Corp wants axed boss back

The Nuclear Energy Corporation of SA (Necsa) is proposing the reappointment of its suspended and subsequently fired former CEO Phumzile Tshelane as a highly paid consultant.

This has emerged following a Necsa board meeting on 28 May when the board authorised chairman David Nicholls to approach Minerals and Energy Minister Gwede Mantashe to seek the reappointment of Tshelane on a limited-term contract.

Mantashe confirmed the proposed reappointment was raised with him by Nicholls and a meeting to address the matter was scheduled for this week.

It is understood that, at this stage, the consulting contract envisaged by the Necsa board for Tshelane would be for a term of about six months. His first task would be to make progress on establishment of a state-owned pharmaceutical company, Ketlaphela Pharmaceuticals, to manufacture antiretroviral (ARV) drugs in South Africa.

Sources indicated Finance Minister Tito Mboweni was sitting on a proposal to give Ketlaphela Pharmaceuticals a two-year monopoly for the import of ARVs from India into South Africa, while arrangements are made with the Indian ARV supplier to set up an ARV manufacturing facility in SA.

There has been is a long-standing dispute between Necsa and Tshelane, suspended in December 2018 by former energy minister Jeff Radebe when he dismissed the whole board of Necsa at the time, including then board chairman Kelvin Kemm.

Kemm, Tshelane and another former board member, Pamela Bosman, challenged the dismissal of the Necsa board and the suspension of Tshelane by Radebe in the High Court in Pretoria. The judge dismissed Tshelane’s application for his suspension as Necsa CEO to be lifted.

Tshelane was fired but his ongoing legal actions have continued in further efforts by him to be reinstated.

Nicholls has acknowledged the board had considered offering its former CEO a substantial sum in settlement of all issues, which he apparently rejected. Nicholls has also indicated it was critical that the ongoing dispute and litigation had to be settled urgently, to enable a new CEO to be appointed.

Yelland is managing director, EE Business Intelligence