Today's Labour News

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AGONews24 reports that two weeks before corruption-accused African Global Operations (AGO), formerly known as Bosasa, was placed under liquidation, the company paid its CEO Gavin Watson a R5m "performance bonus".  This was over and above his monthly salary of R5.7m.  

AGO's board placed the company under voluntary liquidation on 12 February.  In an affidavit, provisional liquidator Cloete Murray revealed that the board took a decision on 21 January 2019 to pay Watson the R5m bonus, which was effected on 30 January 2019.  AGO's 4,500 employees are now facing possible unemployment as the allegations of corruption against Watson and his co-directors directly led to the company's accounts being closed by its banks.  Murray's affidavit was filed in respect of proceedings that are under way in the South Gauteng High Court.  But, AGO's directors filed an urgent application on 4 March to try and reverse the liquidation.  Murray is opposing the application, arguing that the directors, including Watson and AGO chairperson Joe Gumede, no longer want him as a liquidator because he is investigating their affairs.  Watson, Murray further reveals, added three of his family members and alleged long-time girlfriend Lindie Gouws onto the payroll of AGO, and they were paid unknown amounts ostensibly as "salaries".  The matter was due to be heard in court on Wednesday.

  • Read the full original of Kyle Cowan’s report on the above story at News24
  • Read too, Bosasa begins legal fight for liquidation reversal, at Independent News
  • And also, Bosasa directors claim they were ill-advised over liquidation decision, at EWN

Get other news reports at the SA Labour News home page