Telkom CFO disciplinary to resume

HumanIPO reported the confidential disciplinary hearing began in January of this year, following the CFO’s suspension from his position in October 2013 due to allegations of personal misconduct.

The operator has throughout insisted the allegations and disciplinary process do not relate to the controversial ZAR6 million (US$550,000) loan issued to Schindehutte by Telkom in order for him to buy shares in the company; the loan having been declared unlawful and the CFO ordered to repay the full amount.

In June, Schindehutte said he did not believe the disciplinary hearing would end by October, but said he hoped it would be concluded before the end of 2014; while Telkom refused to comment on the lengthy nature of the process.

The operator yesterday said the disciplinary process will resume following a “long adjournment”, although no further details regarding the cause of the delay were given.

“In the interest of ensuring a fair process, all parties to the confidential disciplinary hearing are constrained from discussing the matter outside the hearing itself or commenting on its content to third parties,” Telkom said.

“This applies to responding to queries relating to matters that have been raised in, or are part of, the hearing. Telkom respects this process and is therefore not in a position to comment on any details related to the matter until the outcome is decided.”

Telkom said it hoped this “session” of the hearing would provide a final outcome, which will be communicated publicly only after “prescribed Board processes” are fulfilled.

“The outcome of the hearing will also follow the prescribed Board processes, before being communicated publicly. In the interests of transparency Telkom is committed to communicating the outcome once all required legal and governance processes have been followed,” the operator said.

“The Company hopes that a definitive resolution on the matter will be forthcoming upon the conclusion of this session.”

Image courtesy of Shutterstock.