IT services company EOH has been hit by top leadership resignations, a day before the company is expected to publish the findings of an independent investigation into alleged corruption involving public sector contracts.
In a statement this afternoon, EOH announced the resignations of non-executive director, Pumeza Bam; executive director and CEO of EOH subsidiary Nextec, Zunaid Mayet; and executive director and CEO of EOH's ICT business, Rob Godlonton.
“Non-executive director Pumeza Bam has resigned from the EOH Holdings board and various other EOH subsidiary boards and trusts with effect from 12 July 2019,” says EOH.
Bam served EOH as an executive director for seven years and most recently as a non-executive director for the past two years.
It adds: “Executive director and CEO of EOH subsidiary Nextec, Zunaid Mayet, has resigned as the CEO of Nextec and from the EOH Holdings board and various other EOH subsidiary boards with effect from 12 July 2019.”
A major restructuring exercise at EOH in June last year saw Mayet relinquishing his role as EOH CEO. He was then appointed as CEO of Nextec. Stephen van Coller was appointed EOH Group CEO.
Mayet has been at EOH for 10 years and a member of the board for the last two years. He has been involved in driving the new strategy, which included the creation of Nextec, and setting the wheels in motion for an enhanced governance process.
In order to ensure a smooth transition, Mayet will assist with the handover of Nextec by 31 October, the JSE-listed company says.
It notes that Mayet intends embarking on a new entrepreneurial venture.
“Executive director and CEO of EOH’s ICT business, Rob Godlonton, has resigned from his role as CEO of the ICT business and various EOH subsidiary boards with effect from 12 July 2019,” says the IT services company.
Godlonton has been at EOH for over 11 years and has been leading the EOH ICT business in South Africa with energy and dedication, the company says.
In order to ensure a smooth transition, Godlonton will assist with the handover of the ICT business by 31 October 2019.
“The board wishes to thank Pumeza, Zunaid and Rob for their commitment and contribution to EOH,” the company says.
EOH Group chief executive officer Stephen van Coller and group financial director Megan Pydigadu will assume a caretaking leadership role for the ICT and Nextec business units on an interim basis.
They will ensure staff remain engaged and that seamless, high-quality client delivery continues, EOH says.
EOH launched an internal investigation into its public sector contracts earlier this year after software giant Microsoft in February terminated its channel partner agreement with the company.
Microsoft’s decision was informed by a report by an anonymous whistle-blower who filed a complaint with the US Securities and Exchange Commission about alleged malfeasance to do with a R120 million contract with the SA Department of Defence.
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