Telkom’s finance chief ‘retires’ after long suspension
THE protracted suspension of Telkom chief financial officer Jacques Schindehütte has come to an end, but shareholders are none the wiser about the reason for all the fuss.
The fixed-line service provider said on Friday it had discontinued the disciplinary inquiry and agreed to let Schindehutte “retire” with full benefits.
But details of the settlement were not disclosed.
Sipho Maseko, Telkom’s CEO, declined to comment on why the 55-year-old director was being put on “retirement”, and referred inquiries to his communications team.
The fixed-line operator’s share price fell 1.67% to R53.44 after the announcement.
Schindehütte was appointed at Telkom in 2011, and suspended last October.
Schindehütte said on Friday he was “in a good space”, but declined to comment on the settlement as it was confidential.
Shareholders may question management on its lack of transparency at the annual general meeting later this month.
An investment analyst said: “If he did no wrong then why have they wasted the resources of the company?
“Directors have to act in the interests of the company. Was the suspension in the interests of the company or was this just a total waste of money?”
Schindehütte was suspended soon after buying 243 700 Telkom shares for about R6-million with a loan from the company.
Telkom entered into a closed period a day after the trade, and then published a positive trading update that lifted its shares.
The JSE later investigated the trade.
Telkom previously dismissed the link between Schindehütte’s suspension and the share purchase.
Maseko said previously that his suspension was related to a matter that was “broadly of a personal-conduct nature”.
Schindehütte said the CEO had approved his loan. Maseko was ordered to attend corporate governance classes for doing so.