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Manyatshe stalls court case

Nicola Mawson
By Nicola Mawson, Contributor.
Johannesburg, 11 Nov 2010

Former MTN SA boss Maanda Manyatshe filed last-minute papers at the Western Cape High Court yesterday, in a bid to stave off a default judgement against him.

Manyatshe is being sued by forensic consultant Bart Henderson for as much as R6.2 million, for not paying the consultant after hiring him to clear his name of allegations of corruption and fraud.

The former MTN SA MD hired Henderson about four years ago, after Manyatshe faced charges of fraud from the South African Post Office (SAPO). Manyatshe left SAPO to head up MTN SA in 2004, and then became embroiled in a legal dispute with the post office after questions were raised over a R2 billion tender he awarded.

Manyatshe had until close of business yesterday to file his opposition papers, but instead filed an exception, citing technical issues around several aspects of Henderson's claim.

Henderson's lawyer, Louise Viljoen, says these exceptions are “ridiculous” and accused Manyatshe of trying to delay a default judgement.

Had Manyatshe not filed anything by the end of business yesterday, Viljoen would have approached the court to issue a default judgement against him. This, she explains, would allow Henderson to attach Manyatshe's assets, including vehicles and property, to recoup his lost income.

In addition, says Viljoen, according to the law, a default judgement would prevent Manyatshe from becoming a director of a company.

Legal battle

Viljoen now has 15 days in which to amend Henderson's claim, but says she will give this her urgent attention as he has a strong case. Viljoen says Manyatshe had requested more time in which to file his plea, but Henderson denied this request.

Once the corrected claim has been lodged with the court, Manyatshe has a few days in which to file his plea, says Viljoen. She explains that if he again misses the deadline, she will approach the court for a default judgement.

Henderson claims R6.2 million, based on the 450 days he spent working on the legal wrangle. He also claims an alternative amount of R5.4 million, which he could have earned had he not wasted hours working on Manyatshe's case.

Henderson's claim is based on the amount of time he spent clearing Manyatshe's name after damning media articles were published in which then SAPO CEO Khutso Mampeule accused Manyatshe of fraud.

The allegations of fraud hinged around a controversial refurbishment contract, worth R2 billion, which Manyatshe awarded to Vision Design House during his time at SAPO. Media articles at the time alleged he had abused his position and not followed proper procedure when awarding the deal.

Manyatshe subsequently sued SAPO for R270 million for reputational damage. Henderson's claim indicates Manyatshe left MTN early as a result of the damage to his name and extraordinary stress.

According to Henderson's court papers, Manyatshe agreed to pay 10% of any settlement amount reached with the post office. However, Manyatshe settled for a written apology in 2008, entitling Henderson to 10% of a zero-rand settlement.

Henderson contends he was meant to be part of any settlement process, and would never have condoned an apology. He is confident of winning the case and says “fact is easier to defend than fiction”.

Manyatshe this morning refused to comment. He told ITWeb: “I have nothing to say to you and I also ask you not to call me again.”

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