This situation first arose because the former CEO violated the terms of his employment contract by placing his private financial interests ahead of the company. In flagrant disregard of the provisions in his employment contract designed to manage conflicts of interest between NMT Capital (a company he co-founded) and Old Mutual, Mr Moyo chaired a meeting of the NMT Capital Board on 4 July 2018, at which it was decided to pay an ordinary dividend of R105 million. Mr Moyo and his partners thus shared R84m, while omitting to pay preference share dividends, valued at R65.4m at the time, due to Old Mutual.
The Board engaged Mr Moyo for months about this matter. However, it became clear that he and the Board had a difference of opinion about his transgressions and how to resolve them. Following the exchange of various correspondence and a meeting where Mr Moyo was given yet another chance to address the situation, the Board, on the basis of legal advice, reached the difficult conclusion that his continued employment was untenable
This situation first arose because the former CEO violated the terms of his employment contract by placing his private financial interests ahead of the company. In flagrant disregard of the provisions in his employment contract designed to manage conflicts of interest between NMT Capital (a company he co-founded) and Old Mutual, Mr Moyo chaired a meeting of the NMT Capital Board on 4 July 2018, at which it was decided to pay an ordinary dividend of R105 million.
Mr Moyo and his partners thus shared R84m, while omitting to pay preference share dividends, valued at R65.4m at the time, due to Old Mutual.
The Board engaged Mr Moyo for months about this matter. However, it became clear that he and the Board had a difference of opinion about his transgressions and how to resolve them.
Following the exchange of various correspondence and a meeting where Mr Moyo was given yet another chance to address the situation, the Board, on the basis of legal advice, reached the difficult conclusion that his continued employment was untenable
Read more about Peter Moyo by clicking on this link