Boni Dibate, chief executive of South African Express Airways (SAX), will face a disciplinary hearing next week over fraud charges involving Transnet funds.
The hearing began last October after officials, including Transnet Group CEO Mafika Mkwanazi, heard from a whistle-blower that Dibate had authorised overseas trips for an employee and his family on the company tab and had accepted a cheque from a service supplier that she used to pay off her debts.
Dibate is the first female CEO in the history of the South African airline industry. She was elected president of the Businesswomen’s Association (BWA) late last year and is a director of Primedia.
She is a rising star at Transnet and colleagues speculated she was being groomed for the top job.
The incidents she is charged with allegedly happened two years ago when she was chief executive of Esselen Park, Transnet’s training and research facility near Kempton Park.
Taki Madima, Transnet’s group legal officer, and Manasse Matau, group human resources officer, compiled the charge sheet, which was signed by Mkwanazi, Dibate’s boss.
Dibate faces eight charges, five involving discounted trips for her daughter and the family of an employee, Mandla Msimang, who worked under Dibate at Esselen Park as portfolio manager of business development.
Msimang became acting CEO after Dibate left for SAX, but he resigned after the allegations surfaced last year.
Dibate is also alleged to have condoned Msimang being part-owner of a business that contracted to Esselen Park, where he then acted as a business consultant and formulated business strategies for his employer as an outside consultant.
She allegedly turned a blind eye to the fact that Msimang, an employee at Esselen Park, was supplying services to the company he worked for, and she allegedly also wrote him a big cheque for the job.
The charges also question Msimang’s consulting contract. Normal practice was to pay contractors hourly and by the project. Dibate allegedly paid him according to what she thought was the ”best value” for his work at Esselen Park. She is alleged to have received a share of the proceeds from this business.
Heading the charge sheet is a ”gift” she received from Rainbow People, a service supplier to Esselen Park.
Dibate said she was having financial problems. She said she became nervous about what would happen to her when a sheriff came to her house with a letter of demand, so she accepted a cheque from Rainbow People to pay off a debt of about R10 000. Dibate says she has paid back the loan.
She also allegedly authorised luxuries for Msimang, such as a stay at the exclusive Beacon Island Resort in Plettenberg Bay with his family.
Msimang’s wife is also alleged to have received a huge discount on an overseas trip after Dibate arranged for her to pay only 10% of the cost. She authorised discounts and sponsorships for Msimang’s children, and a loan of R55 342 to pay off the debt his son incurred for an overseas trip.
Dibate allegedly also authorised a discounted overseas trip for her own daughter.
In a letter to Bongani Khumalo, chairperson of Transnet’s board of directors, last September, Dibate pleaded for the charges to be dropped. She said that she had discussed the issues with officials, including her boss Mkwanazi, and that she thought the matter had been resolved.
Transnet’s spokesperson Thami Didiza would not comment on the charges. ”Any matter between Transnet and its employees is a matter between Transnet and its employees — it’s an internal matter.”
Mkwanazi confirmed charges had been laid against Dibate. ”There have been a number of disciplinary hearings. The one held in December was not concluded and will resume on January 19 and will sit for about a week.”
Mkwanazi would not speculate on the implications for Dibate’s career.
Dibate earned respect when she turned around Esselen Park., which was losing millions of rands a year when she arrived, but reportedly made a profit of R4-million the year she left.