R18 million golden handshake for Matlala could be grounds to dismiss SABC board: DA

13 July 2016 - 14:42 By TMG Digital

The Democratic Alliance is demanding confirmation that suspended South African Broadcasting Corporation (SABC) chief executive officer Frans Matlala will getting “an R18-million golden handshake”.The party’s Phumzile van Damme said this followed media reports that the broadcaster “agreed to settle…a day before Matlala was due to appear before a disciplinary committee after he was suspended in November last year‚ a mere four months into his five-year contract”.ANC cold front nips at Hlaudi“If it is true that a settlement has been reached‚ it is clear that the SABC board did not have good enough reason to suspend Matlala‚” she said.The absence of any explanation given by Communications Minister Faith Muthambi “as to why Matlala was suspended” was further evidence of this‚ Van Damme argued. Lacking a “good enough reason to suspend Matlala…the expenditure on the settlement could amount to wasteful and fruitless expenditure”‚ which‚ according to the Public Finance Management Act (PFMA)‚ “constitutes financial misconduct and is grounds for the suspension or dismissal of the SABC’s accounting authority‚ which in this case is the SABC board”. “Section 83 of the PFMA states that that if the accounting authority of a public entity commits an act of financial misconduct if that accounting authority wilfully or neglectfully makes or permits irregular expenditure or fruitless and wasteful expenditure‚ every member is individually liable for any financial misconduct of the accounting authority‚” said Van Damme.“Financial misconduct constitutes grounds for dismissal or suspension.” – TMG Digital

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