Thandi Modise must suspend Armscor Board and CEO pending the outcome of an ongoing investigation into the parastatal
28 July 2023
The DA is calling on the Minister of Defence and Military Veterans, Thandi Modise, to immediately suspend the Armscor Board and the company CEO pending the outcome of the full scale investigation into allegations of wrongdoing at the parastatal.
It has been reported that Modise informed Armscor’s board of directors that she will be initiating a thorough investigation into allegations of misconduct and wrongdoing levelled against Armscor CEO, Adv Solomzi Mbada and Board Chairperson, Philip Dexter. This after it emerged that Mdada’s five-year fixed-term contract was irregularly changed to a permanent contract with no board resolution to support this decision.
The allegations raised by Modise are serious and of such a nature that the aforementioned parties cannot continue to act in their roles while the investigation is ongoing. They are interested parties who occupy senior positions in the company (i) who must be kept clear of even the perception of being protected as cadres, and (ii) who could potentially interfere with the conduct of the investigation.
Modise’s handling of the issue has not been satisfactory either. Reports reveal that she has been in Turkey attending a Defence Expo together with a high level Armscor delegation. If Modise was genuinely interested in maintaining the integrity of the investigation into Armscor, she should have told Armscor senior executives not to participate in any further engagements pending the outcome of the investigation.