An announcement of a leadership upheaval at the National African Federated Chamber of Commerce (Nafcoc) this week was incorrect and issued without authorisation, Nafcoc said on Saturday.
”The current office bearers and leaders of Nafcoc have been and continue to be in control,” said President Patrice Motsepe in a statement in Johannesburg.
The present leadership would run Nafcoc until October 19 when a new president and other office-bearers would be elected, he said.
Motsepe rejected an earlier statement by Churchill Mrasi, chairperson of a Nafcoc disciplinary committee, that the president’s term had already expired.
This statement, on Wednesday, also said Nafcoc chief executive, Sipho Mseleku had been fired.
Motsepe said on Saturday the Nafcoc leadership was ”shocked and dismayed” by this statement.
”Neither the disciplinary committee nor the administration committee were involved in the press statement issued by Mrasi. It is clear to Nafcoc that Mrasi initiated and released the press statement on his own,” he said.
He said the disciplinary committee had no power to make these kind of decisions. Only the Council had the authority to dismiss any office bearer and the Council recognised the current leadership.
Motsepe said Mrasi had also threatened and intimidated staff members at Nafcoc, and was no longer allowed to enter Nafcoc’s offices.
Mrasi’s conduct would be formally reported to the Council on October 5. The body would then consider a course of action against him, Motsepe said.
Nafcoc’s first vice-president Nelson Maqhwazima said on Saturday Mseleku was never fired or suspended as reported in some media last week.
According to some media reports, Mseleku was suspended by Nafcoc secretary-general Buhle Mthethwa at the beginning of the month.
Maqhwazima said: ”You cannot just willy nilly go out there and suspended staff, especially the chief executive. You have to follow proper channels.”
According to Mrasi’s Wednesday statement Mseleku had been found guilty of:
- incurring debts of about R12-million without authorisation;
- insubordination by failing to explain how R3-million received from Nafhold had been spent to settle Nafcoc’s debts;
- failure to exercise due control over money received from Absa Bank and how it was spent;
- failure to ensure that certain employee deductions were taken off his salary and paid over to the SA Revenue Service; and
- misuse of Nafcoc funds during various overseas trips.
Commenting on allegations of financial mismanagement Motsepe said Nafcoc had enlisted the help of independent accounting firm Price WaterhouseCoopers to assess Nafcoc’s finances.
He said audited financial statements would be ready by mid-October.
”No improper or unethical conduct will be tolerated by either the CEO or any other employee of Nafcoc,” he said.
Motsepe also commented on the controversy around the sale of shares in Nafcoc’s investment arm Nafhold. He said if the people accused were innocent, they should have no objection to an independent investigation into the matter.
Former Nafcoc president and Nafhold chairperson Joe Hlongwane, and Nafhold CEO Michael Leaf had allegedly acquired six percent (around R45-million) in Nafhold without informing anyone.
Leaf had argued that the offer to buy shares in the company had been made to all Nafcoc members in 1999 but had not been taken up.
Motsepe commented on Saturday: ”The numerous deals that Nafcoc has negotiated are worth billions of rands. There is likely to be continuing embarrassing and irresponsible behaviour by some of its members as they try to acquire control of Nafcoc, Nafhold and the empowerment tenders and opportunities.”
He said Nafcoc would overcome the problems it was facing and would ”continue to play a leadership role in the empowerment of black business and all South Africans”.
Nafcoc holds its annual general meeting in November. – Sapa