Stock in listed Pinnacle Holdings shed R5 today, to close at R15, after the company said its director, Takalani Tshivhase, had been charged in connection with an alleged attempt to bribe a lieutenant general of the South African Police Service (SAPS) with R5 million.
Pinnacle made this revelation today in a statement to shareholders. The decline in its stock price was contrary to the bourse's overall movement, with the JSE's all share index gaining 1.09%.
The group said in its statement that the alleged bribery took place about 14 months ago, around 16 January last year.
According to the statement, Tshivhase has denied all allegations of attempted bribery, and will defend the charges. It did not provide further details as to the nature of the bribe.
"From the evidence thus far available to the company, the company is satisfied that there is no reason to doubt the veracity of Mr Tshivhase's denial of the allegations," it says.
Pinnacle adds it will review the matter as further information becomes available and inform shareholders accordingly. The SAPS says 59-year-old Tshivhase this morning reappeared in the Pretoria Specialised Commercial Crimes Court on a charge of corruption and his case was postponed to 24 April for further investigation.
Tshivhase was arrested at his office in Kempton Park on 5 March and was released on R10 000 bail the same day, according to the SAPS.
The accused allegedly offered a lieutenant general in SAPS' technology management environment R5 million to secure a multimillion-rand tender for Pinnacle, says SAPS. The lieutenant general's office had advertised the tender, it notes.
"This arrest should serve as a reminder to companies doing business with government that corruption is not an option in securing business deals," said Anwa Dramat, national head of the Hawks.
Pinnacle's Web site notes Tshivhase joined the company in 2003, after a "successful and varied career in government and commerce".
It adds: "During his tenure at Pinnacle, he has demonstrably contributed to the growth and success of the Pinnacle Group through the successful penetration of key accounts, operational management and strategic direction."
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