PIC gets more time to retrieve R4.3bn from Ayo Technology

The weakened Public Investment Corporation (PIC) has been given a lifeline after the Companies and Intellectual Property Commission (CIPC) agreed that their deadline for Thursday to retrieve around R4 billion would be extended.

The PIC now has more time to retrieve money from Ayo Technology after a High Court in Pretoria ruling on Tuesday, where CIPC and PIC agreed that a compliance notice would be amended until a new date is set.

CIPC had initially given the PIC 14 days to retrieve money back from Ayo Technologies, which resulted in the PIC taking the matter to the high court to have the notice amended.

This is after CIPC issued a compliance notice to the directors at the PIC demanding they retrieve the R4.3 billion that the PIC invested in Ayo Technologies, together with six months interest.

JUST IN: PIC has more time to retrieve the money back from AYO Technology. The deadline was for Thursday to retrieve R4.3bn but both CIPC & PIC agreed in court today that the compliance notice has been amended until a new date is set. #eNCA #PIC #AyoDeal

— Heidi Giokos (@HeidiGiokos) March 12, 2019

The PIC earlier released a statement clarifying that they were not collaborating with Ayo regarding the CIPC compliance notice, which led to both the CIPC and PIC agreeing that R4.3 billion would be retrieved from Ayo Technologies by March 14.

The PIC is at the centre of an inquiry, with testimonies highlighting that shares were sold at an inflated rate.

Former PIC executive Paul Magula revealed that former CEO Dan Matjila was so desperate to have the Ayo Technology transaction go ahead that he came back from leave to approve it.

Magula, who was fired last year for poor performance, testified at the PIC commission of inquiry about Matjila’s involvement in the R4.3 billion investment.

(Compiled by Gopolang Chawane)

For more news your way, download The Citizen’s app for iOS and Android.