PIC ‘parallel investigation’ slammed by inquiry evidence leader

Evidence leader for the commission of inquiry into the Public Investment Corporation (PIC) Jannie Lubbe has been told that the executive head of listed investments at PIC, Fidelis Madavo, has been suspended with immediate effect on Tuesday, EWN has reported.

Madavo was expected to give testimony at the commission later today.

Lubbe has accused the asset manager’s board of running a parallel investigation, and requested the chairperson of the board be called to explain.

“I put it on record that I find it strange and alarming that the PIC board is running a parallel investigation into matters covered in particular with the terms of reference of this commission. I will later make further submissions in this regard but my view, with respect, is that it is totally improper,” said Lubbe.

“It may be necessary, even at an early stage to consider calling the chairperson of the board to come and explain to the commission why this is happening. Notwithstanding all this, Mr Madavo is here and has informed me that he is ready to testify.”

READ MORE: PIC commission of inquiry kicks off today

This is reportedly as a result of information that came out of an investigation of PIC’s December 2017 payment of R4.3 billion to take up the full initial public offering of Ayo Technology.

The investigation was launched due to “negative media reports”, according to PIC spokesperson Deon Botha, Business Day reported at the time.

Following a directive from President Cyril Ramaphosa in October 2018, public hearings into allegations of impropriety at PIC began in Tshwane on Monday morning.

Led by former president of the Supreme Court of Appeal Justice Lex Mpati, the Judicial Commission of Inquiry is investigating allegations of impropriety following reports of poor governance and precarious investment processes.

Based on its findings, the commission will then have to provide the president with an interim report by February and submit a final report and recommendations by April 2019.

Evidence from key PIC employees is being heard over three days and will give the commission an overview of the applicable legislation, policies, and various units of the PIC, so as to lay the groundwork for later engagements.

Acting secretary for the PIC Wilna Louw was the first person to testify and she will be followed by the executive head of impact investment, Roy Rajdhar.

Over the next three days Sholto Dolamo, the executive head of research and project development, will also take to the stand.

– Additional reporting by African News Agency (ANA)

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