Ezemvelo moves to suspend head
November 26 2014 at 10:09am
By CHRIS NDALISO
Ezemvelo KZN’s chief executive and chief financial officer have until Thursday to explain to the wildlife authority’s board why they should not be suspended.
Bandile Mkhize and his chief financial officer, Darius Chitate, must answer question on the restructuring of executive/management salaries at a cost to Ezemvelo of around R20 million.
This emerged on Tuesday at a media briefing by Economic Development, Tourism and Environmental Affairs MEC, Mike Mabuyakhulu, where he announced the findings of a task team established to probe the restructuring.
Mabuyakhulu ordered the establishment of the task team in July to investigate claims that the restructuring, implemented last year, had been unfair.
Ezemvelo employees had claimed the process was for the sole benefit of management and at the expense of low-ranking staff.
According to the task team’s damning report, the restructuring had been flawed. It also recommended that the board should give reasons as to why it should not be reconstituted.
The report said Ezemvelo’s finances had been compromised by the implementation of the unbudgeted restructuring.
“It is on these grounds that the MEC set up the task team and last week the team’s recommendations were tabled to cabinet for guidance, and the cabinet endorsed the report’s recommendations,” said the MEC’s spokesman, Bheko Madlala.
According to the report, which the Daily News has seen, the process “unduly benefited” management and a handful of other employees at the expense of the other employees.
Mkhize had misrepresented the state of Ezemvelo’s finances to the board, it said.
Certain employees in the A to D band were unduly given revised salaries, the report said.
It said Treasury regulations which prohibit expenditure without following authorised process had been flouted.
The expenditure during the restructuring was not recorded accordingly in the annual financial statements, and was implemented in a rushed manner which rendered the whole process to be flawed, the report said.
It was also was put in place before the MEC’s approval.
According to the report, the revision of executive/management salaries in July 2013 and the subsequent approval in October 2013 constituted irregular expenditure and was unlawful.
The restructuring process was not budgeted for.
Mkhize had assured the board that all costs for the exercise would be contained within the existing personnel budget.
“The CEO’s assurances to the board did in fact result in additional financial risk exposure of the organisation,” said the report.
The task team recommended that the board should consider instituting disciplinary actions against the chief executive and CFO for their acts.
It also said the restructuring should be started afresh.
It was recommended that the board, with immediate effect, suspend the two executives with full pay while disciplinary proceedings were under way.
The salary increases must be immediately stopped and all staff who unduly benefited financially must engage in a process of paying back the money.
The MEC, in consultation with the board, will decide who would act as CEO and CFO while Mkhize and Chitate are suspended.
Mkhize last night told the Daily News he had first heard of the report at Tuesday’s meeting and could not comment as he had not seen the report.
“I’ll only comment once I see the contents of the report and as the things unfold.
“I’m proud of what I’ve done for the organisation,” said Mkhize.
Board chairperson, advocate Comfort Ngidi, said the board had given Mkhize and Chitate letters requesting that they respond as to why they should not be suspended before the end of Thursday.
