Brian Molefe ‘too young for early retirement’

Resignation was accepted, confirmed, acted upon, court told.

The rules of the Eskom Pension and Provident Fund do not allow for early retirement of Eskom employees like Brian Molefe, who are younger than 55, the Democratic Alliance (DA) told the Gauteng Division of the High Court in papers filed on Monday.

The party approached the court to ask for an urgent interdict preventing Molefe from performing any duties or functions as group chief executive of Eskom or receiving any benefits associated with the position. It further asks the court to review and set aside public enterprises minister Lynne Brown’s decision to “reinstate” Molefe as Eskom CEO as it is irrational.

Molefe, Eskom and Brown are cited as respondents.

Brown on Friday defended her support for a decision by the Eskom board to “reinstate” Molefe almost five months after he left Eskom in November. She said it provides better value for the fiscus than to pay him the R30 million pension the board earlier recommended after a term of employment of about two years.

Molefe reported for duty on Monday morning and received a warm welcome from Eskom staff at the utility’s head office at Megawatt Park in Sunninghill, Johannesburg.

Molefe’s earlier departure followed the release of former Public Protector Thuli Madonsela’s State of Capture report in which he was implicated. At the time he said it was in the best interest of Eskom and good governance for him to leave and that he wants to clear his name.

In fact, Molefe resigned in November last year and his resignation was accepted, confirmed and acted upon, the party argues. Eskom advertised the vacant position and a payment was made to Molefe, the DA states.The DA said in its court papers in terms of the pension fund rules he could not have qualified for any pension payment over and above the contributions he made during his employment plus interest. That, it stated, could not have amounted to the R30 million the Eskom board wanted to pay him.

Brown could therefore not have “reinstated” him, but should have followed the prescribed procedure if she wanted to appoint him afresh. She did not follow such a process, which renders her decision unlawful, the party states.

It further argues that it was irrational to allow Molefe to return to the position, following the serious allegations made against him in the State of Capture report. Molefe did not clear his name as he said he would and even though he was not found guilty, the seriousness of the allegations should preclude him from being re-appointed, the DA argues.

His return could in fact lead to irreparable harm since he will be in a position that could interfere with any investigation into the matters and will be in charge of contracts involving huge sums of money while implicated in wrongful conduct relating to such contracts.

The DA points out that Brown earlier stated that she opposes the R30 million pension payout because it has no legal rationale. There is no rational reason for her to now find “a better value proposition” or alternative solution to the unlawful proposal.

There is therefore no obligation on her to either pay Molefe the R30 million or reinstate him. She should just have refused the payment and left it at that, the party argues.

The DA also asked the respondents to provide clarity on the payment already made to Molefe and how that could have been done without Brown’s approval. It further asked them to provide the record of the decision and the reasons for the decision to the court within 10 days.

A date has not yet been set for the hearing.

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Good on the DA. This entire affair stinks and Baby Brian must go. He’s resigned as an MP and once booted out of Eskom we will see some fancy dancing from CLUELESS (783) – maybe a R30 mil early retirement payout from parliament????

Brian Molefe ‘too young for early retirement’
Brian Molefe ‘too corrupt for ethical leadership’
Brian Molefe ‘too arrogant to know the harm he causes’

The DA is 100% correct. I don’t know of ANY company/Retirement Fund that allows for early retirement under age 55 unless due to some form of disability. Furthermore, a resignation does NOT equal an application for early retirement. A resignation does, in fact, lead to either a withdrawal from a retirement fund or the option to transfer or preserve that fund. It must be determined whether the pay-out Molefe received when he resigned was his Pension fund or simply some sort of settlement – or – as is usually the case with anything pertaining to the anc, a “Golden Handshake”. Either way, this bloke should NOT be allowed to run, or in any way be involved with, ESKOM. The charges against him by Ms Madonsela speak for themselves. . .

unless due to some form of disability = maybe “intellect handicap”

“Molefe reported for duty on Monday morning and received a warm welcome from Eskom staff”

Well- what else can you do if you are a regular employee / staff member? Voice your concerns or objections?

You correct, would they be standing at the entrance waving placards, then after tea be called to HR????

Follow the trace of blood. Why does it appear that everywhere Brian is involved there is a major hole in the morals and values of the ANC or corruption, maybe? He is an excellent example for a hearing by the integrity commission of the ANC. I think Brian and JZ will have a close race for first place?

Also look at Ben Ngubane, the Eskom Chair. He is allowing (facilitating/encouraging?) this behavior. His interview with Stephen Grootes at WEF was most revealing. Brian is the footsoldier but there are others pulling the strings

Retiring on us the taxpayers money, while he was looting Eskom. Probably have build up nothing of his own! Easy come, easy go is how money works for the corrupt!

R 30 million for 18 months work? so demoralizing for the rest of us. ‘n skreiende f….. skande. Thank you allot rainbow nation

Remember that cadre pay is a commission on the value they stole or wrecked. I think it was a solid effort from Comrade Brian.

And who in their right minds will give Brian a job in the private sector? So he is also now very unemployable except maybe by ANC run parastatals.

Moral of the story is, Corruption does not pay for long!

I think this whole saga with weepy Brian is what is commonly called Karma – for years as executive of PIC he hammered boards with a view to imposing his very narrow views. At Transnet he was the most ethical person – coal export quotas were changed and now his shenanigans at Eskom – the old mantra of the ANC keeps coming back to haunt them – “a seemingly corrupt relationship …”

most ethical person with no INTEGRITY.

Is the Eskom Pension Fund not subject to the Pension Funds Act?

If so, the Trustees should be charged with theft!

I don’t know but this looks like a resignation letter, no mention of early retirement:

Absolutely, he resigned and said he left ESCOM in the interest of the company, good corporate governance and the interest of the public. Now he crawls back and this is not in the interest of the company, good governance and interest of the public. Double standards and no integrity.

Surely he is not too young to go to jail until he is well into retirement age?

What rubbish is this again from the ANC!? Don’t they get the message that a majority of South Africans do not approve the way that they run the country.

Correction, the minority.

The Eskom staff singing an welcoming Cry Baby back are only a small % of the Eskom workforce. Probably ANC cadre deployments themselves.

Brian was furious that a ‘nobody’ like Koko’s step daughter could pocket hundreds of millions while he got crumbs.

What I don’t understand is thaqt there are these allegations of wrongdoing against many individuals in the state, all over the show. Brian Molefe being just one of them. Why are none of these allegations criminally investigated? Most of them, if true, would surely involve some form of crime and yet I don’t see anyone going to jail. I just don’t get it. Is that really the extent to which our criminal and justice system has been “captured”?

Pieter, you made a good if not obvious point. imagine another scenario. what if all these naughty boys and girls hade lily white skins like you and me?

They would have been drawn and quartered years ago, the moment the first puff of smoke appeared, but the party goes on……..
just saying you know.

It was implied by Lyn Brown in an interview that Brian Molefe was being paid out the balance of his contract which was supposed to run 5 years and therefore it would be cheaper to keep him – my understanding is that if you break a contract you may be subject to penalties not rewarded!!
Why then, is/was he being rewarded with this astronomical amount after 18 months of work?

Only one thing comes to mind …
where is the NPA and the Hawks?

Zupta’s have told them to butt out.

End of comments.





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