Cricket SA reveals the reasons behind the axing of ex-CEO Thabang Moroe
Thabang Moroe’s repeated breaches of the Companies Act were at the core of his long-awaited but drawn-out axing as Cricket South Africa’s chief executive officer in August.
In a media briefing hosted by CSA’s member’s council Representative John Mogodi where he outlined the summary of the much-anticipated forensic report‚ breaches of the Companies Act‚ a primary functionary understanding needed by any CEO or board member‚ led to Moroe’s dismissal.
Moroe had been suspended on December 5 from where a forensic investigation was launched to look into CSA’s fiduciary activities for a 48-month period dating back to 2016.
It was completed and delivered to CSA’s audit and risk committee on July 31. On August 27‚ Moroe was fired by CSA.
Moroe’s Companies act infractions were with regards to the revoking of journalist’s accreditations‚ the step-in rights at the Western Province Cricket Association‚ the Global Sports Commerce deal and the flouting of appointment and procurement procedures.
The matter of CSA’s company credit cards being used for alcohol purchases was also addressed in the summary‚ with Moroe and former chief operating officer Naasei Appiah being fingered for excessive purchases.
Clothing purchases to the value of more than R200 000 that were bought contrary to CSA’s procurement policies were also highlighted.
“There appears to be excessive or irregular expenditure on alcohol by some of the CSA employees including Appiah and Moroe.
“Fundudzi confirmed transactions relating to the purchase of alcohol totalling R201 372.80 and R64 830.50 for Appiah and Moroe respectively‚” the report said.
“Clothing items purchased from New Balance to the value of R207128‚ 70 were not purchased through the standard procurement process as provided for in the paragraph 3.1.2 of the CSA Procurement Policy.”
The appointment of Chantal Moon as the head of human relations was also highlighted in the summary‚ with the report further saying that Moon didn’t have the minimum qualifications to occupy the position.
“Moroe transferred Musa Gubevu (Gubevu) from HR to the Transformation Department. There is no evidence of non-performance by Gubevu that may have warranted his transfer from HR to Transformation Department. Moroe appointed Moon as Head of HR without following procurement processes in contravention of paragraph 3.4.2 of the procurement policy and procedure‚” the report said.
“Moroe changed the reporting lines of HR Manager that were approved by the Board in terms of the OD from the COO to the CEO. The changed reporting lines resulted in the HR Manager reporting to the CEO instead of the COO.
“Moroe decided to fill the position of HR Manager with a consultant and not a permanent employee as required by the approved OD. Moroe caused CSA to pay People Link R1 699 335 for the period August 2019 to April 2020 without following procurement processes.”
According to the report‚ the appointment of “Service Provider X” could have serious judicial implications for Moroe from a recommendation perspective.
“(The) register a criminal case in terms of Section 34 of the Prevention and Combating of Corrupt Activities Act 12 of 2004‚ followed by the obtaining of legal advice regarding the desirability to institute legal action to recover funds paid to ‘Service Provider X’ in view of no evidence of delivery of services‚” the report said.
Source: ARENA Holdings.