a five-year period despite being profitable between 2010 and 2012, prior to Myeni\u2019s arrival.<\/p>\n<p>The losses were \u201cnot only due to incompetence or negligence\u201d, but \u201ccompounded by misconduct by the board, including and led by Ms Myeni\u201d, Theron said.<\/p>\n<p>Theron added that Outa instituted the legal action against Myeni based on six counts:<\/p>\n<ul>\n<li>The alleged illegal appointment of BnP Capital as transaction adviser.<\/li>\n<li>Allegedly illegally extending BnP Capital\u2019s mandate to include source of funds of R15 billion.<\/li>\n<li>Allegedly attempting to pay a cancellation fee of R49.9 million to BnP Capital.<\/li>\n<li>Allegedly illegally interfering with a board-approved Emirates deal.<\/li>\n<li>Allegedly misrepresenting the board by informing Gordhan that the board had approved two Airbus aircraft and not 10.<\/li>\n<li>Allegedly ignoring the findings of an Ernst &amp; Young report, despite damning findings requiring urgent action.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><a href=\"http:\/\/www.fin24.com\/Companies\/Industrial\/myenis-highest-order-delinquency-is-killing-saa-20170310\" target=\"_blank\">News24<\/a><\/p>\n<hr \/>\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/business\/162309\/saa-chairperson-dudu-myeni-could-be-banned-from-directing-sa-companies-for-7-years\/\" target=\"_blank\">SAA chairperson Dudu Myeni could be banned from directing SA companies for 7 years<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The crisis at SAA has reached a \u201ctipping point\u201d that was threatening its survival, hence the application to have chairperson Dudu Myeni declared a delinquent director, according to SAA Pilots\u2019 Association (Saapa) chair Jimmy Conroy.<\/p>\n","protected":false},"author":35,"featured_media":137355,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[25,1675],"class_list":["post-164003","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-active","tag-saa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/164003","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/35"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=164003"}],"version-history":[{"count":1,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/164003\/revisions"}],"predecessor-version":[{"id":164005,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/164003\/revisions\/164005"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/137355"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=164003"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=164003"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=164003"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}