{"id":789918,"date":"2024-09-06T06:55:00","date_gmt":"2024-09-06T04:55:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=789918"},"modified":"2024-09-06T16:38:43","modified_gmt":"2024-09-06T14:38:43","slug":"mtn-ceo-under-investigation","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/telecommunications\/789918\/mtn-ceo-under-investigation\/","title":{"rendered":"MTN CEO cleared in investigation"},"content":{"rendered":"\n

Update<\/strong>: In a SENS accouncement on Friday, 6 September, MTN said its board held a special meeting on Wednesday, 4 September 2024, to deliberate on a report by an independent law firm, assisted by counsel, tasked to verify allegations contained in an anonymous complaint against executive members. <\/em><\/p>\n\n\n\n

The report showed that attempts to engage with the complainant were unsuccessful and that there was no evidence of improper conduct by those cited in the complaint. <\/em><\/p>\n\n\n\n

“In its deliberations, the board accepted the Report finding and is of the view that the matter has been
addressed and is now closed. The board further expressed its full support for the Group Chief
Executive Officer and the MTN strategy,” said MTN. <\/em><\/p>\n\n\n\n

\n\n\n\n

MTN Group Ltd., Africa\u2019s biggest wireless service provider by subscribers, said it\u2019s probing issues of alleged favoritism by Chief Executive Officer Ralph Mupita.<\/p>\n\n\n\n

The Johannesburg-based Sunday Times newspaper reported on 1 September that an unspecified number of executives threatened to quit after complaining about Mupita allegedly giving preferential treatment to a female executive. <\/p>\n\n\n\n

The newspaper cited people it didn\u2019t identify.<\/p>\n\n\n\n

MTN\u2019s board is \u201cengaged in a verification process in relation to the allegations raised, and once this process has been completed,\u201d the company said in response to Bloomberg\u2019s questions. It will deliberate and communicate as appropriate with stakeholders. <\/p>\n\n\n\n

Mupita said the board was managing the process.<\/p>\n\n\n\n

Nine of MTN\u2019s executives have signed a memorandum backing Mupita, according to people with knowledge of the matter who asked not to be identified because they\u2019re not authorised to discuss the matter. <\/p>\n\n\n\n

Another executive later added his support via email, bringing the number to 10, said the people.<\/p>\n\n\n\n

According to the company’s website, the company has 15 executives, excluding Mupita.<\/p>\n\n\n\n

\u201cCorporate governance failures are of serious concern\u201d to the Public Investment Corp., Africa\u2019s largest fund manager and MTN\u2019s top shareholder, said in response to Bloomberg questions. <\/p>\n\n\n\n

\u201cThese may adversely affect business operations of investee companies and cause potential value destruction for shareholders.\u201d<\/p>\n\n\n\n

Mupita earlier this week sent a letter to staff assuring them that MTN has governance processes in place to address employee matters, including those concerning senior leadership.<\/p>\n\n\n\n

\u201cThe group board is going through the necessary processes to understand the matters and will address them,\u201d according to the letter seen by Bloomberg.<\/p>\n\n\n\n

\n\n\n\n

Read: Earnings boost for South Africa\u2019s largest insurer<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

The MTN board are probing issues related to alleged favoritism by Chief Executive Officer Ralph Mupita.<\/p>\n","protected":false},"author":59,"featured_media":770060,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[1850,853],"class_list":["post-789918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-bloomberg","tag-south-africa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/789918","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\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=789918"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/789918\/revisions"}],"predecessor-version":[{"id":790152,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/789918\/revisions\/790152"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/770060"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=789918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=789918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=789918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}