The Congress of the People (COPE) has rejected with contempt, Dudu Myeni’s contract extension.
It is said that Myeni’s tenure as SAA (South African Airways) board chair expired this month. But then, the Finance Minister Gigaba extended it until SAA’s annual general meeting takes place in early November.
COPE reacted to this with four words – “DUDU MYENI MUST GO!” A statement the party issued about the contract extension read:
“(We reject) with contempt the contract extension of Dudu Myeni by SAA. Already SAA is at taxpayers’ doors, begging for billions of rands in bailout under Myeni for her incompetence.
“As long as SOEs are riddled with cadre deployment, and captured by Zuma’s children and friends, tax payers will continue to pay the highest price, the downfall of South Africa’s economy.”
Having said that, COPE called for the depoliticising of state-owned enterprises and asked that they should be professionalized.
Reporting this, EWN related that the Deputy Finance Minister, Sfiso Buthelezi was bluntly asked if President Jacob Zuma ordered Dudu Myeni’s contract extension.
The Deputy Minister responded thus:
“As to whether anybody gave the Minister (Gigaba) a directive to extend Myeni’s term, the answer is a categorically no.”
With that, Gigaba’s Deputy contended that SAA’s Memorandum of Incorporation (MOI) authorized the country’s Minister of Finance to make such decisions.
However, Frank Jenkins, a parliamentary legal adviser wouldn’t agree with the Deputy Finance Minister. Jenkins was quoted to have said: “Clause 13.5 of the MOI, in my reading, does not give the authority for the extension.”
From our gatherings, the Companies and Intellectual Property Commission was not timely informed about the extension as required by the law. And, the Cabinet is yet to approve the extension.
Meanwhile, the National Treasury has agreed to give the SAA R10 billion as a special appropriation for tidying its debts. You can read more about this here.