Suspended Armscor CEO Sipho Thomo has been fired, chairperson Popo Molefe confirmed on Wednesday.
Molefe declined to give further details, saying he was on holiday.
But a letter circulated to staff at the state arms-procurement company, of which the South African Press Association has a copy, stated that Thomo’s contract was terminated on January 7.
In the letter, Molefe said Thomo faced a disciplinary hearing on December 14 and 15, after which the board agreed that he should be sacked.
The dismissal brings an end to more than 10 stormy years at the helm for Thomo. He was suspended in November after being asked to resign but refusing to do so.
Armscor has so far declined to give the full reasons for its fallout with Thomo. At the time of his suspension, Molefe merely said he faced “serious allegations”.
It recently emerged that Thomo’s pay package included a restraint of trade agreement worth one year’s salary, or R1,45-million, of which 60% was paid last year.
The rest was to be paid upon termination of his contract.
Opposition MPs have suggested that it was Thomo’s awkward disclosure late last year that the cost of South Africa’s contract to buy eight Airbus A400M heavy-lift planes had sky-rocketed to an “estimated” R47-billion that finally cost him his job. The government subsequently cancelled the deal.
Four years ago, Armscor’s general manager of corporate affairs, Nthati Borotho, accused Thomo of publicly making unsavoury comments and unfairly assessing her work performance.
He was cleared of misconduct but ordered to undergo training to improve his perceived autocratic management style.
Democratic Alliance defence spokesperson David Maynier on Wednesday welcomed Thomo’s axing but said he would demand that Molefe brief Parliament’s portfolio committee on the matter.
Maynier said Molefe should reveal the charges brought against Thomo and the terms of his final financial settlement, and explain how Armscor plans to go about replacing him.
Molefe said in his letter that Sipho Mkwanazi, Armscor’s general manager for acquisitions, who has stood in for Thomo since November, would remain acting CEO for the time being. — Sapa