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26 September 1999

Gauteng

'Trouble for CEOs'

Decision angers union
CRAIG JACOBS

 

A MUNICIPAL union claims that the jobs of chief executive officers around the country are under threat. This comes after a disciplinary hearing found a Gauteng CEO guilty this week for the actions of his subordinates while he was on leave.

Johan Olivier, the presiding officer at the hearing, decided that suspended Kempton Park/Tembisa CEO Johan Leibbrandt was responsible for the failure to follow proper tendering procedures in appointing a financial consultant. Leibbrandt was on leave at the time.

In a letter, J D Claassens, general secretary of the Independent Municipal and Allied Trade Union (Imatu), described Wednesday's judgment against Leibbrandt as a travesty.

"Leibbrandt was found not guilty of wilful or intentional actions but found guilty of gross negligence in respect of the manner in which investment contracts were awarded . . . there is no proof for such a finding. It seems to Imatu that Leibbrandt was found guilty on the actions of other employees that is not his responsibility," he said.

The union described Olivier's finding - that Leibbrandt was guilty because he took "the responsibility for the actions of their subordinates" - as incomprehensible and not in line with legislation and managerial principles.

The finding is the latest twist in Leibbrandt's battle with the council, which has lost millions of rands in its attempts to get rid of its top official.

The council has spent R794 316 on inquiries into allegations against Leibbrandt and has also paid him more than R425 000 since his suspension in September last year.

Late last year a provincial inquiry absolved him of fraud amounting to R2,5-million.

The latest disciplinary hearing, which started in May and which was beset by a number of postponements, cost more than R166 000.

The council was also forced to abandon a disciplinary hearing two months ago against another official, Jan Malan, because Leibbrandt was unable to testify in the case due to his suspension. Malan's case, his pay while he was suspended and his final settlement cost the council R1,8-million altogether.

The council has spent about R2,7million in its battles against Leibbrandt and Malan.

Its fight with Leibbrandt, and the judgment against him, has outraged people in the area.

Des Pinard, the chairman of the Kempton Park Ratepayers Association, described the hearings as a waste of ratepayers' money.

"Leibbrandt has already been found not guilty [by the provincial inquiry] and yet the councillors persist with these allegations.

"The manner in which this has been conducted is totally contrary to municipal rules and regulations," Pinard said.

Lana Marais, a Democratic Party councillor, described the attempts as "pursuing personal vendettas" by the ANC-led council.

Olivier left the country on holiday after making the ruling, and was unavailable for comment.

Mike Madlala, the head of the council's executive committee, said he preferred not to comment on the case as the council had not yet formally received the verdict.

Leibbrandt said he had lodged a formal appeal against the judgment on the day it was handed down.

"We will not leave it at this. This is not the end," he said.

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