The suspended CFO of South Africa’s Telkom, Jacques Schindehutte, has left the company following a disciplinary process.
The telco said in a statement to shareholders that Schindehutte will retire from the board of directors immediately “with full…
The suspended CFO of South Africa’s Telkom, Jacques Schindehutte, has left the company following a disciplinary process.
The telco said in a statement to shareholders that Schindehutte will retire from the board of directors immediately “with full benefits” and that the disciplinary proceedings will be discontinued.
He was suspended in late October following an investigation by Telkom’s board into allegations brought by a whistleblower. At the time, the Pretoria-based operator said the allegations related to personal misconduct, dismissing earlier reports which had suggested his suspension was linked to insider trading accusations.
The following month, Telkom, the smallest of South Africa’s four mobile operators, disclosed that it had provided Schindehutte with a R6m (US$592,800) loan to help him acquire shares in the company on an interest-free basis. In its interim results presentation, the operator said its management had recognised the loan may not have complied with relevant legislation and would consult advisers on the matter.
Schindehutte later repaid the loan, which a government watchdog found to be in violation of South African corporate law.
Deon Frederick, the company’s deputy CFO, has filled in for Schindehutte since the disciplinary process began.
The South African government has a 39.8% stake in Telkom, the Public Investment Corporation a 10.6% stake and local investment firm Allan Gray a 9.2% holding. About 40.4% of the company is in free float.
