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Majola may face NPA probe

2012-03-09 14:17

Pretoria - Cricket South Africa chief executive officer Gerald Majola’s non-disclosure of bonuses should be referred to the National Prosecuting Authority (NPA), retired judge Chris Nicholson said on Friday.

“Such investigations should also include whether any provisions of the Prevention and Combatting of Corrupt Activities Act, 2004([Act No. 12 of 2004) ... have been contravened,” Nicholson told reporters as he released findings for Cricket South Africa (CSA) in Pretoria.

“Section 10 provides that any person who is a party to an employment relationship and who, directly or indirectly, accepts from any other person any unauthorised gratification … is guilty of the offence of receiving unauthorised gratification.”

This would apply to both Majola and McIntosh, said Nicholson.

Earlier, he said a prima facie case existed against Majola.

“The committee is of the view that there is a prima facie case that Majola contravened sections 234, 235 and 236 of the Companies Act," said Nicholson.

“We believe there is a prima facie case of non-disclosure concerning the bonuses and irregularities with regard to travel and other costs.”

Majola's contract provides for suspension with pay for up to 180 days, pending the conclusion of a disciplinary enquiry.
The committee recommended that the board should consider this, said Nicholson.

“It would be in Majola's own interests to give him time to prepare his defence, unfettered by his normal duties."

Majola was the dominant force in the allocation of bonuses and not former chief financial officer Don McIntosh, Nicholson said.
The committee was also mandated to investigate expenses incurred by Majola and their legality.

Majola’s employment contract stated that he would be reimbursed for travel expenses paid out of his own pocket - provided they were approved by the board.

The matter related to Majola claiming travel expenses for his children and wife.

He blamed it on a mistake made either by a travel agent or his professional assistant.

But he admitted that CSA should not have reimbursed him.

“The committee was sceptical that it was an error of his professional assistant or a travel agent,” said Nicholson.

“They would have been acting on Majola’s instructions and it is improbable that they would charge CSA for his children’s flights without his instructions, either in general or on specific occasions [when] the said flights were undertaken.”

Sports Minister Fikile Mbalula appointed the inquiry in November 2011 to investigate CSA's failure to implement certain recommendations by auditing firm KPMG.

A KPMG report found that bonus payments of R4.5 million to CSA chief executive Gerald Majola, former CSA chief operating officer Don McIntosh, and other CSA employees, had been kept secret from the federation's remuneration committee.

It also found that Majola had breached the Companies Act at least four times.

The committee received written and oral submissions from current and former CSA staff and the public over three months.
It adjourned at the end of January to compile its report.

SAPA

Comments
  • Piet - 2012-03-09 14:36

    Can I give you some suggestions on where to put that probe!

  • Thozi - 2012-03-09 14:52

    Much as I feel for Mr Majola, I had this feeling that a crime of "selfish greed" had been committed. I hope the Judge's proposals will be adopted in full and Mr Majola will face the music in a court of law. This kind of evil greed is tearing our young democracy apart. He should return every cent he had awarded himself deviously, even if he has to sell his last pair of sox. He can use prison clothes in the meantime - they are issued free and openly.

      Sedick - 2012-03-10 01:27

      And you del sorry for him WHY?

  • Michael Kleber - 2012-03-09 15:17

    Thats very nice you steal from your company then you plead ignorance and they give you 6 months paid leave to prepare your defence , this doesn't happen in the corporate world , they really bending over backwards to accommodate Mr Majola , in fact if there had not been a media and public outcry it would have been brushed under the carpet , it was only a couple of million anyway

  • Andrew - 2012-03-09 16:01

    Another example of corrupt transformation. Always the same result when they eminate from ANC cadres. They know no other way!!!

  • Kathleen - 2012-03-09 18:08

    When, oh when, are we going to have leaders of integrity? Until this happens this country will continue in its downward spiral of corruption and dishonesty.

      Jason Children - 2012-03-10 06:12

      Dont be surprised Kathleen, its the African way, has been like this always. nothing will change.

  • Grant - 2012-03-10 07:18

    The vote asks "Which of SA's sporting codes is in the worst shape after recent scandals?" I wish I could vote 'all three'.

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