Solidarity has laid criminal charges against Denel’s chief executive and chief financial officer‚ after the disappearance of staff's savings that the arms dealer was supposed to have invested.
The charges against CEO Zwelakhe Ntsepe and CFO Odwa Mhlwana were filed on Friday morning in the Pretoria specialised commercial crimes court‚ suggesting that directors or the company under their direction "fraudulently misappropriated funds".
Many employees did not get their 13th cheque‚ which is not a bonus but money deducted from their salaries so that employees receive a pay-out in November.
The affidavit signed by a Denel employee Leon Jansen states: "From a brief glance it is evident that Denel deducted certain amounts from me and fellow employees on which we were taxed‚ and then failed to invest same [the money] in accordance with the employment agreements."
Jansen added: "Neither Denel nor its officials has successfully explained why the amounts deducted are not available for payment."
Denel said on Friday afternoon that‚ after intense discussions with treasury‚ it would be able to pay the 13th cheques on December 22.
Solidarity’s deputy general secretary Deon Reyneke said the charge is filed in terms of section 332 of the Criminal Procedure Act.
“There is no excuse to squander employees’ hard-earned money without their permission‚ while the onus was on the company to have invested it on their behalf.
“Solidarity is filing this charge on behalf of its members who deserve justice and fairness‚” Reyneke said.
Janssen also notes: "It has become common practice in South Africa that officials of state-owned companies find themselves under criminal scrutiny due to their conduct‚ thus the rationale behind this complaint."
He accused the company of criminal mischief.
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