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[2016] ZAWCHC 188
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Democratic Alliance v South African Broadcasting Corporation SOC Ltd (SABC) and Others; Democratic Alliance v
Motsoeneng
and Others (3104/2016; 18107/16) [2016] ZAWCHC 188; [2017] 2 BLLR 153 (WCC); [2017] 1 All SA 530 (WCC) (12 December 2016)
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] [Hide Context] THE HIGH COURT OF SOUTH AFRICA
(WESTERN CAPE DIVISION, CAPE TOWN)
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In the matter between |
Case No: 3104/2016 |
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DEMOCRATIC ALLIANCE |
APPLICANT |
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and |
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THE SOUTH AFRICAN BROADCASTING CORPORATION SOC LTD (“SABC”) |
1st RESPONDENT |
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THE BOARD OF DIRECTORS OF THE SABC |
2nd RESPONDENT |
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THE CHAIRPERSON OF THE BOARD OF DIRECTORS OF THE SABC |
3rd RESPONDENT |
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THE MINISTER OF COMMUNICATIONS |
4th RESPONDENT |
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5th RESPONDENT |
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WJ EDELING N.O. |
6th RESPONDENT |
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THUMISO PRINCE PHALANE N.O. |
7th RESPONDENT |
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THE PUBLIC PROTECTOR |
8th RESPONDENT |
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And in the matter between |
Case No:18107/16 |
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DEMOCRATIC ALLIANCE |
APPLICANT |
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and |
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1st RESPONDENT |
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THE SOUTH AFRICAN BROADCASTING CORPORATION SOC LTD (“SABC”) |
2nd RESPONDENT |
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THE BOARD OF DIRECTORS OF THE SABC |
3rd RESPONDENT |
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THE ACTING GROUP CHIEF EXECUTIVE OFFICER OF THE SABC |
4th RESPONDENT |
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THE PUBLIC PROTECTOR |
5th RESPONDENT |
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MBULAHENI MAGUVHE |
6th RESPONDENT |
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LEAH THABISILE KHUMALO |
7th RESPONDENT |
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JAMES AGUMA |
8th RESPONDENT |
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AUDREY RAPHELA |
9th RESPONDENT |
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NOMVUYO MEMORY MHLAKAZA |
10th RESPONDENT |
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NDIVHONISWANI TSHIDZUMBA |
11th RESPONDENT |
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VUSI MAVUSO |
12th RESPONDENT |
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KRISH NAIDOO |
13th RESPONDENT |
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BESSIE TUGWANA |
14th RESPONDENT |
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THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE FOR COMMUNICATIONS OF THE NATIONAL ASSEMBLY |
15th RESPONDENT |
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THE SPEAKER OF THE NATIONAL ASSEMBLY |
16th RESPONDENT |
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THE MINISTER OF COMMUNICATIONS |
17th RESPONDENT |
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AZWIHANGWISI FAITH MUTHAMBI |
18th RESPONDENT |
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THE PRESIDENT OF THE REPUBLIC OF SOUTH AFRICA |
19th RESPONDENT |
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AFRICAN NATIONAL CONGRESS |
20th RESPONDENT |
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THANDEKA GQUBULE |
21st RESPONDENT |
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FOETA KRIGE |
22nd RESPONDENT |
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SUNA VENTER |
23rd RESPONDENT |
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BUSISIWE NTULI |
24th RESPONDENT |
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KRIVANI PILLAY |
25th RESPONDENT |
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JACQUES STEENKAMP |
26th RESPONDENT |
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LUKHANYO CALATA |
27th RESPONDENT |
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VUYO MVOKO |
28th RESPONDENT |
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SOS SUPPORT PUBLIC BROADCASTING COALITION |
29th RESPONDENT |
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MEDIA MONITORING AFRICA |
30th RESPONDENT |
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HELEN SUZMAN FOUNDATION |
31st RESPONDENT |
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FREEDOM OF EXPRESSION INSTITUTE |
32nd RESPONDENT |
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SOUTH AFRICAN NATIONAL EDITORS FORUM |
33rd RESPONDENT |
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RIGHT2KNOW CAMPAIGN |
34th RESPONDENT |
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BROADCASTING, ELECTRONIC, MEDIA & ALLIED WORKERS UNION |
35th RESPONDENT |
Coram: LE GRANGE & ROGERS JJ
Heard: 23 & 24 NOVEMBER 2016
Delivered: 12 DECEMBER 2016
JUDGMENT
ROGERS J (LE GRANGE J concurring):
Introduction
[1]
These applications have their origin in the
Public Protector’s report into governance at the South African
Broadcasting Corporation
Ltd (‘SABC’) and the litigation
which ensued in relation to the appointment of Mr GH
Motsoeneng
(‘Motsoeneng
’)
as the SABC’s Chief Operating
Officer (‘COO’). I shall refer to that litigation as the
COO application.
Motsoeneng
’s
appointment as COO was eventually
set aside. Although various forms of relief are claimed in the
present applications, the first
application’s focus is a
disciplinary tribunal’s decision in December 2015 dismissing
charges of misconduct brought
against
Motsoeneng
by the SABC while
the second application’s focus is
Motsoeneng
’s subsequent
appointment as Group
Executive: Corporate Affairs (‘GECA’).
I shall refer thus to these two applications as the DC application
and the CA
application respectively.
[2]
The applicant in both matters is the Democratic
Alliance (‘DA’). The active respondents are the Public
Protector (largely
supportive of the relief claimed by the DA), the
SABC,
Motsoeneng
and the Minister of Communications. Mr Katz SC
leading Ms Mayosi,
Ms Bleazard and Mr Bishop appeared for the DA, Mr
Labuschagne SC leading Ms Rajab-Budlender for the Public Protector,
Mr S du Toit
SC leading Mr Premhid
for the SABC, Mr A Bester leading Mr
Ayayee for
Motsoeneng
and Mr Maenetje SC leading Ms Patel for the Minister.
[3] In terms of the Broadcasting Act 4 of 1999 read with the SABC’s Memorandum of Incorporation (‘MOI’), the SABC is required to have a board of 15 directors of whom 12 must be non-executive, the remaining three being the Group Chief Executive Officer (‘GCEO’), the COO and the Chief Financial Officer (‘CFO’). The non-executive members are appointed by the President on the advice of the National Assembly. The three executive members are appointed by the board after obtaining the Minister’s approval.[1] The same applies to a person acting in one of the three executive positions. In terms of s 13(10), nine members of the board, who must include the chairperson or deputy chairperson, constitute a quorum at any meeting.
Factual background
Motsoeneng
’s
employment history 1995 - 2011
[4]
Motsoeneng
began employment with the SABC in 1995
as a trainee journalist. In June 2003, following several earlier
promotions, he
was appointed as Executive Producer of Lesedi FM.
Questions have arisen as to whether
Motsoeneng
misrepresented his
qualifications
in 1995 and 2003.
[5] In December 2006 he was dismissed pursuant to disciplinary proceedings unrelated to his qualifications. He pursued an internal appeal, in the meanwhile taking up temporary employment with the Free State Provincial Government. In April 2008 his appeal succeeded, pursuant to which he was offered re-employment as Producer: Radio Current Affairs at Lesedi FM. He was promoted in November 2009, August 2010 and April 2011, the last of these promotions being to the post of Group Executive: Stakeholder Relations and Provinces (‘GESR’). In consequence of this appointment his salary increased from R367 584 to R1,4 million.
[6]
In 2007 one Mvuzo
Mbebe was recommended by the board for appointment as
COO. When this recommendation was reversed, Mbebe launched
proceedings against
the SABC, resulting in an interdict in October
2008 which prohibited the SABC from appointing a permanent COO
pending the outcome
of a review application. Those proceedings were
only settled in 2014. In the meanwhile in November 2011
Motsoeneng
was appointed
as Acting COO.
The Public Protector’s investigation and report
[7]
In late 2011 and early 2012 the Public Protector
received complaints from former employees relating to alleged
irregular appointments
by
Motsoeneng
and systemic maladministration.
In February 2012 the board voted to remove
Motsoeneng
as Acting COO
but following
various resignations a new board in March 2012 reversed
Motsoeneng
’s removal. With effect from 1 April 2012 his total
remuneration
package was increased to R2,4 million.
[8]
The Public Protector’s investigation
proceeded over 2012 and 2013. At the same time
Motsoeneng
allegedly
led or participated
in a purge of senior employees. In July 2013 the
Public Protector, as part of her investigation, conducted an
interview with
Motsoeneng
.
In November 2013 she made a provisional
report available to affected persons, including
Motsoeneng
. In
December 2013 he lodged
a written response.
[9]
The Public Protector’s final report was
issued on 17 February 2014. She made various findings adverse to
Motsoeneng
, the Minister
and others. The following is a summary of
the main findings pertaining to
Motsoeneng
:
·
His appointment as Acting COO was
irregular. Inter alia the then chairperson of the board, Dr Ngubane,
acted irregularly by altering
the qualification requirements for the
appointment to remove the academic qualifications previously
advertised. This was to accommodate
Motsoeneng
’s lack of the
required qualifications.
·
Motsoeneng
’s salary progression was
irregular in that he received three increases in a single year. She
was unable to rule
out bad faith on
Motsoeneng
’s part, her
discomfort being accentuated by the fact that each increase was
triggered by
Motsoeneng
’s
presenting requests for increases to
new incumbents who would have relied on him for guidance in
compliance with corporate prescripts
and ethics.
·
Motsoeneng
committed fraud by stating in
his application form for employment (ie in 1995) that he had
completed matric. He fabricated
the symbols he had supposedly
obtained. The Public Protector found it disconcerting that he had
tried to blame Ms Mari Swanepoel
(‘Swanepoel’), a former
employee in the SABC’s Human Resources department, and SABC
management. He would not
have been appointed in 1995 had he not lied
about his qualifications. He repeated the lie in 2003 when he applied
for the post
of Executive Producer, a position to which he should
never have been appointed.
·
She was concerned that
Motsoeneng
’s
personnel file disappeared. The circumstantial evidence pointed to a
motive on his part
to do away with it but incontrovertible evidence
did not allow a definite conclusion.
·
The appointment of Ms Guga
Duda (‘Duda’) as CFO in February 2012 was
grossly irregular.
Motsoeneng
was involved in orchestrating that
appointment.
·
Motsoeneng
purged senior staff members,
leading to the avoidable loss of millions of rands in respect of
salaries and settlements.
He directly initiated the termination of
six such employees, including two who had participated in his 2006
disciplinary hearing
(Messrs
Koma, Jiyane, Thulo and Diphoko and Mesd Mbalathi and Ramaphosa). He
was also involved in the premature termination of the
employment
contracts of two further employees (Mesd Ntombela-Nzimande and
Mampane) and the indefinite suspension of
a third (the same Duda whose appointment he had earlier
orchestrated). No proper process was
followed. His actions
constituted improper conduct, abuse of power and maladministration.
·
Motsoeneng
irregularly increased the
salaries of three named staff members (Ms Motsweni, Ms Khumalo and Mr
du Buisson) and certain
freelancers, resulting in an unprecedented
salary bill escalation by R29 million. He was guilty of improper
conduct and maladministration.
·
The GCEO, COO and CFO failed to provide
appropriate support to the board. In particular
Motsoeneng
caused the
board to make irregular
and unlawful decisions.
Motsoeneng
had been
allowed by successive boards to operate above the law.
[10]
Insofar as
Motsoeneng
was concerned, the Public
Protector determined the following as the appropriate remedial action
contemplated
in s 182(1)(c) of the Constitution:
· The board was to ensure that all monies irregularly spent through unlawful and improper actions were recovered from the appropriate persons.
·
The board was to ensure that appropriate
disciplinary action was taken against
Motsoeneng
(i) for his
dishonesty relating to
the misrepresentation of his qualifications;
(ii) abuse of power and improper conduct in the appointment and
salary increments
of Ms Sully Motsweni; (iii) his role in the
purging of senior staff members resulting in numerous labour disputes
and settlements
against the SABC.
·
The board was to ensure that any fruitless
and wasteful expenditure incurred as a result of the regular salary
increments to
Motsoeneng
,
Motsweni and others were recovered from the
appropriate persons.
[11] The Public Protector directed the Minister and board to submit implementation plans indicating how the remedial action would be implemented. This was to be done within 30 days of her report. She further directed that all remedial action be finalised within six months, with a final report to be presented to her office by 16 August 2014.
[12] One of the board’s reactions to the Public Protector’s report was to engage Mchunu Attorneys to prepare a report. This report appears to have been aimed at showing that the Public Protector should not have decreed the remedial action contained in her report.
Motsoeneng
’s
appointment as COO and the COO litigation
[13]
On the evening of 7 July 2014 the board resolved
to recommend to the Minister that
Motsoeneng
be appointed as the COO.
On the following
day the Minister so appointed him. This was at a
time when the SABC had taken no steps to have the Public Protector’s
report
set aside on review and had not submitted an implementation
plan to her. The circumstances in which the board made this
recommendation,
and the Minister’s involvement in it, were the
subject of disputed allegations in the COO application. On 10 July
2014 the
Minister stated in a press briefing that she and the board
were satisfied that the Mchunu report had cleared
Motsoeneng
of any
wrongdoing.
[14] I pause to mention that there is some dispute as to whether the interdict granted in favour of Mbebe in 2008 to prevent the SABC from appointing a person to the position of COO was still in force as at July 2014. Nothing turns on this for present purposes.
[15]
On 16 July 2014 the DA launched the COO
application to set aside
Motsoeneng
’s appointment as COO. The
DA claimed interim relief
in Part A and final review relief in Part B
of its notice of motion. The Part A relief was heard by Schippers J
in August 2014.
On 24 October 2014 he delivered judgment.[2]
He directed the board to commence disciplinary proceedings against
Motsoeneng
within 14 days, such proceedings to be completed
within 60
days of commencement. Pending finalisation of the disciplinary
proceedings,
Motsoeneng
was to be suspended on full pay.
[16]
There were applications by the SABC,
Motsoeneng
and the Minister for leave to appeal and an application by the DA
that the Part
A order be implemented pending the determination of any
such appeal. On 23 April 2015 Schippers J granted both
applications.[3]
Despite this order,
Motsoeneng
continued in office as COO and no
disciplinary proceedings were initiated.
[17]
The Part A appeal was heard in September 2015.
The Supreme Court of Appeal (‘SCA’) delivered judgment on
8 October 2015.[4]
The appeal was dismissed. This meant that disciplinary proceedings
had to be initiated and completed in accordance with Schippers
J’s
order and that
Motsoeneng
was to be suspended on full pay.
[18] In its judgment the SCA held that the Public Protector’s findings and remedial action had a stronger legal effect than Schippers J had accorded them. They were binding unless and until set aside on review. The SCA was critical of the board’s conduct in instituting an impermissible parallel investigation through Mchunu Attorneys.
[19]
Although the disciplinary enquiry and the hearing
of the Part B relief were matters which lay in the future, the SCA
nevertheless
described
Motsoeneng
’s version to the Public
Protector about his matric qualification as ‘muddled and
unclear’
and as revealing an ‘alarming lack of insight’.
He appeared not fully to appreciate that he had been guilty of a
deliberate
falsehood. His explanation lacked contrition and honesty.
The SCA also commented adversely on his more recent lack of candour
in
relation to Swanepoel, something to which I shall revert
presently. Regarding the board’s recent conduct, the SCA said
the
following (para 56):
‘In the face of the Public
Protector’s serious findings of dishonesty, abuse of power and
maladministration against Mr
Motsoeneng
,
the SABC purported to
recommend him for appointment as the permanent COO…[D]espite
the appellants’
protestations to the contrary, the permanent appointment of Mr
Motsoeneng
is inconsistent with the Public
Protector’s findings
and remedial action and is inconsistent with the principles of
cooperative governance’.
[20]
The lack of candour in relation to Swanepoel
arose in this way.
Motsoeneng
claimed to the Public Protector that
when he sought guidance
from the HR department in 1995 as to how he
should complete his application form, he disclosed that he did not
have a matric certificate
and that he was uncertain whether he
qualified for one because he had only recently written supplementary
examinations. Swanepoel
allegedly told him that he should give his
highest standard passed as “10” and that he should
complete the form as
best he could. He subsequently went to Pretoria
where he ascertained that he had not met the minimum requirements for
a matric
certificate. He says he informed Swanepoel and one Alwyn
Klopper of this fact.
Motsoeneng
told the Public Protector (in
December
2013) and Schippers J (in August/September 2014) that he had
tried to make contact with Swanepoel to obtain an affidavit from her
but had been unsuccessful. He expressed the belief that she would
have confirmed his version.[5]
[21]
By the time the DA filed its application for
leave to execute it had traced Swanepoel and obtained an affidavit
from her. In this
affidavit[6]
she testified that she had made it clear to
Motsoeneng
in 1995 that
he should not fill in a qualification which he did not have
and that
he would have to provide an original certificate to prove whatever he
inserted. She testified that after he completed
the form she
repeatedly asked him to produce the matric certificate which he
promised but failed to do. She left the SABC in 2006
and instituted a
claim against the SABC for sexual harassment (unrelated to
Motsoeneng
). She said that in late 2012 (this would
have been around
the time the first complaints were laid with the Public Protector),
Motsoeneng
phoned her to say that the SABC
was trying to fire him and
that his attorneys wanted her to make an affidavit about his matric
certificate in which she should
say that he had told her he did not
have a matric qualification. She refused to make the affidavit and
told
Motsoeneng
she did
not wish to talk to him as her sexual
harassment case was still pending.
Motsoeneng
replied that he knew
about that case and asked
what she wanted. She said R2 million. He
replied that he could organise the payment if she was willing to
depose to the affidavit
about the certificate. She refused. For
several weeks he pestered her with calls. She ignored some of these
and answered others.
When she spoke with him, he asked if she would
at least be willing to talk to him or his attorneys. She said that
she would do
so but not lie in an affidavit. The matter was not taken
further.
[22]
Motsoeneng
’s reply to this affidavit[7]
was to admit the recent communications with Swanepoel. He claimed
that his previous allegation to the effect that he had been unable
to
trace her had to be understood as meaning that he could not make
contact with her for the purpose of obtaining an affidavit.
He denied
having attempted to bribe her. This is obviously unsatisfactory and
it is hardly surprising that the SCA made the adverse
observation it
did.
[23]
I should add that in his written response to the
Public Protector in December 2013, a copy of which he has attached to
his opposing
affidavit in the CA application,
Motsoeneng
annexed a
letter Swanepoel wrote on 5 September 2000 ‘To Whom It May
Concern’.
Motsoeneng
claimed that this letter supported his
version. In the letter Swanepoel said that she had prepared
Motsoeneng
’s
1995 appointment letter for signature by her
superior Ms Botes. The latter was aware that
Motsoeneng
had not
handed in his matric
certificate because Swanepoel had written on
Motsoeneng
’s job application form ‘outstanding matric
certificate March
1995’. She concluded:
‘Mr
Motsoeneng
thereafter went to Pretoria to see if he can get a matric
certificate to combine his symbols. He informed me on the
date of
appointment that he was not sure of the symbols of his subjects and I
informed him that it was fine.’
As
Schippers J pointed out in his decision granting leave to appeal and
leave to execute, this is very far from confirming
Motsoeneng
’s
version. On the contrary, it indicates an understanding on
Swanepoel’s part that
Motsoeneng
had passed matric but had not
yet furnished his certificate to the HR Department and that he had
passed his matric subjects but was uncertain about the symbols
obtained.
The disciplinary proceedings and Davis J’s judgment
[24]
On 9 October 2015 the chairperson of the board
wrote to the Minister to say that in the board’s view the
effect of the SCA’s
decision was that disciplinary proceedings
had to be initiated against
Motsoeneng
forthwith. In the light of the
‘previous
view held by the board about the matter’, the
board deemed it prudent to request the Minister to be in charge of
appointing
the disciplinary chairperson and initiator (ie pro forma
initiator). The board would concur in her appointments. The Minister
replied
the same day appointing Mr W Mokhari SC as the disciplinary
chairperson and Mr Sandile July of Werksmans Attorneys as the
initiator.
Charges were served on
Motsoeneng
on 12 October 2015. Six
charges were preferred:
(i) that
Motsoeneng
misrepresented in 1995 that he had passed matric and
obtained specified symbols in various subjects; and that he
had
persisted with this misrepresentation in subsequent applications for
employment within the SABC;
(ii) that in applying for the position of Executive Producer in 2003 he falsely stated that one of his previous jobs was as Head of Communications at the Department of Tourism and Economic Affairs in the Northern Cape;
(iii) abuse of his position as Acting COO in relation to Duda’s appointment in 2011;
(iv) gross misconduct in relation to the promotion of Motsweni in 2012;
(v) abuse of his position as Acting COO in unfairly dismissing six named senior staff members who differed in opinion from him (these were six of the nine names mentioned in the Public Protector’s findings – the omitted names were Ntombela-Nzimande, Mampane and Duda);
(vi) gross misconduct in unilaterally increasing his own salary and those of Motsweni and Khumalo (Du Buisson’s name was omitted).
[25]
At this point I flag an important issue relating
to the disciplinary action forming part of the Public Protector’s
remedial
action. The DA contends that for as long as the Public
Protector’s report stands her factual findings cannot be
challenged.
The disciplinary proceedings had to be conducted on the
basis that
Motsoeneng
was guilty of the misconduct, the issue being
the
appropriate sanction. At least originally, the SABC did not share
this view. Charges were framed and the hearing conducted on the
basis
that the merits were in issue. In argument before us, the Public
Protector’s counsel did not agree with the DA’s
contention that the disciplinary proceedings were sanction-only
proceedings.
[26]
Although disciplinary charges were commenced
against
Motsoeneng
, the SABC did not give effect to his suspension.
In mid-October
2015 the DA delivered an application to hold the SABC
in contempt. This was resolved by an arrangement in terms whereof
Motsoeneng
took long leave accompanied by various undertakings from
the SABC.
[27]
Motsoeneng
and the Minister filed applications
with the Constitutional Court for leave to appeal the SCA’s
judgment.
[28] For a while the disciplinary proceedings, the Part B proceedings in the COO application and the applications for leave to appeal the Part A relief to the Constitutional Court continued in parallel. Davis J heard argument on the Part B relief on 12-13 October 2015 and reserved judgment. On 30 October 2015, by which date Davis J had not yet delivered judgment, the disciplinary hearing convened before Mr Mokhari. He queried whether it made sense to have parallel proceedings in the Part B case and the disciplinary case. He postponed the disciplinary hearing sine die. In mid-November 2015, however, and presumably with an eye on the 60-day period within which the court had ordered the disciplinary proceedings to be finalised, Mr Mokhari directed that the disciplinary case would be heard over the period 1-4 December 2015.
[29]
On 27 November 2015 Davis J delivered judgment on
the Part B relief.[8]
He set aside
Motsoeneng
’s appointment as COO. Because the
application for leave to appeal the Part A case to the Constitutional
Court was still pending, he dealt with the Part B case on two
alternative bases, namely the law as laid down in the SCA’s
judgment and the law as it would be if the Constitutional Court
reinstated Schippers J’s approach. On the basis of the SCA’s
approach, he said that because the Public Protector’s report
was binding on the SABC and the Minister, it was unarguable
to
contend that it was rational to appoint
Motsoeneng
as the permanent
COO when he still had to be subjected to disciplinary action.
On the
alternative basis, he considered that the object of the power of
appointment was to ensure that the SABC had a COO who was
not only
competent to perform the work but who would maintain the highest
standards of integrity, responsibility and accountability,
all of
which were objectives contained in the SABC’s Charter. Even if
it had been permissible for the SABC to commission
the Mchunu report,
that report did not address the Public Protector’s findings in
sufficient detail to dispel the doubts
regarding
Motsoeneng
’s
integrity. There was a manifest need for an institution such as the
SABC, which was meant to be transparent
and accountable, to examine
exhaustively all the disputes regarding
Motsoeneng
’s integrity
and qualifications before appointing
him.
[30] Davis J declined to make the further order sought by the DA to the effect that the board be compelled within 60 days to recommend to the Minister the appointment of a suitably qualified COO. In that regard Davis J said the following (para 53):
‘Much has been made by
respondents of Mr
Motsoeneng
’s achievements at the SABC and his
“unique” ability to be the
COO of the SABC. If it were
properly shown that none of the allegations made against him are
sustainable, it would be unfair, and
hence premature at this stage,
to preclude him from such consideration. In summary, it is preferable
to allow the relevant disciplinary
proceedings to run their course
and to reflect this finding in the order…’.
[31]
I flag another issue at this stage, namely the
legal effect of Davis J’s order on
Motsoeneng
’s
employment status. Nobody
suggests that with the setting aside of his
appointment as the permanent COO he reverted to the position of
Acting COO. The DA
contends, however, that he ceased to be an
employee at all. The SABC contends that he reverted to the last
previous permanent position
he held, namely GESR, a position to which
he had been appointed in April 2011 and which was later renamed Group
Executive: Corporate
Affairs (‘GECA’).
[32]
The disciplinary proceedings resumed before Mr
Mokhari on 1 December 2016 with Davis J’s judgment hot off the
press. Mr Mokhari
invited the legal representatives to address him as
to whether the disciplinary proceedings had become moot. By this
stage, and
for reasons not apparent from the record, Mr July seems to
have been replaced by a Mr Ledwaba as the initiator. Despite
submissions
to the contrary by Mr Ledwaba and
Motsoeneng
’s
attorney Mr Majavu, Mr Mokhari ruled that the setting aside of
Motsoeneng
’s
appointment as COO was a material intervening
factor which justified terminating the disciplinary proceedings
forthwith. This appears
to have been on the basis that the charges
were brought against him in his capacity as COO for things he had
done as Acting COO
(this is factually incorrect in relation to the
first and second counts in the charge sheet of 12 October 2015). Mr
Mokhari’s
ruling envisaged that disciplinary proceedings might
be recommenced if Davis J’s order were reversed on appeal.
[33] It appears that the SABC was not satisfied with this outcome. A new initiator, Mr Phalane, and a new disciplinary chairperson, Mr WJ Edeling (an advocate from Bloemfontein), were appointed. How this occurred is not disclosed in the record before us. There is an affidavit by the Minister that she played no part in their appointment. In the disciplinary review the deponent to the DA’s founding affidavit, Mr J Selfe, says that the board was not involved, for which he relies on an extract from the affidavit in other proceedings of Mr FL Matlala, the (then) suspended GCEO, who was disputing the validity of his suspension. I should mention, though, that if Matlala was suspended before December 2015 he may not have been involved in the decision-making process. Be that as it may, the SABC has not responded to the DA’s allegation that the board was not involved.
[34]
The new disciplinary process was conducted with
indecent haste, though this may have been attributable in part to the
60-day deadline
and Mr Mokhari’s unexpected approach. Be that
as it may, in circumstances which have not been explained, someone
determined
that the new hearing was to start on Monday 7 December
2015. According to
Motsoeneng
, the new disciplinary proceedings were
only
initiated on that day and he only learnt of the appointment of a
new chairperson when he arrived at the venue. Mr Phalane himself
was
only briefed on the morning of 7 December 2015. Unsurprisingly he
asked for a postponement to which
Motsoeneng
’s attorney,
Mr
Majavu, objected. After getting further instructions (from whom does
not appear), Mr Phalane said that he would be ready to
start at
20h00. Mr Edeling then granted a postponement to the following
morning.
[35]
From Mr Edeling’s subsequent decision, it
appears that only three charges were presented at the hearing, namely
(i) the
misrepresentation of
Motsoeneng
’s qualifications
in 1995; (ii) misconduct in relation to Motsweni’s
promotion;
(iii) misconduct in relation to the dismissal of the
six named staff members. This corresponded to part of the
original
first charge and the fourth and fifth charges. The following
parts of the original charge sheet were not pursued: (a) the
original first charge dealing with
Motsoeneng
’s repetition of
the matric misrepresentation in post-1995 job applications;
(b) the
second charge (the alleged misrepresentation regarding his supposed
employment at the Northern Cape Provincial Government);
(c) the
third charge (concerning Duda’s appointment); and (d) the
sixth charge (the salary increases granted to
himself and two other
named staff members).
[36] At the start of proceedings on the Tuesday Mr Phalane asked that three of his witnesses be permitted to testify in camera because they were still employed at the SABC. Mr Edeling provisionally allowed this in the face of objection from Mr Majavu. After hearing the evidence, Mr Edeling ruled that the evidence should be open to all. He refused an application for the evidence of two further witnesses to be heard in camera. It appears that the evidence of the five witnesses ran over several days. One of these witnesses, Mr Paul Tati, previously employed in the SABC’s HR department, placed on record that he currently had a three-year contract with the SABC. The person who negotiated the contract with him had recently been suspended and he believed this was an act of intimidation towards him.
[37] On the Tuesday there was a debate about whether Mr Phalane and his witnesses should be permitted to refer to the contents of a file of documents, exhibit “F”. In the face of objection by Mr Majavu, Mr Edeling provisionally allowed the exhibit into evidence, subject to its contents in due course being proved by a certain Ms Oosthuizen. Mr Phalane indicated that he might require a postponement to procure Oosthuizen’s testimony. Mr Edeling said that Mr Phalane would have to provide proper reasons for a postponement. When, after leading his five witnesses, Mr Phalane asked for a postponement on the basis that Oosthuizen would only be available on 11 January 2016, Mr Edeling upheld Mr Majavu’s opposition on the ground that Mr Phalane had not adequately motivated the request. Mr Edeling made a consequential ruling that exhibit “F” was inadmissible.
[38]
Mr Majavu then presented
Motsoeneng
’s case.
He did not call his client. His only witness was Alwyn Klopper who
testified about
the circumstances in which
Motsoeneng
was employed in
1995 and the knowledge of relevant role players that
Motsoeneng
did
not have
matric.
[39]
Mr Edeling delivered an ex tempore judgment on 12
December 2015 in which he discharged
Motsoeneng
on all three counts.
As to the
first count (the 1995 misrepresentation), he decided that
the document presented by Mr Phalane as being
Motsoeneng
’s 1995
job application, exhibit “E”, was inadmissible. The
document was a copy, not an original, and had certain features
which
Mr Edeling found suspicious. Tati had not been with the SABC in 1995
and could not give direct evidence as to how the application
form had
been completed. Mr Edeling found it ‘very strange’ that
Mr Phalane had not called the relevant HR employees
in Bloemfontein
at the time, Ms Botes and Ms Swanepoel. Based on Kloppers’
evidence, he was concerned that the Bloemfontein
HR office had been
opposed to transformation and that the two ladies in question may
have ‘influenced’ Tati with wrong
information. At the end
of his judgment Mr Edeling elevated this suspicion to a finding that
these ladies were ‘clearly lying’
to Tati – this
despite the fact that he had not heard from them. Accepting Kloppers’
testimony, he acquitted
Motsoeneng
on the first count.
[40]
As to the second count (concerning Motsweni), Mr
Edeling said he could not understand why the charge had even been put
to
Motsoeneng
since no evidence in support of it was led. Two
witnesses whose evidence might have had a bearing on that charge (Mr
Mabaso and
Ms Francois) gave generalised evidence about HR policies
but could not say anything on the Motsweni affair.
[41]
As to the third charge (
Motsoeneng
’s role
in the dismissal of six named staff members), direct evidence was
only led in regard
to two of them, Diphoko
and Koma. The former outright denied that
Motsoeneng
was in any way involved in his dismissal and said that the
same was true of the dismissals
of Mbalathi
and Ramaphosa. Diphoko fingered another person as
responsible for the dismissals. It appears that Mr Phalane may not
even have consulted
with Diphoko before leading his evidence because
Mr Edeling remarked that it was clear from Diphoko’s reaction
to the details
in the charge that he was seeing them for the first
time in the witness box. The evidence of Koma
was in Mr Edeling’s opinion equivocal.
[42]
So the state of play at the end of 2015 was that
there was a pending application for leave to appeal against the SCA’s
dismissal
of the Part A appeal, a pending application to appeal Davis
J’s setting aside of
Motsoeneng
’s appointment as COO, and
a disciplinary decision clearing
Motsoeneng
on the attenuated
charges. It appears that following the disciplinary decision,
Motsoeneng
resumed his duties as COO, the effect of Davis J’s
decision having been suspended by the applications for leave to
appeal.
The DC application and the Part B appeal proceedings
[43]
The correctness of the SCA’s view of the
legal effect of the Public Protector’s factual findings and
remedial action
would have been to the forefront of the proposed
appeal by the SABC, the Minister and
Motsoeneng
to the Constitutional
Court. Those
same issues were to be considered in the Nkandla
case, in which the Constitutional Court heard argument on 9 February
2016 and delivered judgment on 31 March 2016.[9]
Even before the Nkandla
hearing the would-be appellants in the SABC case withdrew their
applications for leave to appeal, a fact formally recorded by the
Constitutional Court on 3 February 2016. This meant that Schippers
J’s order on the Part A relief could no longer be questioned.
[44]
The applications for leave to appeal to the
Constitutional Court were presumably withdrawn because the appellants
no longer regarded
the Part A order as having practical effect. With
the granting of Davis J’s order the need to suspend
Motsoeneng
as COO fell
away, subject to any appeal against Davis J’s
judgment. And if the disciplinary proceedings before Mr Edeling
constituted
compliance with the Public Protector’s remedial
action, the basis for suspension had in any event lapsed.
[45]
As to the pending applications for leave to
appeal against Davis J’s judgment, Davis J dismissed them on 23
May 2016. The
SCA dismissed petitions on 14 September 2016. The
would-be appellants did not take it further. So 14 September 2016 was
the date
by which it was finally determined that
Motsoeneng
’s
appointment on 8 July 2014 as COO was invalid and set aside.
[46]
As to Mr Edeling’s disciplinary judgment,
on 24 February 2016 the DA issued the DC application, the first of
the two applications
before us. Orders were sought (i) declaring
that the SABC and its board had failed to respect and implement the
findings and
remedial action of the Public Protector; (ii) declaring
that they had failed to comply with and had acted in contempt of the
Part A order as confirmed by the SCA; (iii) declaring that the
Minister had improperly interfered in the appointment of the
disciplinary initiator and chairperson; (iv) declaring the
disciplinary proceedings invalid and setting them aside;
(v) directing
the board to commence fresh disciplinary
proceedings against
Motsoeneng
for the purpose of determining an
appropriate sanction
on the basis of the Public Protector’s
findings, with ancillary relief relating to the appointment of the
initiator and chairperson
and public access to the disciplinary
proceedings; (vi) directing that pending the finalisation of the
disciplinary proceedings
Motsoeneng
be suspended from the position of
COO.
[47]
The SABC, the Minister and
Motsoeneng
filed
notices of opposition. The Public Protector, at that stage still Ms
Madonsela, filed
an affidavit broadly supportive of the DA’s
position, though, as subsequently made clear by the Public
Protector’s
counsel in argument, she does not agree with the DA
that the disciplinary proceedings are concerned only with sanction.
[48] The DC application was set down for hearing on this court’s semi-urgent roll on 23 May 2016.
[49]
On 17 May 2016 the SABC issued an application out
of the North Gauteng High Court to have parts of the Public
Protector’s
report reviewed and set aside (‘the PP
application’). These included all the adverse factual findings
against
Motsoeneng
and the SABC and all the remedial action directed
at the SABC’s board. This review application was instituted
some two years
and three months after the issuing of the Public
Protector’s report. The SABC sought condonation for its failure
to comply
with the 180-day time limit prescribed in the Promotion of
Administrative Justice Act 3 of 2000 (‘PAJA’), its
explanation
being that it was only a combination of the DC
application and the Nkandla judgment
that had brought the SABC to the realisation that the Public
Protector’s adverse findings against
Motsoeneng
could
not be
challenged in the disciplinary proceedings unless and until the
relevant parts of the Public Protector’s report were
set aside.
The disciplinary proceedings conducted against
Motsoeneng
in the
latter part of 2015 had thus been misconceived.
[50]
The founding affidavit in the PP application was
made by the SABC’s acting GECA, Mr Jimi Matthews, who had
presumably replaced
Matlala. He alleged that the Public Protector’s
factual findings fell to be reviewed and set aside because they were
incorrect
and did not accord with the objective evidence. The SABC
did not elaborate, saying that it could not do so until the Public
Protector
produced her record in terms of rule 53. The main review
ground advanced was that the Public Protector had acted irregularly
by
making factual findings which could not be challenged by
Motsoeneng
in the disciplinary proceedings. A subsidiary review
ground
was that in terms of s 6(9) of the Public Protector Act
23 of 1994 the Public Protector should not have entertained the
complaint regarding
Motsoeneng
’s qualifications, given that the
conduct
in question had occurred more than two years prior to the
lodging of the complaint.
[51] The SABC has not filed its supplementary founding papers in the PP application. Apparently there is a dispute regarding the rule 53 record. The Public Protector is opposing the PP application. The DA has not been cited as a respondent though it may intervene.
[52]
On 19 May 2016
Motsoeneng
filed opposing papers
in the DC application. He said his affidavit was late because he
originally thought
the SABC would be filing substantive answering
papers. The SABC’s conduct in issuing the PP application
indicated that the
SABC would not now be doing so. He said he did not
wish to enter the fray other than by stating certain facts germane to
himself,
insofar as his rights might be adversely affected by the
relief claimed.
[53] The Minister filed an answering affidavit in the DC application on 19 May 2016 in which she denied unlawful interference in the appointment of the initial initiator and chairperson.
[54] On 20 May 2016 the SABC delivered an urgent application to have the DC application stayed pending the outcome of the PP application. The founding affidavit was again made by Matthews. The SABC contended that it would be in the interests of justice that it should not be required to file answering papers in the DC application until the PP application had been determined. The stay application, which was opposed by the DA and the Public Protector, came before Samela J on 23 May 2016. Having reserved his decision, he handed down judgment on 7 October 2016 dismissing the stay. His main ground for doing so was that the SABC’s right to challenge the Public Protector’s report had been perempted by its conduct in implementing the report by way of the disciplinary proceedings in the latter part of 2015.
[55]
Matters had not stood still between 23 May 2016
and 7 October 2016. On 27 June 2016 Matthews resigned as Acting GCEO,
stating that
in trying to improve things from inside the SABC he had
allowed the corrosive atmosphere to impact negatively on his moral
judgment,
leading to his becoming complicit in many decisions of
which he was not proud. He said he would no longer be part of what
was happening
at the SABC. He subsequently acknowledged in a
televised interview that the recent affidavits he had made on behalf
of the SABC
were inconsistent with his resignation letter. He said
that the SABC would be better off without
Motsoeneng
as its COO, who
had
in his view been exercising unbridled power and conducting a
reign of terror. (
Motsoeneng
’s response in the present
proceedings
is that Matthews is disgruntled by
Motsoeneng
’s
refusal to support a top-up payment to Matthews’ retirement
fund.)
[56] Mr James Aguma (‘Aguma’), the CFO, was appointed as Acting GCEO in Matthews’ place. Ms Audrey Raphela (‘Raphela’) was appointed as Acting CFO.
[57] During June and July 2016 the SABC instituted disciplinary proceedings against eight journalists who had spoken out against its editorial policies. They became known as the SABC Eight. They brought proceedings in the Labour Court and subsequently in the Constitutional Court against the disciplinary proceedings and subsequent dismissals. There were also proceedings by the Helen Suzman Foundation in the North Gauteng High Court challenging certain editorial decisions as amounting to improper censorship. Those proceedings were the subject of agreed interim relief on 20 July 2016.
[58]
As already noted, on 14 September 2016 the SCA
dismissed the petitions for leave to appeal against Davis J’s
judgment. This
meant that the order declaring invalid and setting
aside
Motsoeneng
’s appointment as COO became final. Although
there is
a dispute as to the legal effect of this order on
Motsoeneng
’s employment status, it is common cause that by no
later than
14 September 2016 he ceased to be a director of the SABC,
the directorship having been a statutory incidence of his office as
COO.
It is also common cause that with the lapsing of
Motsoeneng
’s
directorship, the number of directors fell from nine to eight.
The
board had for some time had fewer than the prescribed 15 members but
with the lapsing of
Motsoeneng
’s directorship the
number
dropped below that required for a quorum.
[59]
It appears that as at September 2013 the SABC had
a full board. Attrition occurred as follows: in July 2014 Mr T
Bonakele resigned
as a non-executive director; on December 2014 the
chairperson of the board, Ms Ellen Tshabalala, resigned following a
finding that
she had misrepresented her qualifications; in January
2015 Prof B Khumalo resigned as a non-executive director; and in
March 2015
three non-executive directors – Ms
Kalidass, Mr Lubisi and Ms Zinde (subsequently
deceased) – were dismissed although the dismissals
are subject to a pending legal challenge. This left nine directors, a
number
which reduced to eight on 14 September 2016. Since September
2013 the SABC had also lost two GCEOs, Matlala and Matthews. Since
2008 the SABC has not had a permanent COO and the decision to appoint
Motsoeneng
to that position in July 2014 was set aside as
invalid.
[60] To complete the dystopian story of the board’s disintegration, I can mention here that on 5 October 2016 two more non-executive directors, Mr Naidoo and Mr Mavuso, resigned in a blaze of publicity at the meeting of the Parliamentary Portfolio Committee for Communications of the National Assembly (‘the PCC’), expressing shock at the conduct of the other board members. The remaining three non-executive directors refused to resign at the PCC’s request. However two of them (Ms Mhlakaza and Dr Tshidzumna) subsequently wilted and resigned on 12 November 2016, leaving Prof Maguvhe (‘Maguvhe’), the chairman, as the solitary non-executive director. The other two board members were and remain the Acting GCEO, Aguma, and the Acting CFO, Raphela. The SABC does not currently have an Acting COO for reasons which will appear below.
Motsoeneng
’s
appointment as GECA
[61]
To revert to mid-September 2016, the SABC took
two decisions pertaining to
Motsoeneng
which on the face of it are
remarkable in
the light of the history since February 2014 and the
SCA’s recent dismissal of the petitions for leave to appeal:
·
On 19 September 2016 the board, or what
was left of it, resolved by round-robin to recommend to the Minister
that
Motsoeneng
be
appointed as Acting COO for the period 19
September - 18 December 2016 (acting appointments can only be made
for three months at
a time). Naidoo dissented. In the board’s
presentation to the PCC on 5 October 2016, the chairperson said that
Motsoeneng
had been cleared of all disciplinary charges through a
transparent and independent hearing. Based on Davis J’s
judgment,
he ought not to be excluded from applying for the position
of the permanent COO once it was advertised. Davis J’s judgment
did not prevent
Motsoeneng
from being appointed as Acting COO in the
meanwhile.
·
On 22 September 2016 the SABC concluded a
five-year fixed-term contract of employment with
Motsoeneng
in terms
of which he was to
occupy the position of GECA with the same
remuneration package he had enjoyed as COO. In Aguma’s letter
to
Motsoeneng
of
that date, he said that the effect of the SCA’s
decision of 14 September 2016 was to nullify his appointment as COO
and that
the executive directors had decided to comply with the
judgment. The effect was said to be that
Motsoeneng
returned to his
former
position, now renamed GECA. (Presumably the intention was that
if
Motsoeneng
were subsequently appointed as permanent COO, his
contract as GECA would be superseded.)
[62]
The first of these decisions required ministerial
approval. She declined to make the appointment. In any event since
the board lacked
a quorum it was unable to make a decision to
recommend
Motsoeneng
’s appointment to the Minister or to
appoint him pursuant
to any approval she might give.
[63]
The second of these decisions did not require a
decision by the Minister. According to the SABC, it was a staff
appointment within
the managerial authority of the Acting GCEO,
Aguma. In any event, so the SABC contends, there was no decision as
such;
Motsoeneng
simply reverted to his previous position by
operation of law. In its presentation to the PCC on 5 October 2016,
the chairperson
said that in law
Motsoeneng
could not be placed in a
worse position than he was before. The only vacancy was that of Group
Executive:
Human Resources but that was not a position for which
Motsoeneng
had any competency. To accommodate him as GECA it was
necessary
to redeploy the existing GECA, Ms Bessie Tugwana
(‘Tugwana’). She was thus moved to the position of Group
Executive:
Special Projects. And with the Minister’s refusal to
appoint
Motsoeneng
as Acting COO, the residual board members
recommended
to the Minister that one of three persons, including
Tugwana, be appointed as Acting COO. The Minister so appointed
Tugwana on
27 September 2016. However because the board lacked a
quorum it was unable to make a valid decision to seek the Minister’s
approval for Tugwana’s appointment or to make the appointment
pursuant to ministerial approval.
[64] At its meeting on 5 October 2016 the PCC resolved that the SABC’s board was dysfunctional and had failed to comply with the Public Protector’s report and ensuing court judgments. It resolved to institute an enquiry in terms of s 15A of the Broadcasting Act into whether the board should be dissolved. The PCC’s enquiry was scheduled to be held on 8-11 November 2016 but the remaining board members objected on the basis that the PCC had prejudged the matter. This resulted in the appointment of an ad hoc committee to conduct the investigation. At the time the present cases were heard the ad hoc committee’s investigation had not begun.
[65] I have previously mentioned that on 7 October 2016 Samela J dismissed the application to stay the DC application.
The CA application
[66]
On 11 October 2016 the DA issued the CA
application, the second of the two cases before us. In summary the DA
sought the following
relief: (i) declaring that unless and until
all the negative findings against
Motsoeneng
in the Public
Protector’s report
are set aside on review,
Motsoeneng
may not
hold any position at all in the SABC; (ii) declaring that
Aguma’s decision,
taken on 22 September 2016, to employ
Motsoeneng
at all, and in particular to appoint him as GECA, is
inconsistent with the Constitution,
unlawful and invalid, and setting
the decision aside; (iii) declaring that the decision of the
board, approved by the Minister,
to appoint Tugwana as Acting COO is
inconsistent with the Constitution, unlawful and invalid and setting
it aside; (iv) declaring
that the SABC, Aguma and the board have
violated their constitutional obligations to the Public Protector in
terms of s 181(3)
of the Constitution; (v) declaring that
the board has been inquorate since 14 September 2016; (vi) directing
Motsoeneng
,
the six remaining board members (at that time Maguvhe,
Khumalo, Mhlakaza and
Tshiszumba together with Aguma and
Raphela) and the Minister to pay the costs of the application in
their personal capacities on an attorney/client
scale.
[67] The notice of motion stated that the application would be made on 23 and 24 November 2016. In the founding affidavit Selfe alleged that there were grounds for it to be so entertained on the court’s semi-urgent roll.
[68] Shortly after the issuing of the CA application the DA’s attorneys wrote to the Judge President asking for a directive that the DC application be enrolled together with the CA application on 23 and 24 November 2016. This was approved by the Judge President. On 26 October 2016, and at our direction, the parties’ legal representatives met with us in chambers. A timetable was set but the respondents reserved their position on urgency.
[69] The new Public Protector, Ms Mkhwebane (who succeeded Ms Madonsela on 1 November 2016), filed an affidavit which substantially repeated the content of her predecessor’s affidavit in the DC application.
[70]
The SABC, the Minister and
Motsoeneng
filed
notices of opposition and answering papers and the DA duly replied.
The parties and
their legal representatives are to be commended for
adhering to a relatively tight timetable.
[71]
In his answering affidavit
Motsoeneng
said that
although he was cited as a respondent in the PP application he now
intended to intervene
as a co-applicant to support the reviewing and
setting aside of the Public Protector’s report. He also
delivered, with his
answering papers, a counter-application to stay
the CA application and an application to strike out certain matter
from the founding
affidavit.
The applications to be admitted as amici curiae
[72] On the day before the hearing began we received applications by email from the Decolonisation Foundation (‘TDF’) and the Musicians Association of South Africa (‘MASA’) to be admitted as amici curiae. They were represented by counsel (Mr Mpshe SC and Mr Masipa respectively) at the start of proceedings. Another organisation, the Independent Music Performance Rights Association (‘IMPRA’), from which we had received no papers, was also represented by counsel (Mr Mkhabela) and likewise wished to be admitted as an amicus curiae. Mr Mkhabela was not yet in a position to hand us a copy of his client’s application. The DA opposed these applications.
[73] After hearing Mr Mpshe, Mr Masipa and Mr Katz, we dismissed the applications by TDF and MASA, indicating that we would provide reasons later together with our ruling on costs. We declined to hear IMPRA’s application as it was not before us.
[74]
The TDF and MASA wanted to adduce evidence and
make submissions about
Motsoeneng
’s achievements in championing
transformation
and local content. Their counsel were unable, however,
to indicate why such evidence and submissions were relevant to the
issues
we had to decide.
Motsoeneng
has not been criticised in the
present proceedings in relation to transformation and local content.
Insofar as content is concerned, the papers deal with alleged
censorship of a political nature but even that material is not
directly
relevant. Furthermore the TDF and MASA did not appear to
have anything new to say about
Motsoeneng
’s positive
attributes.
The SABC and
Motsoeneng
have already dealt with such
matters in their papers. And counsel for the amici did not seem to be
aware
that the position
Motsoeneng
currently occupies (GECA) is one
which according to the SABC and
Motsoeneng
is unrelated to
programming
content so that content policies in favour of local
musicians are now the responsibility of other executives.
[75] Mr Katz asked that we dismiss the amicus applications with costs. In my view this request is justified. The amicus applications were brought on very short notice. The delay was not satisfactorily explained. The applications, if granted, might have disrupted, and would certainly have lengthened, the hearing of the main case. It is by no means clear that the applications contained all the evidence which the would-be amici wanted to adduce.[10] While the applications may have been well meant, they were in the objective sense frivolous because the requirements for being admitted as an amicus were not remotely met (new and relevant facts and/or submissions to which the court’s attention would not otherwise have been drawn).[11] The costs are not likely to be very great since opposing affidavits were not filed and the applications were disposed of within 15 minutes. Nevertheless, and as a matter of principle, unmeritorious applications of this kind should not be encouraged. Accordingly we now add to our dismissal of the TDF and SAMA applications an order that they pay the DA’s costs occasioned thereby. We do not make any order on the IMPRA application because it was not properly before us.
Urgency and service
[76]
In his affidavit opposing the CA application,
Motsoeneng
submitted that the application should be struck from the
roll because it
did not have sufficient urgency to justify the time
constraints under which he was placed. This was allied to an
allegation that
the CA application was not properly served on him and
that his attorneys only received a complete copy thereof
(electronically)
on Monday 7 November 2016. Mr Bester placed
considerable emphasis on these matters during oral argument.
[77] The SABC likewise said that the matter was not so urgent as to justify the timetable. The SABC’s counsel did not develop this complaint in written or oral argument.
[78]
The CA application was issued on 11 October 2016.
At that stage the DC application was pending. Samela J had recently
dismissed
the stay application. Mr Majavu was on record for
Motsoeneng
in the DC application.
[79]
On 12 October 2016 Ms Jonker of the DA’s
attorneys (‘MSS’) called at the SABC’s offices in
Sea Point and
asked the receptionist to call someone who could
receive service of the CA application for the SABC, its board and
Motsoeneng
.
A Ms Conradie was summoned who accepted service and
confirmed that she would distribute the application to whomever
needed it.
[80]
On the morning of 14 October 2016 MSS emailed the
entire application to
Motsoeneng
at the email address used for
communicating with
him in relation to previous litigation. It is not
in dispute that the email address in question was and is his active
email address.
Jonker omitted to request a receipt confirmation but
said in her affidavit that she did not receive a failed-sending
message.
Motsoeneng
denies, however, that he received the email. On
the same day Ms Jonker emailed Mr Majavu to ask whether he would
accept service
of proceedings on
Motsoeneng
’s behalf. He
replied to say that he did not have such instructions.
[81]
By 12 October 2016 it was public knowledge that
the DA had launched the CA application. A press release of that date
by the SABC
itself said that the DA had launched proceedings to have
Motsoeneng
’s appointment as GECA set aside.
[82]
On 25 October 2016 Le Grange J’s registrar
notified the legal representatives in the DC application (this
included Mr Majavu)
that the DC application would be heard together
with the CA application on 23-24 November 2016 and that the judges
requested a
meeting with the legal representatives on the following
day.
Motsoeneng
was represented at that meeting by counsel, Mr
Fergus,
who was briefed solely for purposes of attending this
meeting. Directions were given for the filing of papers in both
cases. On
the same day, 26 October 2016, there was email
correspondence between Mr Majavu and Ms Jonker. Mr Majavu said that
the GECA application
had not been served on his client though it had
been publicised in the press. Mr Jonker replied to say that service
was effected
on
Motsoeneng
in Sea Point and by email. She said that
for
Motsoeneng
to claim that he had not received it was
‘disingenuous’.
There does not appear to have been any
further relevant communication between Mr Majavu and Ms Jonker until
10 November 2016.
[83]
One would have thought that by Wednesday 26
October 2016, if not earlier,
Motsoeneng
and his attorney, knowing
that there was a
further application directed at him and that it was
to be heard on 23-24 November 2016, would have taken steps to obtain
the application.
The obvious practical solution was for Mr Majavu to
request MSS to deliver a copy of the application to his office.
[84]
Mr Majavu says that he obtained an electronic
copy of the notice of motion and founding affidavit (without
annexures) from the SABC’s
attorneys on Thursday 3 November
2016 and a full copy (also from the SABC’s attorneys) on Monday
7 November 2016. As I have
observed,
Motsoeneng
and his attorney
could have been placed in this position by not later than 26 October
2016 if they had followed
the simple expedient of asking Ms Jonker,
in response to her email of 26 October 2016, to deliver a copy of the
application to
Mr Majavu’s office.
[85]
It was on the basis that his client had only
received the full application on 7 November 2016 that Mr Bester
submitted that
Motsoeneng
had effectively had barely one week within
which he had to file his opposing papers. I am somewhat sceptical of
Motsoeneng
’s
assertion that the application did not get to him
via Ms Conradie or by email. At best for him, he chose not to be
proactive in
obtaining the papers for himself and his attorney.
[86]
Even on his own version,
Motsoeneng
through his
attorney had an electronic copy of the papers, excluding the
annexures, by Thursday
3 November 2016. Almost all of the annexures
are documents which
Motsoeneng
had in his possession and with which
he would have
been familiar: judgments and extracts from papers in
previous litigation; extracts from the Public Protector’s
report; the
whole of the Mchunu report; the SABC’s MOI and
Charter; Mr Edeling’s disciplinary judgment, correspondence
addressed
to
Motsoeneng
and the like.
[87]
Motsoeneng
filed a full answering affidavit on 14
November 2016. He did not identify any matters with which he would
have liked
to deal more fully if he had been allowed more time. The
affidavit has no obvious lacunae. Mr Bester submitted that where a
litigant
is put under severe time constraints he and his counsel may
not know what might have emerged from more leisurely reflection.
However
one would expect that, at least by the time of argument,
there would be some plausible suggestion as how
Motsoeneng
could have
improved his opposing papers with more time.
[88]
As to urgency, the founding affidavit alleged
that a hearing on this court’s semi-urgent roll was warranted.
Various considerations
in support of this allegation were advanced.
The most compelling, in my view, is that the conduct complained of in
the CA application
is, if the DA’s characterisation of it is
correct, contemptuous of the Public Protector and the judicial
system. The last
straw was when the SABC, in the face of the
dismissal by the SCA of the petitions for leave to appeal, proceeded
within days to
appoint
Motsoeneng
to another high position. Selfe
says that the DA held back to see whether the proceedings of the PCC
on 5 October
2016 might resolve the problem. When that did not occur,
the present application was launched on 11 October 2016 for hearing
on
23-24 November 2016. If
Motsoeneng
had come into possession of the
application by 14 October 2016, the directions subsequently issued
by
the court would have given him a full month for his answering papers.
Admittedly his counsel, like the others in the case, were
put under
considerable time pressure when it came to the filing of heads of
argument, but full heads were filed by all concerned
and there was
opportunity for amplifying the submissions in oral argument.
[89]
Mr Bester argued that the DA had not sought
condonation for its failure to effect proper service through the
sheriff in accordance
with rule 4 and for its departure from the
long-form requirements of rule 6. On the latter score, I think the
allegations in the
founding papers regarding urgency are sufficient.
As to non-compliance with rule 4, Mr Bester’s argument is not
without merit.
But, as has often be observed, the rules exist for the
court, not vice versa. The court must not be detained by rules ‘to
a point where they are hamstrung in the performance of the core
function of dispensing justice’.[12]
So while the DA’s slackness in relation to formal service is to
be deprecated, I do not consider that
Motsoeneng
has been
materially
prejudiced. To strike the matter from the roll would indeed hamstring
this court in the administration of justice.
The counter-application to stay the CA application
[90]
Motsoeneng
has a second dilatory string to his
bow. He contends that the CA application should be stayed pending the
outcome of
the PP application.
[91]
I can understand the rationale for an application
to stay the DC application pending the outcome of the PP application,
since the
SABC’s obligation to institute disciplinary
proceedings against
Motsoeneng
is sourced in the Public Protector’s
remedial
action. The SABC and
Motsoeneng
in fact brought such an
application but Samela J dismissed it. It has not been renewed before
us.
[92]
What I do not understand is why the CA
application should be stayed pending the outcome of the PP
application. The SABC is required
to respect the Public Protector’s
report until it is set aside. The future setting aside of the Public
Protector’s
report would not retrospectively legitimise or
render rational decisions taken by the SABC at a time when the report
was binding
on it. The CA application is primarily concerned with two
matters, (i) the lawfulness and rationality of the SABC’s
decision in September 2016 to employ
Motsoeneng
as GECA and the
related redeployment of Tugwana; (ii) the lack of a quorate
board. The PP application will not deal with the second of these
issues; and, as I have said, future success for the SABC in the
PP
application will have no bearing on the legality and rationality of
its decisions in September 2016.
[93] The conditional counter-application must thus be dismissed.
Prematurity and the ad hoc committee’s investigation
[94]
Motsoeneng
’s counter-application did not
contain a prayer that the CA application be stayed pending the
outcome of the ad
hoc committee’s investigation. However
Motsoeneng
’s opposing affidavit advanced this contention and Mr
Bester supported
it in argument. I shall thus treat it as a
supplementary ground on which
Motsoeneng
wants the CA application to
be stayed
[95]
Motsoeneng
’s contention is without merit.
The ad hoc committee is conducting an enquiry in terms of s 15A(1)(b)
of the Broadcasting Act. That provision empowers the National
Assembly, after due enquiry, to recommend to the President that the
board be dissolved for failing
to discharge its fiduciary duties,
adhere to its Charter and carry out its duty to control the SABC’s
affairs. Among the
matters specifically included in this
investigation are the response of the SABC to the Public Protector’s
report and to
subsequent court judgments; the ability of the current
board to take legally binding decisions in the light of the
resignation
of members; and human-resource issues such as the
appointment and dismissal of executives.
[96]
Although the ad hoc committee may deal with some
of the factual matters traversed in the present litigation, it will
do so for the
sole purpose of determining whether the National
Assembly should recommend the dissolution of the board. If such a
recommendation
is made, the President will be obliged to dissolve the
board (s 15A(2)(c)) and to appoint an interim board for a period
not exceeding six months (s 15A(3)). Since
Motsoeneng
’s
position as GECA is not a board position, the dissolution of the
board would not affect his appointment.
A new board would not have
the power which a court has to set aside
Motsoeneng
’s
appointment as invalid. At most, the board
could cause disciplinary
proceedings to be instituted against
Motsoeneng
with a view to the
termination of his employment.
[97] As to the board’s currently being inquorate, the ad hoc committee and National Assembly have no power to make declaratory orders.
[98] Accordingly, and even if there were grounds to believe that the ad hoc committee’s proceedings would lead to an expeditious recommendation by the National Assembly to dissolve the board, there would be no justification for staying the present proceedings. Whether an expeditious outcome can be expected is doubtful. The PCC was initially going to conduct the investigation itself but the remaining board members complained that the PCC’s members had prejudged the matter. This led to the appointment of an ad hoc committee.
[99]
After the completion of argument in the present
case it was reported in the press that Maguvhe had launched
proceedings to interdict
the work of the ad hoc committee on the
basis that its members also lacked impartiality. Although the
application was dismissed,
several days reserved for the committee’s
work were lost. It has also been reported that the SABC is resisting
a summons
for the production of documents. The ad hoc committee’s
proceedings eventually began on Wednesday 7 December 2016. The SABC’s
representatives, including Maguvhe, Aguma and
Motsoeneng
, walked out
in protest because certain documents had not been made available
to
Maguvhe (who is partially sighted) in braille. Maguvhe subsequently
failed to attend a sitting at which he was to be questioned.
Although
I have no reason to doubt the ad hoc committee’s resolve to
proceed expeditiously, it appears that its work may
not be plain
sailing. And one does not know how long it would take for the
National Assembly to act on any recommendation made
by the ad hoc
committee. The fact that board membership has been allowed to dwindle
over a period of more than two years without
intervention by way of
replacements does not inspire confidence.
The December 2015 disciplinary proceedings (paras 4-5 of DC notice of motion)
Nature of the disciplinary proceedings required by the Public Protector
[100]
I turn now to the DC application, starting with a
consideration of the nature of the disciplinary proceedings required
by the Public
Protector’s remedial action. The DA contends that
the Public Protector’s factual findings against
Motsoeneng
had
to
be accepted in the disciplinary proceedings, the only question
being the appropriate sanction. This is the first ground of review.
It is also reflected in the relief the DA seeks in respect of the
fresh disciplinary proceedings to be instituted.
[101] We only have an executive summary of the Public Protector’s factual findings together with the chapter of her report containing the remedial action.[13] Everyone accepts, however, that the executive summary is a fair statement of the Public Protector’s factual findings. The SABC’s founding papers in the PP application set out her factual findings in accordance with that summary.
[102] In the SCA’s Part A judgment the court concluded that a person or institution aggrieved by a finding, decision or remedial action taken by the Public Protector might in appropriate circumstances challenge the report by way of a review application. Absent a review application, such person is not entitled simply to ignore the findings, decision or remedial action taken by the Public Protector or to embark on a parallel investigation and to adopt the position that its investigation trumps the findings, decision or remedial action taken by the Public Protector (para 53).
[103] The Constitutional Court’s Nkandla judgment endorsed (in para 68) the SCA’s statement (in para 52) that the Public Protector could realise the constitutional purpose of her office if other organs of state were entitled to second-guess her findings and ignore her recommendations. The primary focus of the Nkandla judgment appears to be the legal effect of the remedial action rather than the legal effect of the factual findings. Mogoeng CJ observed that the legal effect of the remedial action in a particular case depends on the nature of the issues under investigation and the findings made (para 69). It is within the power of the Public Protector to provide for remedial action with binding effect. If the remedial action is of that kind, compliance is not optional. The rule of law dictates that in such circumstances an aggrieved party must comply with the remedial action unless and until it is set aside by a court (paras 73-75). In Nkandla the court was satisfied that the remedial action taken against the President had binding effect, given the nature of the Public Protector’s factual findings (para 76). Although the President was entitled to investigate the correctness of the Public Protector’s factual findings, he could not on the strength of such an investigation simply disregard the Public Protector’s report. Before he could do so a court of law would have to set aside the findings and remedial action (paras 78-81). Since the President had not sought such relief from a court, his disregard of the Public Protector’s report was a failure to uphold, defend and respect the Constitution (para 83).
[104] It thus seems to me that the primary significance of the Public Protector’s factual findings is to explain and justify the remedial action taken. The nature of the investigation and the factual findings play an important part in interpreting the remedial action and assessing its legal effect. If the remedial action is directed at a specific institution, and if the remedial action is on a proper interpretation of the report binding, the institution must comply with the remedial action and respect the factual findings unless and until they are set aside on review.
[105]
In the present case strong adverse factual
findings were made against
Motsoeneng
. The remedial action was,
however, directed not
at him but at the Minister and the board. I am
satisfied, having regard to her factual findings, that the remedial
action was binding
on the board. The SABC could not fail to take
disciplinary action on the grounds specified by the Public Protector
unless her factual
findings regarding
Motsoeneng
and the resultant
remedial action were set aside by a court. So far, I think, everyone
in the present
case concurs.
[106]
The nature of the disciplinary action
constituting the remedial action is a different matter. The
disciplinary action was to be
directed at
Motsoeneng
. He is not a
person bound by the remedial action. The report did not require him
to ensure that anything
was done. If he is not bound by the remedial
action, why should he be bound by the Public Protector’s
factual findings?
[107]
If the Public Protector’s factual findings
were binding on
Motsoeneng
in the disciplinary proceedings, it is
difficult to
see how there could be any outcome other than dismissal,
such were the extent and egregious nature of the adverse findings. If
that had been the Public Protector’s intention, one would have
expected her remedial action to be that the SABC dismiss
Motsoeneng
,
yet that is not what she said.
[108]
I think there is good reason why the Public
Protector did not decree that
Motsoeneng
be dismissed. Although
Motsoeneng
was interviewed
by the Public Protector and afforded the
opportunity to make submissions on her provisional report, he did not
have the opportunity
to face and question his accusers.[14]
The procedure by which the Public Protector made her findings was not
such as an employee would be entitled to expect where disciplinary
charges are brought against him. Our labour law requires that before
a disciplinary sanction may be imposed on an employee there
must be a
fair and adequate procedure to establish the alleged misconduct. This
includes the right to be present when evidence
is led in support of
the charges, to examine any documents relied upon, to cross-examine
witnesses and to lead evidence. Unsurprisingly
these rights are
reflected in the SABC’s disciplinary code.
[109]
In my view it would have been unfair to
Motsoeneng
and a violation of his labour rights for the Public
Protector to take remedial
action which required him to be bound by
her factual findings in disciplinary proceedings. A report with such
an effect might well
be vulnerable to review. One should not readily
ascribe such an intention to the Public Protector. The fact that the
required disciplinary
proceedings would involve an investigation of
the merits in which
Motsoeneng
might be exonerated seems to have been
taken for granted
by Schippers J (para 106), Davis J (para 53) and
the SCA (para 54).
[110]
Mr Labuschagne explained in argument that it was
not the Public Protector’s position that
Motsoeneng
or the
chairperson of
the disciplinary enquiry were bound to accept the
correctness of the Public Protector’s factual findings. He
submitted that
the Public Protector’s findings had to be ‘taken
into account’ in the disciplinary proceedings but the
chairperson
was at liberty to reach different factual conclusions.
[111]
Mr du Toit said that Mr Labuschagne’s
argument represented a significant change from the position adopted
by the Public Protector
in her affidavits. I accept that Mr du Toit
and other counsel might have gained the impression that her stance
was that her factual
findings were binding for all purposes,
particularly if her affidavits were read through the prism of the
DA’s founding papers.
However, having re-read the Public
Protector’s affidavits, I am satisfied that she did not say,
expressly or by necessary
implication, that
Motsoeneng
and the
disciplinary chairperson were bound by her factual findings or that
the disciplinary proceedings
were to constitute a sanction-only
hearing. She regarded the December 2015 disciplinary proceedings as
flawed, not because the
merits of the charges were investigated, but
because the process was conducted in bad faith. The SABC, she said,
had ‘sabotaged’
its own disciplinary process. The SABC’s
counsel in their heads of argument referred to her statement that her
remedial action
‘contemplated a fair and lawful disciplinary
hearing’.
[112]
It was suggested by Mr Katz that the question
whether the disciplinary proceedings were to be a sanction-only
affair might best
be left for decision in the PP application. I do
not see why that should be done. The DA’s contention that the
Public Protector’s
remedial action contemplated a sanction-only
hearing is one of the DA’s attacks on the December 2015
disciplinary process.
If Mr Edeling’s disciplinary judgment is
set aside and the SABC is ordered to institute fresh disciplinary
proceedings, the
parties must know what the ambit of the new
disciplinary proceedings is. Para 6 of the notice of motion in the DC
application expressly
seeks a direction that the SABC commence
disciplinary proceedings against
Motsoeneng
for the purpose of
determining the appropriate
sanction to be imposed.
[113] Furthermore it is not certain that the sanction-only issue will be reached in the PP application. The Public Protector will not be advancing that point. It will only arise if the DA is granted leave to intervene. If the DA does join those proceedings, there are two preliminary grounds on which the Public Protector and DA may seek the dismissal of the application, namely the delay in instituting the application and peremption. If one or both of those points succeed, there may be no decision on the merits of the review.
[114]
My conclusion is that the disciplinary process
contemplated by the Public Protector’s remedial action is one
in which the
merits of the charges must be investigated. However,
because the institution of disciplinary proceedings against
Motsoeneng
is
not a voluntary decision by the SABC but compulsory by
virtue of the Public Protector’s remedial action, those
involved cannot
disregard the Public Protector’s report. If the
disciplinary proceedings are to meet the purpose of the remedial
action,
the initiator and chairperson must, as Mr Labuschagne
submitted, have due regard to the Public Protector’s report.
The report
will inform the charges to be brought against
Motsoeneng
and identify at least some of the evidence available to support the
charges.
That evidence, and any other evidence gathered in
preparation for the hearing, must be fairly presented to the
chairperson. If
this were not done, a disciplinary outcome which
cleared
Motsoeneng
of all charges would not be credible.
[115] It follows that I do not accept the DA’s attack on the December 2015 disciplinary proceedings insofar as it rests on the sanction-only contention. I also do not accept that the order for the holding of fresh disciplinary proceedings should limit such proceedings to sanction alone. It also follows that the primary ground of review advanced by the SABC in the PP application is misconceived.
Other review grounds in the disciplinary application
[116] The DA advanced several other grounds of review to impeach the disciplinary proceedings. Because of the SABC’s recent acceptance of the DA’s erroneous sanction-only view and its consequential acceptance that the disciplinary proceedings of December 2015 were misconceived, the SABC has not responded meaningfully to these other grounds of review.
The Minister’s involvement in appointment of Messrs July and Mokhari
[117]
One of the grounds of review is the Minister’s
involvement in the appointment of Messrs July and Mokhari as the
first initiator
and chairperson. Since neither of them was involved
in the disciplinary proceedings which cleared
Motsoeneng
, the
Minister’s
involvement in their appointment would not, even if
irregular, taint such proceedings. However, and since the notice of
motion
in para 4 seeks a declaration that the Minister acted
unlawfully by ‘improperly interfering’ in the appointment
of
the initiator and chairperson, I must deal with the point.
[118]
I have already referred to the exchange of
correspondence between the board and the Minister on 9 October 2015.
It is clear from
the correspondence that, if the board was in law
required to appoint the initiator and chairperson, the board
abdicated that responsibility
to the Minister. Mr Maenetje on behalf
of the Minister drew our attention to the fact that the remedial
action does not say that
the board must appoint the initiator and
chairperson; it merely says that the board must ensure that
disciplinary action is taken
against
Motsoeneng
. If it were otherwise
lawful for the board to allow the Minister to make the appointment,
such appointment would
not have contravened the Public Protector’s
report.
[119] Mr Maenetje referred us to clause 13.6.3 of the SABC’s MOI which provides that the board has the right and power to institute disciplinary proceedings against the three statutory executives ‘upon the approval of the Minister’. The Minister is thus accorded some role in disciplinary proceedings against the COO. However clause 13.6.3 limits the Minister’s role to the approval of disciplinary proceedings. In accordance with the MOI and the board’s statutory function of controlling the affairs of the corporation (s 13(11)), it is the board which has the right and power to institute any disciplinary proceedings, carrying with it the right and power to appoint the initiator and chairperson.
[120]
The Minister’s involvement in the
appointment of Mr July and Mr Mokhari was thus contrary to law.
However on the papers it
cannot be found that the Minister
‘improperly interfered’ in the appointments. It appears
that the board wished to
refrain from selecting these functionaries
because the board might, in view of the previous views it had
expressed, be perceived
as biased (ie as pro-
Motsoeneng
). Whether, in
the light of the history, the Minister’s position from that
perspective was
any better may be doubted. But the Minister says she
was acting bona fide in accommodating the board’s request. It
cannot
be found that Messrs July and Mokhari were selected because
they were believed to be pliable in favour of
Motsoeneng
. Mr Katz in
replying argument specifically disavowed any imputation against them.
[121] Since the element of improper interference has not been established and since the Minister’s involvement in any event had no practical effect, I do not think an order in terms of para 4 of the notice of motion is justified.
Irregularity in the appointment of Messrs Phalane and Edeling
[122] If Messrs Phalane and Edeling were not duly appointed, that would obviously invalidate the disciplinary proceedings. The DA alleged that their appointment was not brought to the board. Although the inference to be drawn from Matlala’s evidence depends on precisely when he was suspended and when Messrs Phalane and Edeling were appointed, the SABC has not answered the allegation. There is no evidence at all as to when, how and by whom Messrs Phalane and Edeling were appointed.
[123]
In argument Mr Katz drew our attention to the
fact that the board’s rubber-stamping of the Minister’s
appointment of
Messrs July and Mokhari was reflected in a round-robin
resolution.
Motsoeneng
’s own name appears on the resolution.
This
point was not highlighted in the founding papers and I would
thus be willing to assume that the explanation is the same as that
given by the SABC in relation to another resolution affecting
Motsoeneng
in September 2016, namely that the inclusion of his name
was an error and that he was not in fact involved in the signing of
the resolution.
[124]
On the assumption that
Motsoeneng
was not
involved in the appointments of Messrs July, Mokhari, Phalane and
Edeling because of his
conflicting interest in the matter, there were
only eight remaining directors. That was not sufficient for a quorum.
There is authority
that a quorum must be determined with reference to
those directors lawfully entitled to participate in the business in
question.[15]
Section 75(5) of the Companies Act 71 of 2008, however, unlike the
previous Companies Act, provides that if a director has a ‘personal
financial interest’ in respect of the matter to be considered
at a meeting of the
board, he must disclose his interest before the
meeting and if present must leave after making the disclosure. While
absent he
is, in terms of s 75(5)(f), to be regarded as present
at the meeting for purposes of determining whether there is a quorum.
It is possible that this provision
applies to the SABC by virtue of
s 8A(5) of the Broadcasting Act read with s 5(4)(b)(ii) of
the Companies Act. Since we were not addressed on this matter or on
the applicability of s 75(5)(f) to round-robin resolutions, I
prefer to express no opinion as to whether eight directors could by
round-robin resolution have appointed
Messrs Phalane and Edeling.
[125] The simple fact is that there is no evidence that the remaining board members made the appointments. Due challenge was made to the validity of the appointments. In the absence of an explanation from the SABC, I think we must find that Messrs Phalane and Edeling were not duly appointed.
Disciplinary proceedings a charade
[126]
The DA impugns the disciplinary process before Mr
Edeling on the basis that they were a charade. In support of this
general complaint,
the DA’s founding papers deal at some length
with the following matters: (i) that from the outset the charges put
to
Motsoeneng
did not include all the matters identified in the
Public Protector’s report; (ii) that by the time of the
disciplinary
hearing before Mr Edeling there were only three charges;
(iii) that Mr Phalane was required to conduct the prosecution on
extremely short notice; (iv) that a postponement was refused;
(vi) that a number of persons who could have given relevant
evidence and whose identities appeared clearly from the Public
Protector’s report were not called to testify (para 94 of
the
founding affidavit identifies 11 such people including Swanepoel,
Botes and various persons allegedly dismissed at
Motsoeneng
’s
instance).
[127] The Public Protector supported this description of the disciplinary process. She says the SABC sabotaged its own disciplinary process. The SABC did not implement her remedial action in good faith.
[128] These allegations are largely unanswered. There has been no explanation from the SABC as to when and by whom Messrs Phalane and Edeling were appointed, who told Mr Phalane that he had to be ready to proceed on the same day he was appointed, who was responsible for providing Mr Phalane with the evidence to be led and who determined the charges to be pursued. It would have been quite impossible for Mr Phalane, in the very short time allowed, to familiarise himself with the detail, to consult with witnesses and to make further investigations. This must have been perfectly obvious to the SABC and, I must respectfully add, to Mr Edeling.
[129]
Mr Katz did not impugn the integrity of Mr
Phalane or Mr Edeling. I nevertheless think it unfortunate that Mr
Edeling adopted the
approach he did. If he was not aware of the
Public Protector’s report (his judgment makes no reference to
it), this was a
serious shortcoming on the part of those who
appointed him. If he was aware of the report, I would have expected
him to display
greater appreciation for his role on behalf of the
SABC in giving effect to the Public Protector’s remedial
action. Where
a public body appoints someone to chair a disciplinary
enquiry, that person effectively becomes the decision-maker for the
public
body and his or her decisions are susceptible to review.[16]
Here matters went further because the Public Protector’s
remedial action invested the disciplinary process with a special
legal and public significance. An enquiry conducted with
inappropriate haste and obvious lack of preparation, and
characterised
by the omission of significant charges and a manifest
failure to call relevant witnesses, was not going to achieve what the
Public
Protector envisaged. There was no credible process pursuant to
which one could say that, on a conspectus of all the evidence –
including that which was available to the Public Protector –
Motsoeneng
was or was not guilty of the misconduct found by
the
Public Protector. This was a case which cried out for greater
intervention on the part of the chairperson to ensure that the
objects of the Public Protector’s remedial action were met.
[130] The 60-day time limit for the completion of the disciplinary proceedings (which ultimately began to run on 8 October 2015 when the SCA handed down its Part A judgment) was not a proper basis for a rushed job. Para 3 of Schippers J’s order contemplated that the disciplinary proceedings might not be completed within 60 calendar days, in which case the chairperson of the board was to deliver an explanatory affidavit with a statement as to when the proceedings were likely to be completed. On the assumption that Mr July was ready to run the hearing properly before Mr Mokhari in early December 2015 (we do not know whether this is the case), Mr Mokhari’s decision to terminate the process would obviously have justified a judicial extension of the period. Schippers J’s order did not even require the SABC to seek an extension; its chairperson merely had to file an explanatory affidavit. Only if the DA were dissatisfied with the explanation would the matter have had to serve again before court.
[131] I am satisfied on this basis that the disciplinary proceedings conducted before Mr Edeling, including his judgment, must be set aside as not being in accordance with the Public Protector’s remedial action and thus unlawful.
[132] I must add, however, that there is insufficient evidence to find that the SABC (ie its board or senior executives) deliberately sabotaged the disciplinary enquiry. Mr Phalane may have been acting independently and doing the best he could on short notice. There may have been a bona fide (though misconceived) view that, come what may, the disciplinary proceedings had to be wrapped up by mid-December 2015.
Consequential relief in DC application (paras 6-10 of notice of motion)
[133] Everyone accepts that if the disciplinary proceedings of December 2015 are set aside there will have to be new disciplinary proceedings complying with the Public Protector’s remedial action. The DA seeks orders in that regard mutatis mutandis in accordance with Schippers J’s order, namely that the proceedings cover the matters identified in the Public Protector’s remedial action; that they be commenced by a new initiator, appointed by the board, within 14 calendar days; that they be presided over by a new independent chairperson appointed by the board; and that they be completed within 60 calendar days (with the same procedure for an explanatory affidavit from the chairperson if they are not so completed). The other parties did not object to these orders.
[134]
The DA seeks further orders to the effect that
the disciplinary proceedings be open to the public and that the media
be entitled
to record and report on the proceedings. The SABC and
Motsoeneng
do not in principle have an objection to these orders. Mr
du Toit
referred us to the judgment of Koen J in Media
24 (Pty) Ltd & Others v Department of Public Works & Others
[2016] 3 All SA 870 (KZP) where the question
of public and media access to disciplinary proceedings was discussed
at some length. Mr du Toit suggested
that we might rather cast our
order along the lines of Koen J’s order. The learned judge set
aside rulings by various disciplinary
chairpersons denying media
access and directed them, as well as the chairpersons in other
disciplinary proceedings, to make rulings
on media access within one
month. It is clear from his judgment that the general principle of
public access was supported. It is
difficult to anticipate and
regulate every issue in advance though the learned judge attempted to
encapsulate some principles in
para (d) of his order.
[135]
In the present case the DA proposes that the
chairperson be entitled to impose reasonable restrictions on media
access, ‘taking
into account the right to freedom of
expression, open justice and the principles of openness,
accountability and responsiveness’.
These are legitimate
considerations but our order should make clear that they are not
exhaustive. Other considerations would include
fairness to
Motsoeneng
and fairness to witnesses. I think similar qualifications should
apply to the order that the disciplinary
proceedings be open to the
public. Our order will establish that the default position is
openness to the public and access to the
media, with restrictions
being within the power of the chairperson, having regard to all
legitimate considerations. Apart from
any specific considerations
mentioned in our order, Koen J’s judgment contains valuable
guidance for the chairperson.
[136] Although nobody objects to the requirement that the new disciplinary proceedings be commenced promptly, there is a practical difficulty. The Public Protector’s remedial action is directed at the board. In line with this fact and Schippers J’s order, the notice of motion in the DC application requires the board to commence the disciplinary proceedings and inter alia to appoint the new initiator and chairperson. The problem is that the board is inquorate and cannot make these decisions. During the hearing we raised with counsel the possibility that the court might appoint the initiator and chairperson if the parties (excluding for this purpose the DA but including the Public Protector) could agree on the persons to be so appointed. Such agreement could, we thought, be viewed as a variation by the Public Protector of her remedial action in view of the changed circumstances.
[137] We indicated that unless agreed names were furnished to us within one week we would assume that the parties had not been able to agree on this course of action. In the absence of agreed names, we would have no choice but to order that the disciplinary proceedings be instituted by the board within 14 days of its becoming quorate. We did not receive agreed names within one week. However this morning the court received a letter from the SABC’s attorneys recording that the parties had agreed on the identity of a person to chair the disciplinary proceedings. In regard to the initiator, the SABC proposed three names while the Public Protector proposed a fourth. The SABC’s attorneys suggested that the court should select one of the proposed persons as the initiator. My colleague Le Grange J, who concurred in the final draft of this judgment prior to receipt of this morning’s letter, is out of town today and I have not been able to contact him. In the circumstances the court’s order in regard to the date on which the new disciplinary proceedings must commence and in regard to the appointment of the chairperson and initiator will have to be deferred for a short time.
[138]
The SABC submitted that ‘for reasons of
logic and justice’ the new disciplinary hearing should await
the outcome of
the PP application. I disagree. The SABC has already
failed in a bid to have the DC application stayed. Furthermore we
have concluded
that the new disciplinary enquiry is not a
sanction-only process. This disposes of the main ground of review in
the PP application,
at the same time removing the one potential
uncertainty which might have justified a deferral of the new
disciplinary enquiry.
There is no question of the SABC or
Motsoeneng
suffering irreparable harm if the new disciplinary enquiry takes
place before a
final determination of the PP application. If
Motsoeneng
were cleared pursuant to a new credible process, that
would be to his
advantage. If he were convicted, that would be
because the charges were established by the evidence. This would show
that the disciplinary
proceedings were justified, regardless of the
rights or wrongs of the Public Protector’s report.
[139]
I must mention one further matter relating to the
new disciplinary proceedings. The charges must include at least those
identified
by the Public Protector’s remedial action. It does
not follow that the charges must be so restricted. The approach of
the
board and the initiator should not be that they will do only the
bare minimum to comply with the remedial action. They must bona
fide
consider whether, apart from the matters identified by the Public
Protector, there are other charges properly to be brought
against
Motsoeneng
, particularly in relation to events post-dating the
publication of the Public Protector’s report. Some
of the
additional matters have been touched upon in this judgment, including
Motsoeneng
’s affidavits concerning Swanepoel.
Remaining relief in DC application (paras 1, 2, 10 and 11 of notice of motion)
[140] Paras 1 and 2 of the notice of motion seek general declarations that the SABC and its board have failed to respect and implement the findings and remedial action of the Public Protector and have failed to comply with, and acted in contempt of, court judgments. Because things have moved on since the DC application was instituted, I shall defer a consideration of these prayers until later in this judgment.
[141]
Para 10 seeks an order that pending the
finalisation of the disciplinary proceedings
Motsoeneng
be suspended
from his position as
COO. Subsequent to the institution of the DC
application it was finally determined that
Motsoeneng
’s
appointment as COO was
invalid and should be set aside. Para 10 thus
falls away. In the CA application the DA seeks other relief relating
to
Motsoeneng
’s
suspension.
[142] Para 11 deals with costs, which I shall address at the end of this judgment.
The
CA application and
Motsoeneng
’s employment status
[143]
I turn now to the CA application. There was
considerable debate about the legal effect of the order setting aside
Motsoeneng
’s
appointment as COO, an order which became final on
14 September 2016. It is common cause that the decision terminated
Motsoeneng
’s
office as a director. The issue relates to his
employment status. Mr Katz submitted that since
Motsoeneng
’s
only employment
status prior to that order was as COO, he ceased to
be an employee with the setting aside of the COO appointment. Mr du
Toit argued
that
Motsoeneng
not only remained an employee but
reverted to the position he had occupied prior to his appointment as
COO, namely
the current GECA post.
[144] If a person is a permanent employee in position X and is promoted to position Y, I do not accept that with the setting aside of his appointment to position Y he ceases to be an employee. In such a case the only act causing the person not to be an employee in position X is that he has been promoted to position Y. In the circumstances posited, the act by which the person is appointed to the new position is the same act that causes his employment in the previous position to terminate. It is unsound in principle, and unfair, to hold that the act is set aside for purposes of determining the promotion but not for purposes of determining whether he remains an employee. That position is quite different from the example, given by Mr Katz, of a person who resigns a position at employer X in order to take up a position at employer Y and where the appointment to position Y is later set aside. The resignation from the one employer and appointment by the new employer are independent legal acts. The one may be valid and the other invalid.
[145]
Accordingly, if
Motsoeneng
were a permanent
employee at the time he was promoted to the position of COO, the
setting aside of his
appointment as COO would not in my opinion have
caused him to cease to be an employee.
[146]
I have framed this with reference to a permanent
employee. This is because of an aspect which the court raised with
counsel. Aguma
states in his affidavit that Group Executive posts are
held for five years.
Motsoeneng
has attached a copy of his GECA
employment
contract of 22 September 2016 which confirms this. The
contract is for a fixed term of five years as from 19 September 2016.
In
terms of clause 6 it is recorded and agreed that
Motsoeneng
shall
not have any right, entitlement or expectation to permanent
employment
with the SABC, or to the renewal or extension of the
agreement, at the end of the contract period.
[147]
What we raised with counsel was this. If
Motsoeneng
’s employment contract as GESR (the position he held
prior to his appointment
as COO and which has now been renamed GECA)
was on similar terms to the current GECA contract,
Motsoeneng
’s
employment (leaving
aside his invalid appointment as COO) would have
expired on 31 March 2016, being five years after his appointment to
this position.
In reply Mr Katz handed us a copy of p 47 of the
Public Protector’s report where it is stated that
Motsoeneng
’s
GESR appointment was indeed for a fixed period of five years starting
on 1 April 2011. If the GESR contract contained the equivalent
of
clause 6 mentioned above,
Motsoeneng
contractually had no right or
expectation to permanent employment or to the renewal or
extension of
the contract. Mr du Toit’s reference to the definition of
‘dismissal’ in s 186(1)(b) of the Labour Relations
Act 66 of 1995 would prima facie not avail
Motsoeneng
because, in the
case of a fixed-term contract, there can only be a ‘dismissal’
if inter alia the employee ‘reasonably expected’ that the
contract would be renewed or that he would be retained in
employment
on an indefinite basis.
[148]
If this were the true state of affairs, it
appears that the SABC dealt with
Motsoeneng
in September 2016 on the
factually incorrect
premise that he was still an employee or that he
was entitled to the renewal of his contract. The Public Protector’s
report,
for as long as it stood, provided a powerful reason not to
offer
Motsoeneng
any employment which the SABC was not under an
obligation
to recognise.
[149]
However the DA did not raise this point in its
papers. We do not have
Motsoeneng
’s April 2011 contract.
Furthermore a contractual
provision such as clause 6 of
Motsoeneng
’s
current GECA contract may not be dispositive of the question whether
a person
has a reasonable expectation of renewal though it
constitutes strong prima facie proof.[17]
Because the issue was not raised, we cannot be sure that we have all
the facts (though, as Mr Katz pointed out, it is difficult
to see on
what basis
Motsoeneng
could, after the issuing of the Public
Protector’s report in February 2014, have had a reasonable
expectation of continued employment). I think it would be unfair in
the circumstances to decide the case on this basis. I thus
assume,
without so deciding, that
Motsoeneng
should be treated as having been
a permanent employee at the time he was appointed
as COO. On that
basis, the setting aside of his appointment as COO did not terminate
his employment relationship with the SABC.
[150]
I do not think it follows that the SABC was
compelled to allow
Motsoeneng
to resume performing the functions of
the GECA, ie to
occupy the post of GECA. Immediately prior to the
SCA’s dismissal of the petitions on 14 September 2016, the post
of GECA
was occupied by Tugwana. If by operation of law
Motsoeneng
had to be allowed to resume the duties of the GECA, Tugwana
presumably
had to be allowed to resume the duties of the position she
held before she was appointed as GECA. This might have a domino
effect
on other appointments. There was nothing invalid about
Tugwana’s appointment as GECA. She was not cited as an
interested
party in the COO application. I do not think that in law
the setting aside of
Motsoeneng
’s appointment as COO had any
legal
effect on the validity of other appointments. Tugwana’s
appointment to the GECA position was not an administrative act
dependent
for its validity on the validity of
Motsoeneng
’s
appointment as COO.[18]
[151]
It follows, on the assumption I have made
regarding permanent employment, that with the final setting aside of
Motsoeneng
’s
appointment as COO the SABC was obliged, for as
long as
Motsoeneng
remained an employee, to accord him the employment
benefits
attaching to his previous position but was not obliged
without more to reinstate him as the occupant of the GECA post. I
thus reject
Mr du Toit’s submission that there was no
appointment decision in September 2016 at which review relief could
be directed.
If the SABC wanted
Motsoeneng
to resume the
responsibilities of the GECA post, a decision to that effect was
required. If such
a decision was reached, Tugwana would have to be
redeployed, which is in fact what happened. These decisions would
also have had
a labour law dimension since Tugwana was not
necessarily obliged to accept deployment. If there had been no other
position for
her, the SABC might have been confronted with a decision
as to which of the two should be retrenched.
[152]
However, and even if the setting aside of the COO
appointment automatically reinstated the status quo prior to the
invalid appointment,
the SABC went well beyond this in September
2016. Firstly, the SABC concluded a new five-year contract with
Motsoeneng
which guaranteed
him employment at least until September
2021. Second, in that contract the SABC agreed to pay him the amount
attaching to the post
of COO. Unsurprisingly the contract uses the
language of appointment. The same is true of the board’s
presentation to the
PCC on 5 October 2016.[19]
Character of the appointment decision
[153] Mr du Toit submitted that if there was a decision at which a review could be directed, the decision was a private law matter which was not susceptible to review. He emphasised that the position of GECA is not one of the three statutory executive positions requiring appointment by the board and approval by the Minister. It is an ordinary staff appointment made by the GCEO.
[154] The SABC is a public body existing for the objectives set out in s 8 of the Broadcasting Act. Those objectives are concerned with the public interest. Section 10 specifies certain further requirements with which the SABC’s public service must comply. The public interest is again to the forefront. The SABC is required by s 6 to have a Charter. This document states that the board is responsible for ensuring that the SABC’s mandate as a public broadcaster is achieved. Clause 7.3 of the Charter sets out various goals to guide the board and the SABC in the delivery of its mandate. These goals reflect the public interest served by the SABC.
[155] In terms of s 14 of the Broadcasting Act the affairs of the SABC are administered by an executive committee consisting of the three statutory executives and not more than 11 other members. The executive committee is accountable to the board and performs such functions as determined by the board. Clause 18 of the Charter provides that as a general principle matters referred to the board for approval must first have been ‘interrogated’ by the executive committee and relevant board committee.
[156] Section 26(1) provides that the SABC may engage such officers and other employees as it may deem necessary for the attainment of its objects and must determine their duties, salaries, wages, allowances or other remuneration and their other conditions of service in general.
[157]
In my view, therefore, the SABC is a public body
which, when it acts, is generally exercising public power. In regard
to employees,
the SABC’s power to engage staff is sourced in
s 26 of the Broadcasting Act and is a power to be exercised for
the attainment of the SABC’s objects which are, as I have
indicated, objects in the public
interest. When the SABC, represented
by its Acting GCEO, decided that
Motsoeneng
should resume the
responsibilities of the GECA
and that Tugwana should be redeployed to
another GE position, the SABC was exercising a public power.
[158] This view seems to me to find strong support in the decision of the majority of the Constitutional Court in Chirwa v Transnet Ltd & Others [2007] ZACC 23; 2008 (4) SA 367 (CC). The question there was whether an employee dismissed by Transnet could, as an alternative to proceedings under the Labour Relations Act, assert a constitutional cause of action under PAJA. Chirwa does not appear to have occupied a statutory position within Transnet. She was dismissed pursuant to an ordinary disciplinary hearing. The justices were unanimous in finding that the dismissal was not ‘administrative action’ for purposes of PAJA.[20] However a majority of the court was agreed that the dismissal involved the exercise of public power. In para 138 Ngcobo J (with whom six other justices concurred) said the following (footnotes omitted):
‘I am unable to agree with the view that in dismissing the applicant Transnet did not exercise public power. In my view, what makes the power in question a public power is the fact that it has been vested in a public functionary, who is required to exercise the power in the public interest. When a public official performs a function in relation to his or her duties, the public official exercises public power. I agree with Cameron JA that Transnet is a creature of statute. It is a public entity created by statute and it operates under statutory authority. As a public authority, its decision to dismiss necessarily involves the exercise of public power and, “(t)hat power is always sourced in statutory provision, whether general or specific, and, behind it, in the Constitution”.’
[159] In the SCA in Chirwa Cameron JA placed reliance on the general position laid down in Administrator, Transvaal, & Others v Zenzile & Others 1991 (1) SA 21 (A) where, in a pre-PAJA decision, Hoexter JA held that the principles of administrative law applied to the dismissal of public servants. Cameron JA distinguished Cape Metropolitan Council v Metro Inspection Services (Western Cape) CC & Others 2001 (3) SA 1013 (SCA) where the court had declined to extend this approach to the cancellation of a purely commercial contract. This decision was to be explained, in Cameron JA’s view, on the basis that in Metro Inspection Services the public body in concluding the contract had not been acting from a position of superiority or authority by virtue of being a public authority (paras 54-55).
[160] If the dismissal of an employee by a public body such as the SABC is the exercise of the public power, a fortiori must this be the case in relation to appointments. Once an appointment has been made, there is scope for an argument that the relationship between the parties is governed by their contract and the remedies in the Labour Relations Act. The same scope does not exist in relation to the exercise of the power of appointment.
[161] The proposition that the appointment of staff by a public body entails the exercise of a public power seems to me to find direct support in the judgment of the Constitutional Court in Khumalo & Another v MEC for Education, KwaZulu-Natal 2014 (5) SA 579 (CC). That case concerned the promotion of two employees in a provincial department of education. The employees did not occupy senior executive positions. The MEC brought an application in the Labour Court to have the promotions set aside. The application succeeded in that court and in the Labour Appeal Court but was reversed in the Constitutional Court. Skweyiya J, writing for the majority, held that the true nature of the MEC’s application was for judicial review under the principle of legality rather than a PAJA review. He emphasised that the principle of legality is applicable to all exercises of public power and not only to ‘administrative action’ as defined in PAJA. The principle requires that all exercise of public power be, at a minimum, lawful and rational.[21] The appeal succeeded not because the decisions were not subject to review but because in the court’s view the MEC had unreasonably delayed in bringing her review application.
[162] It is also important to distinguish between the legal relationship between the public body and its employee on the one hand and the relationship of the public body to third parties in respect of that contract of employment. Chirwa was a case arising between the public body and its employee. The court had to grapple with the question whether the Labour Relations Act, by giving effect to the Constitution’s guarantee of fair labour practices, precluded the characterisation of the dismissal as ‘administrative action’ and limited the employee to her remedies under the Labour Relations Act. Different questions arise where a third party complains that the conclusion of an employment contract by a public body constitutes an act of unlawful maladministration. The public body and the appointed employee may be perfectly happy with the contract but this should not render it immune from examination at the suit of a third party. Nobody in the present case has disputed the DA’s locus standi to do so.
[163]
The present case is distinguishable from an
authority cited by the SABC’s counsel, Calibre
Clinical Consultants (Pty) Ltd & Another v National Bargaining
Council for the Road Freight Industry & Another 2010
(5) SA 457 (SCA). The decision in that case (that the bargaining
council’s procurement decisions were not susceptible to review)
was
based on a conclusion that the council was not publicly funded
and did not owe its duties to the public but to its contributing
members. Although the council owed its existence to legislation, it
was in that respect no different from a private company. The
SABC’s
status is quite different. Nugent JA considered that in assessing
whether conduct was subject to review it is useful
to ask whether the
power or function in question was ‘governmental’ in
nature. Ultimately, he said, judicial review
was all about
accountability to the public (para 40). That the SABC should be
accountable to the public for its decision to appoint
Motsoeneng
as
GECA seems to me clear. It is not about letting the DA dictate to the
SABC who it can and cannot employ but about
subjecting the SABC’s
decisions in that regard to basic principles of legality.
[164] Mr du Toit argued that the DA had failed in its papers to address the question whether the decision of which it complained amounted to ‘administrative action’ for purposes of PAJA. He referred us in that regard to the majority judgment in State Information Technology Agency Soc Ltd v Gijima Holdings (Pty) Ltd [2016] ZASCA 143. The question there was whether an applicant could bypass PAJA by directly invoking the doctrine of legality. Although the majority said that this could not be done, they did not find that the applicant should be non-suited merely because it had failed to invoke PAJA. Instead the court examined the act in question and, having concluded that it amounted to ‘administrative action’ for purposes of PAJA, held that the applicant had failed to comply with the 180-day time limit laid down in s 7(1) and had failed to explain the delay.
[165] Since the grounds of review encompassed under the doctrine of legality find their counterparts in s 6(2) of PAJA, it seems to me unnecessary to decide whether an act is ‘administrative action’ for purposes of PAJA unless, on the facts of the case, the characterisation would affect the outcome (for example, in relation to time limits). Indeed the Constitutional Court’s judgment in Albutt appears to me to lay down that one should not decide such a question unless it is necessary.[22] I would emphasise that the exercise of public power not qualifying as administrative action is still subject to the principle of legality.
[166] In the present case the DA relies on the doctrine of legality. Since the application was launched promptly after the decisions complained of, it would make no difference whether or not we classified the impugned decisions as ‘administrative action’ for purposes of PAJA. It suffices to find, as I do, that the decisions involved the exercise of public power and are in principle susceptible to review.
The
decision to appoint
Motsoeneng
as GECA (para 2 of notice of motion)
[167]
The attack on the decision to appoint
Motsoeneng
as GECA is based essentially on alleged irrationality. Although the
Public Protector’s
report did not in terms say that
Motsoeneng
could not be appointed to such a position, the decision was said to
be irrational in
much the same way as was his appointment as COO
(which the Public Protector’s report had also not expressly
forbidden).
[168]
When
Motsoeneng
was appointed as GECA in
September 2016 the Public Protector’s report was still in force
and binding on the
SABC. The fact that there was a pending
application in Gauteng to have the report set aside did not change
that fact. The SABC
was not entitled to prejudge the outcome of the
PP application.
[169]
In addition to the Public Protector’s
findings against
Motsoeneng
, there were subsequent events which the
SABC was required
to take into account.
Motsoeneng
was found by the
SCA to have displayed a lack of candour in what he said about trying
to get an
affidavit from Swanepoel. There is nothing to show that
this has been investigated. During
Motsoeneng
’s tenure as
Acting
COO and then permanent COO most of the non-executive members
of the board resigned and now only one remains. Successive Acting
GCEOs departed, in Matthews’ case with strong words directed at
the corrosive atmosphere within the SABC and a description
of
Motsoeneng
’s tenure as a ‘reign of terror’. There
are the events surrounding the SABC Eight and their subsequent
reinstatement in response to legal proceedings.
[170]
Although there was ostensibly a disciplinary
process clearing
Motsoeneng
in December 2015, it was an obviously
defective process
which could not have set anyone’s mind at
rest. By the time the SABC took its decision in September 2016 to
appoint
Motsoeneng
as GECA, there was not only a pending application
to have the disciplinary proceedings set aside; the SABC itself had
accepted
(whether for good reason or bad) that the disciplinary
proceedings were defective and would have to be recommenced unless
the Public
Protector’s report were set aside.
[171]
Mr du Toit argued that the GECA position is a
less influential one than the COO position so that
Motsoeneng
’s
appointment
to the former position should not necessarily suffer the
same fate as his appointment to the latter position. While there is
no
doubt a difference between the positions, the GECA position is
nevertheless a very senior one. In that capacity
Motsoeneng
is a
member of the executive committee. He reports directly to the GCEO.
The GECA job description describes the main purpose of the
position
as being to ‘manage, portray and communicate an appropriate
corporate image’ of the SABC. The incumbent is
responsible ‘for
efficiently and effectively leading and managing’ the provinces
by ensuring ‘optimal alignment’
with the SABC’s
business goals and strategies. Key accountabilities include:
formulating and directing strategies to enhance
public, governmental
and stakeholder understanding and goodwill towards the SABC;
management of all stakeholder relationships;
effective government
liaison and influencing of government policy; ensuring effective SABC
representation in international fora;
implementing and maintaining
cost-effective, appropriate corporate and regulatory solutions,
systems and equipment; effectively
integrating and allocating
resources in the day-to-day operations; ensuring implementation of
and adherence to SABC policies and
procedures in the provinces;
ensuring the implementation of sound ethical business processes in
all areas and disciplines within
the provinces; continually upholding
the SABC’s corporate identity in all areas so as to ensure the
SABC’s integrity,
credibility and positive image within all the
provinces; providing effective communication to ensure that staff,
group executives
and divisional heads are well informed on all
aspects of operations and strategy; and identifying and managing risk
in accordance
with the SABC’s risk strategy.
[172]
In the COO application Davis J found that it was
patently irrational for the SABC to have appointed
Motsoeneng
to the
position of
COO. The learned judge referred inter alia to Democratic
Alliance v President of South Africa & Others 2013
(1) SA 248 (CC) where the Constitutional Court, upholding the
decision of the SCA, found that the appointment of Mr Simelane to the
position
of National Director of Public Prosecutions was irrational
where serious adverse findings made by a commission of enquiry had
not
been credibly investigated and refuted.
[173]
In my opinion the same applies to the SABC’s
decision to appoint
Motsoeneng
as GECA. He was appointed to a senior
executive
position carrying with it significant responsibilities
despite the fact that serious adverse findings in the Public
Protector’s
report had not been set aside and despite
subsequent events which cast a further significant shadow over his
integrity and leadership
abilities. The SCA said, with reference to
the Part A appeal, that the Public Protector was quite correct in
observing that the
SABC’s board appeared to have blindly sprung
to
Motsoeneng
’s defence (para 55). This sort of behaviour has
continued.
We know that if the remnant of the SABC’s board had
got its way in September 2016,
Motsoeneng
would have been appointed
as
the Acting COO. The remnant, including Aguma, the Acting GCEO,
appears to have been hellbent on keeping him in the highest position
possible. To do so they redeployed someone whose performance as GECA
has not, at least on the papers before us, been subjected
to any
criticism. It is also apparent from the papers that the remnant of
the board is still intent on having
Motsoeneng
as the
COO. Criticism
of
Motsoeneng
by the Public Protector and courts is seen as an
obstacle to be circumvented, not a potentially real
problem to be
bona fide investigated.
[174]
The SABC’s decision was, moreover, not
merely a holding move.
Motsoeneng
received a new appointment on the
standard five-year
fixed term. And quite remarkably, he was appointed
at a COO’s remuneration. I find it incomprehensible that the
SABC could
have thought that
Motsoeneng
remained entitled to a COO’s
remuneration where that remuneration attached to a position to which
he had been invalidly appointed.
[175]
I am thus satisfied that
Motsoeneng
’s
appointment as GECA was invalid and must be set aside.
Motsoeneng
’s
‘suspension’ (para 1 of notice of motion)
[176]
In para 1 of the notice of motion the DA seeks a
declaration that, unless and until all negative findings against
Motsoeneng
in
the Public Protector’s report are reviewed and
set aside,
Motsoeneng
may not hold any position at all in the SABC.
To the
extent that this relief is sought to be justified on the basis
that the effect of the setting aside of
Motsoeneng
’s
appointment
as COO has resulted in his not being an employee at all,
I have already explained why I cannot uphold the contention.
[177]
It seems to me that the relief is more properly
viewed as a suspension of
Motsoeneng
as an employee. If
Motsoeneng
is
no longer
an employee at all, the outcome of the PP application would
not change the position. The potentially limited duration of the
order
is consistent rather with suspension. If there is to be a
suspension, however, it should not depend solely on the outcome of
the
PP application. In view of my conclusion as to the nature of the
disciplinary proceedings required by the Public Protector’s
remedial action, another event which might cause the suspension to
cease is if
Motsoeneng
is exonerated pursuant to a valid and
credible
disciplinary process.
[178]
As to whether there should be a suspension, the
Public Protector’s report did not include, in the remedial
action, a direction
that
Motsoeneng
be suspended pending the outcome
of the disciplinary proceedings. In the COO application, however, his
suspension
as COO was sought and granted. The juridical basis and
factual justification for suspension were discussed by Schippers J in
paras
89-101 and by the SCA in paras 55-65. An argument by the
Minister and SABC that a suspension would offend against the
separation-of-powers
doctrine was rejected. There is in any event
less traction for that argument in the present case, given that the
power to remove
and suspend a GECA does not require the involvement
of the President or Minister.
[179]
One of the considerations which weighed in favour
of suspension in the COO application was the conduct of the board in
defending
Motsoeneng
and showing scant respect for the Public
Protector’s findings. Although the legal misapprehension under
which
the SABC might have laboured at that time in relation to the
legal effect of the Public Protector’s remedial action has
since
been dispelled by the Nkandla judgment,
the remnant of the board has continued to evince an attitude of
protecting and retaining
Motsoeneng
at all costs. If suspension
is
appropriate in the light of the Public Protector’s report and
subsequent events, the remnant of the board (even if it
were capable
of acting) and Aguma cannot be trusted to take a disinterested
decision in the SABC’s best interests.
[180]
The SCA (para 61) endorsed Schippers J’s
reasoning to the effect that it was untenable for
Motsoeneng
to
remain in office
while disciplinary proceedings were being brought
against him, given that fellow board members and
Motsoeneng
’s
subordinates
would have to be interviewed and documents produced. His
presence at the SABC posed a real risk to the integrity of the
investigation
and disciplinary enquiry. Given that there will need to
be fresh disciplinary proceedings against
Motsoeneng
, these
considerations
remain valid. Although
Motsoeneng
does not now, at
least ostensibly, occupy as influential a position as COO, he is no
doubt still,
de facto, a powerful force within the SABC. He was the
Acting COO/permanent COO for just under five years (November
2011-September
2016). The Acting GCEOs have come and gone. The
current Acting GCEO as well as the one remaining non-executive
director are firm
supporters of
Motsoeneng
and would still like to
see him as COO. It is fanciful to suppose that people within the SABC
whose cooperation
might be required for a credible disciplinary
enquiry will discern much difference in
Motsoeneng
’s sphere of
influence.
[181]
There is another important consideration in
favour of suspension. The decision to appoint
Motsoeneng
as COO in
July 2014 would have
been perceived by ordinary members of the public
as displaying a contemptuous attitude to the Public Protector.
Subsequent court
cases had to be fought at first instance and on
appeal, with the SABC all the while doing its best to ensure that
Motsoeneng
remained
in office. Then in September 2016 the end of the
road was seemingly reached insofar as the COO appointment is
concerned. What did
the SABC then do? It recommended to the Minister
that she approve the appointment of
Motsoeneng
as the Acting COO and
in the meanwhile
proceeded to give
Motsoeneng
a five-year contract as
GECA at a COO’s salary. This displayed a contemptuous attitude
not only
to the Public Protector but to the courts. Our public
institutions and the administration of justice will be brought into
disrepute
if an organisation such as the SABC can play games like
this. The rule of law must be vindicated.
[182]
Para 1 seeks a temporary prohibition on
Motsoeneng
holding any position at all in the SABC, not merely the
position of GECA. Having
regard to the history of the SABC’s
conduct, I think it right to extend the suspension beyond
Motsoeneng
’s position
as GECA. It would be inconsistent with
the Public Protector’s findings for him to hold any senior
position at the SABC pending
further developments. Nobody suggests
that he might temporarily be redeployed to a junior position or that
he could reasonably
be expected to occupy a junior position. There
would thus be no practical difference between a temporary prohibition
against his
holding any senior position and against his holding any
position at all. An order in the latter terms is preferable to avoid
uncertainty.
In any event, one of the justifications for suspension
is to ensure the integrity of the disciplinary process. This requires
Motsoeneng
’s
absence from the premises in any employment
capacity whatsoever.
[183]
The public may with justification be weary of the
suspension of senior public officials on full pay. In the present
case one does
not know how long the suspension will operate, given
that the new disciplinary proceedings can only be instituted once the
board
becomes quorate. Whether in the meanwhile the SABC is obliged
to remunerate
Motsoeneng
at all may depend on the issue previously
mentioned regarding the expiry of his 2011 contract. If the SABC is
obliged to continue remunerating
Motsoeneng
, I fail to see
on what
basis he is entitled to remuneration at a COO rate. These are matters
on which the SABC will, however, need to take advice.
Even if
Motsoeneng
will receive substantial remuneration during the period of
suspension, the circumstances dictate that he should
be suspended.
The inquorate board (para 5 of notice of motion)
[184] There is no opposition to the declaration sought by the DA to the effect that the board of the SABC has been inquorate since 14 September 2016. That it has been inquorate since that date is quite clear.
[185] In her answering affidavit the Minister claimed that by virtue of s 66(11) read with s 5(4)(b)(ii) of the Companies Act the board could validly transact business despite being inquorate. In the Minister’s heads of argument her counsel wisely abandoned this contention. It is thus unnecessary to say more than that the saving effect of s 66(11) applies where invalidity would otherwise flow from the fact that a company does not have the minimum prescribed number of directors. The sub-section does not address the case where a company has fewer directors than required for a quorum.
Tugwana’s appointment as Acting COO (para 3 of notice of motion)
[186] It is common cause that because the board has been inquorate since 14 September 2016, it was not possible for the board to recommend Tugwana’s appointment to the Minister or to so appoint her following the Minister’s approval. The DA is thus entitled to have a declaration to this effect and to have the purported appointment set aside.
[187] It was submitted on behalf of the SABC and the Minister that the court should suspend the effect of the declaration because the SABC requires the services of an Acting COO and is unable at the moment to remedy the position given the absence of a quorate board. It was pointed out that no criticism of Tugwana as such is contained in the papers. Mr du Toit argued for a suspension of the order until 26 December 2016, the terminal date of Tugwana’s acting appointment. Mr Maenetje submitted that a six-month suspension was needed since the SABC was unlikely to have a quorate board at any time during December 2016. I think that is a realistic submission but it presents the legal obstacle that the court would somehow have to sanction a further invalid appointment to extend Tugwana’s acting stint into 2017.
[188] I do not think there is a sufficient basis for suspending the order. While Tugwana’s qualities have not been challenged, her identification as one of the suitable candidates for the position was not done by a quorate board. There is no quorate board to oversee the performance of her functions. The day-to-day work which would ordinarily be done by a COO may still have to be done but it is not imperative that such work be performed by a person with the status and authority of a duly appointed COO and with concomitant office as a director. One should not, by way of suspension, mask the true state of affairs, which is that the SABC lacks a board to govern its affairs.
[189] In regard to decisions already taken by Tugwana, I think it would be appropriate to make a similar order to that made by the Constitutional Court in the case involving Mr Simelane,[23] namely that the invalidity of Tugwana’s appointment will not by itself affect the validity of any of the decisions taken by her up to the date of our order.
Alleged violation of ss 181(3) and 182(1)(c) of the Constitution
[190] Section 181(3) of the Constitution provides, with reference to state institutions supporting constitutional democracy, that other organs of state must, through legislative and other measures, assist and protect these institutions to ensure their independence, impartiality, dignity and effectiveness. Section 1821)(c) empowers the Public Protector, in reporting on conduct, to take appropriate remedial action.
[191] General declarations in terms of these provisions have been sought by the DA against the SABC and its board in para 1 of the notice of motion in the DC application and in para 4 of the notice of motion in the CA application. The SABC is an ‘organ of state’ as defined in the Constitution. Wilfulness is not a prerequisite for a finding that the SABC failed to comply with its constitutional duties.
[192]
It is clear that the SABC has failed to comply
with the Public Protector’s remedial action. The SABC’s
board was required
to submit an implementation plan within 30 days of
the Public Protector’s report, to finalise the remedial action
within
six months and to submit a final report by 16 August 2014.
This was not done. Disciplinary charges were eventually only put to
Motsoeneng
on 12 October 2015. The resultant disciplinary enquiry was
a feckless affair and did not constitute compliance with the
Public
Protector’s report. Appropriate disciplinary proceedings have
yet to start. Until March 2016 the SABC may have misapprehended
the
legal effect of the Public Protector’s findings and remedial
action. Objectively speaking, though, the SABC failed to
respect the
dignity and effectiveness of the Public Protector’s office and
failed to comply with her remedial action.
[193]
Despite the Nkandla
judgment, the SABC has still failed to ensure
that appropriate disciplinary proceedings are brought against
Motsoeneng
. The PP application,
instituted in mid-May 2016, did not
suspend the Public Protector’s remedial action. The SABC’s
attempt to stay the
DC application (and hence its obligation to bring
proper disciplinary proceedings against
Motsoeneng
) was dismissed.
[194] It also appears to be common cause that the SABC has not taken steps to recover any of the monies contemplated in the Public Protector’s remedial action.
[195]
Apart from its failure to comply with the express
terms of the Public Protector’s remedial action, the SABC has
also acted
in a manner inconsistent with her factual findings by (i)
failing to suspend
Motsoeneng
pending the outcome of disciplinary
proceedings;
(ii) appointing him as permanent COO in July 2014;
(iii) appointing him as GECA in September 2016. The
effectiveness of the
Public Protector’s report and remedial
action were undermined by this conduct.
[196] The DA is thus entitled to the declarations sought.
Alleged violation of ss 165(4) and (5) of the Constitution
[197] Sub-section 165(4) states that organs of state, through legislative and other measures, must assist and protect the courts to ensure their independence, impartiality, dignity, accessibility and effectiveness. Sub-section 165(4) provides that an order or decision issued by a court binds all persons to whom and organs of state to which it applies. In para 2 of the DC application the DA seeks an order that the SABC, its board and its chairperson conducted themselves unlawfully and in breach of these provisions by failing to comply with, and acting in contempt of, Schippers J’s judgment as confirmed by the SCA.
[198]
The foundation for this relief is not discretely
addressed in the DA’s founding affidavit. I do not think the
founding affidavit
makes out a case for relief based on contempt.
There were prompt applications for leave to appeal against Schippers
J’s order
of 24 October 2014. These suspended the effect of his
order (though not the Public Protector’s remedial action which
the
court order was intended to reinforce). On 23 April 2015 he
granted the applications for leave to appeal but also directed that
the Part A relief would have immediate effect pending the
determination of the appeal. As permitted by s 18(4) of the
Superior
Courts Act, the SABC brought an urgent appeal to the full
bench against the execution order. According to the DA’s
founding
affidavit, the parties subsequently agreed that the
execution appeal would not be heard and that instead attempts would
be made
to get expedited dates in the SCA for the Part A appeal and
in this court for the Part B relief. Although not so stated, I infer
that this was accompanied by an understanding that, pending the
expedited Part A appeal, Schippers J’s order would not need
to
be implemented. The SCA dismissed the Part A appeal on 8 October
2015. Four days later disciplinary charges were put to
Motsoeneng
.
Although the resultant disciplinary action did not constitute
compliance with the Public Protector’s remedial action, it
would be going too far to say that this simultaneously constituted
contempt of Schippers J’s order.
[199]
There was a period of a few days following the
SCA’s judgment of 8 October 2015 during which the SABC did not
give effect
to
Motsoeneng
’s suspension as COO. He subsequently
took long leave on terms which satisfied the DA. Although the DA
delivered
a contempt application in respect of the initial failure to
suspend
Motsoeneng
, the DA did not press ahead with it. The DA cannot
expect us to decide the contempt application in the present
proceedings.
[200] I thus do not consider there to be a basis for the relief claimed in para 2 of the notice of motion.
Motsoeneng
’s
striking-out application
[201]
Motsoeneng
delivered an application to strike out
a considerable part of the DA’s founding affidavit in the CA
application
on the basis that such material was irrelevant and/or
vexatious and/or hearsay. The application was not addressed in
argument.
I have reviewed the material in question and in the main
consider that striking-out is not justified.
[202]
Some of the material derives from the Public
Protector’s report[24]
and from Mr Edeling’s disciplinary judgment[25].
To the extent that such material is of a hearsay nature, its source
justifies reliance thereon. The DA’s deponent refers
to YouTube
links in support of allegations made concerning the events at the PCC
meeting on 5 October 2016 and the SABC’s
subsequent media
briefing.[26]
I do not see how objection can be made to providing these links,
particularly where the events in question are not in dispute.
Certain
of the paragraphs advance relevant legal contentions with reference
to the Nkandla
judgment.[27]
There are allegations regarding the reaction of the Presidency, the
Cabinet and the ruling party’s chief whip to
Motsoeneng
’s
appointment as GECA and the dismay expressed by various persons and
organisations regarding
Motsoeneng
’s tenure at the SABC.[28]
The fact that such views have been expressed on a wide scale is of
some, albeit not central, relevance to the question whether
Motsoeneng
should be suspended and the rationality of his appointment
to the GECA position.
[203]
However I think the description of
Motsoeneng
in
para 9 of the founding affidavit is couched in sweeping and offensive
terms (including
a statement that he is ‘a modern day
Goebbels’) to which legitimate objection can be taken. I think
that this paragraph
and the third sentence of para 166 (which repeats
the Goebbels comparison) should be struck out.
[204] I do not think any separate costs order in relation to the striking-out application is warranted.
Costs in the DC application
[205]
In the DC application the DA seeks costs jointly
and severally from any respondent opposing the relief sought. The
parties who filed
notices of opposition are (i) the SABC, its
board and chairperson; (ii) the Minister; (iii)
Motsoeneng
.
[206] The costs arising from the stay application and the hearing on 23 May 2016 have already been dealt with in Samela J’s judgment.
[207] On 14 November 2016 the SABC, its purported board (inquorate) and the chairperson filed an affidavit (by Aguma) in which it accepted that the disciplinary proceedings had been deficient and abided the court’s decision in regard to paras 4 and 5 of the notice of motion. The SABC continued to oppose the relief sought in paras 1 and 2 and submitted that prayers 7-9 were too widely stated.
[208] Insofar as the SABC is concerned, I have found that the DA is entitled to the relief claimed in para 1 as well as paras 4 - 9 (with some modifications). Since the relief claimed in para 1 is tied up with the consequential relief claimed in paras 4 – 9, I take them together when considering costs. I have found against the DA in regard to para 2 of the notice of motion and have not upheld its contention that the new disciplinary proceedings must be confined to sanction. Since the disciplinary application was eventually in essence unopposed by the SABC, I think the DA should be awarded costs against the SABC on an unopposed basis. Regardless of the SABC’s attitude, the DA had to approach the court for relief.
[209]
Motsoeneng
filed an opposing affidavit in May
2016 and his previous counsel filed short heads in advance of the
hearing on 23 May
2016. Before us, however,
Motsoeneng
’s main
focus of opposition was the CA application. His current counsel did
not file
any further heads under the DC case number and concentrated
their oral argument on the CA application. Their heads in the CA
application
did, however, address at some length a point of
importance in the DC application, namely whether the disciplinary
action required
by the Public Protector is a sanction-only hearing. I
have found against the DA on this point. The grounds on which the
December
2015 disciplinary proceedings have been set aside are not
defects for which
Motsoeneng
was responsible.
[210]
In the circumstances, and although
Motsoeneng
at
no stage withdrew his opposition to the DC application, I think it
would be fair
to make no order for costs against him in the DC
application.
[211] The Minister filed an answering affidavit in May 2016 in which she confined herself to her alleged unlawful influence in the appointment of the first initiator and chairperson (para 3 of the notice of motion). She filed a short supplementary affidavit on the same issue in November 2016. I have concluded that the DA is not entitled to the relief claimed in para 3. But although on the facts the Minister did not make herself guilty of ‘improper interference’, her participation in the appointment was strictly speaking irregular. As between the DA and the Minister, the parties should bear their own costs
[212] I do not consider there to be justification for making a separate costs order against the chairperson or members of the board.
Costs in the CA application
[213]
In the CA application the DA seeks costs against
Motsoeneng
, the six persons who were directors when the CA
application was launched
and the Minister. The application was
opposed by
Motsoeneng
, the SABC, by its purported board, and by the
Minister. The individual
directors did not personally oppose. When
the notice of opposition by the SABC and the board was filed on 18
October 2016, only
four of the six directors remained in office, two
of whom resigned before the answering papers were filed. Aguma stated
in the
answering affidavit that he was only authorised to represent
the SABC. No opposing papers were filed on behalf of the board or its
remaining members.
[214]
Motsoeneng
opposed the application in his
personal capacity. Since the DA has substantially succeeded against
him, there is no reason
for costs not follow the result.
[215] The SABC opposed the application, a matter alleged by Aguma to be within his authority as Acting GCEO. The DA’s success would ordinarily carry with it an order for costs against the SABC. The DA says, however, that the costs should not come from the SABC (effectively the public purse) but from various individuals.
[216]
Aguma, a director and Acting GCEO, was directly
responsible for
Motsoeneng
’s appointment as GECA. It must have
been obvious
to him, in the light of the judgment of the SCA
dismissing the appeal against Schippers J’s judgment and its
order dismissing
the petitions for leave to appeal against Davis J’s
judgment, that for as long as the Public Protector’s report
remained
undisturbed, and in the absence of a credible disciplinary
process exonerating
Motsoeneng
, the latter’s appointment to the
GECA position was indefensible. Yet such was his blind commitment to
Motsoeneng
that he not only appointed him to that position
but
strongly motivated his fresh appointment as Acting COO. He displayed
a disdain for, and unwillingness to accept, the Public
Protector’s
report and court judgments.
[217]
The launching of the proceedings by the DA to set
aside the GECA appointment was thus entirely foreseeable and the
result inevitable.
But instead of conceding, Aguma caused the SABC to
oppose the application. His contention that there was no decision at
which a
review could be directed and that
Motsoeneng
simply found
himself in the position he did by operation of law was contrived and
plainly wrong. His contention that if there was a decision it did not
have a public character reflects a worrying misapprehension
by Aguma
concerning the power he wields on behalf of the SABC in the public
interest. Both contentions were directed at shielding
his decision
from judicial scrutiny. On the merits, his attempt to distinguish the
COO and GECA positions was untenable insofar
as
Motsoeneng
’s
suitability for appointment is concerned. It beggars belief that
Aguma could have thought that a person against
whom findings had been
made such as those contained in the Public Protector’s report
was worthy of appointment as GECA even
though he was disqualified as
COO. The notion that Aguma genuinely thought that is too far-fetched
to be believed. The true explanation
is that he was intent on
supporting
Motsoeneng
to the hilt, regardless of what the Public
Protector and courts may have said.
[218]
If Maguvhe and the other directors had urged
Aguma not to appoint
Motsoeneng
as GECA, he may have refrained.
However the decision
to appoint
Motsoeneng
was not theirs. One may
suspect that Maguvhe, who supported
Motsoeneng
’s appointment as
Acting COO,
was in communication with Aguma about
Motsoeneng
’s
appointment as GECA but the material before us does not permit a
factual
finding to this effect. Although Maguvhe has not distanced
himself from the SABC’s opposition to the CA application, there
is no evidence that the decision to oppose was discussed with him. It
is true that Maguvhe and the remaining directors were party
to the
invalid decision to appoint Tugwana but they may not have appreciated
the quorum difficulty. The SABC in the event accepted
that the board
was inquorate and Tugwana’s appointment invalid. While the
conduct of Maguvhe and the other remaining directors
does them no
credit, I do not think, in relation to the matters which are the
subject of the relief claimed in the CA application,
that Maguvhe or
the other directors are personally implicated to an extent which
justifies a personal liability for costs.
[219] The case against the Minister was relatively confined. The DA has obtained substantial success in regard to the prayers she opposed. However I do not think her conduct involves personal impropriety. The costs order insofar as she is concerned will thus be confined to her official capacity.
[220]
For the reasons I have said, Aguma stands on a
different footing. Those controlling the affairs of the SABC have
already been warned
about jumping blindly to
Motsoeneng
’s
defence and not paying due heed to the Public Protector’s
report. The stage in
this saga has been reached where a personal
liability for costs is justified. In Gauteng
Gambling Board & Another v MEC for Economic Development, Gauteng
2013 (5) SA 24 (SCA) para 54 Navsa JA
observed that it was the taxpayer who would ultimately have to meet
the costs awarded against the MEC. He
said it was time for the courts
seriously to consider holding officials who behaved in the
high-handed manner described by him
personally liable for costs
incurred. This might have a ‘sobering effect on truant public
office bearers’. To his regret,
he was not able to follow that
course in the case before him because the applicant had not prayed
for a personal costs order.
[221] In another matter involving the SABC, Lagrange J, after referring to the above judgment, made an order calling upon two SABC officials to show cause why they should not personally be held liable for the costs of the application.[29]
[222] In the present case Aguma was not only representing the SABC in exercising a public power, a power which he abused. As a director of the SABC and its Acting GCEO, he stood in a fiduciary relationship to the SABC. A court may order costs against a director personally if there has been a want of bona fides or negligence or unreasonable or improper action: see Francarmen Delicatessen (Pty) Ltd v Gulmimi & Another 1982 (2) SA 485 (W) at 488E-F. Although the latter principle would usually only come into play in litigation between corporate insiders, the SABC is a unique kind of company. Its shares are held by the government, essentially on public trust. The people of the country have a legitimate interest to see that the SABC is not made to shoulder unnecessary costs.
[223] In this case, unlike Gauteng Gambling Board, the DA specifically asked for a costs order against the directors personally and they were cited in their personal capacities. I am persuaded that it would be just to make a costs order against Aguma. The order will provide, however, that the DA may recover its costs from the SABC to the extent that it cannot recover them from Aguma.
Conclusion and order
[224] I would thus make the following order in Case 3104/16 (the disciplinary application):
(a) It is declared that, in the respects identified in paras 192, 193, 194 and 195(i) and (ii) of this judgment, the first and second respondents (the ‘SABC’ and ‘board’ respectively) conducted themselves unlawfully and in breach of sections 181(3) and 182(1)(c) of the Constitution by failing to respect and implement the findings and remedial action of the Public Protector in her report of 14 February 2014 entitled When Governance and Ethics Fail (‘the Public Protector’s report’).
(b) It is
declared that the disciplinary proceedings instituted against the
fifth respondent (‘
Motsoeneng
’) on or about
12 October
2015, including the ruling of the sixth respondent on 12 December
2015 (‘the old disciplinary proceedings’),
are
inconsistent with the Constitution and invalid.
(c) The old disciplinary proceedings are reviewed and set aside.
(d) The SABC is
directed to commence disciplinary proceedings against
Motsoeneng
inter alia for his dishonesty relating to the misrepresentation
of
his qualifications, abuse of power and improper conduct in the
appointments and salary increments of Ms Sully Motsweni, and
for his
role in the purging of senior staff members resulting in numerous
labour disputes and settlement awards against the SABC
(‘the
new disciplinary proceedings’).
(e) Subject to para (f) below, the new disciplinary proceedings shall be:
(i)
commenced by a new initiator, through the
delivery to
Motsoeneng
of a letter setting out the disciplinary
charges, within two weeks
of his or her appointment, such appointment
to be made by the board within two weeks of its becoming quorate;
(ii) presided over by a new chairperson, who shall be an independent person appointed by the board; and
(iii) completed within two months from date of commencement.
(f) It is
recorded that, with a view to enabling the new disciplinary
proceedings to commence prior to the board’s becoming quorate,
the SABC,
Motsoeneng
and the Public Protector have agreed on the
identity of a person to chair the disciplinary enquiry and have
proposed certain names as the initiator. If the court appoints the
disciplinary chairperson and initiator in accordance with these
proposals, a decision on which is deferred due to the temporary
unavailability of Le Grange J and which will thus be dealt with
in a
supplementary order, the new disciplinary proceedings shall be
commenced by the appointed initiator within two weeks of the
court’s
supplementary order and be completed within two months of
commencement
(g) If the new disciplinary proceedings are not completed within the two-month limit mentioned above, the following directions shall apply:
(i) The chairperson of the board, or in the event of there being no such chairperson the Group Chief Executive Officer or Acting Group Chief Executive Office, shall, by no later than the date on which the said period expires, deliver an affidavit to this court explaining why the proceedings have not been completed and stating when they are likely to be completed.
(ii) The applicant shall be entitled, within five calendar days of delivery of the said affidavit, to deliver an affidavit in response thereto.
(h) The new disciplinary proceedings shall
(i) be open to the public; and
(ii) the media shall be entitled to record and report on the proceedings,
subject
to such reasonable restrictions as the chairperson of the
disciplinary hearing may impose, taking into account inter alia
the
right to freedom of expression, open justice and the principles of
openness, accountability and responsiveness, fairness to
Motsoeneng
and fairness to witnesses.
(i) The SABC shall pay the applicant’s costs on an unopposed basis, including those attendant on the employment of two counsel.
(j) Save as aforesaid, no order as to costs is made.
[225] I would make the following order in case 18107/16 (the CA application):
(a) In
regard to the application brought by the first respondent
(‘
Motsoeneng
’) for the striking out of matter from the
founding affidavit, para 9 and the third sentence of para 166 of the
founding affidavit are struck are out. Save as aforesaid,
the
striking-out application is dismissed.
(b)
Motsoeneng
’s
application to stay the main case is dismissed with costs.
(c) It is
declared that, unless and until the negative findings against
Motsoeneng
in the Public Protector’s report are reviewed
and
set aside, or unless and until
Motsoeneng
is exonerated from the said
negative findings by way of a valid disciplinary hearing,
Motsoeneng
may not hold any position at all in the second respondent (‘SABC’).
(d) It is
declared that the decision of the eighth respondent (‘Aguma’),
taken on or about 22 September 2016, to employ
Motsoeneng
as the
SABC’s General Executive: Corporate Affairs, is inconsistent
with the Constitution, unlawful and invalid,
and the said decision is
reviewed and set aside.
(e) It is declared that the decision of the third respondent (the remaining members of the board as at September 2016) to appoint the fourteenth respondent (‘Tugwana’) as the Acting Chief Operating Officer (‘COO’) is inconsistent with the Constitution, unlawful and invalid, and the said decision is reviewed and set aside.
(f) Decisions taken and acts performed by Tugwana in her purported capacity as Acting COO prior to the date of this order are not invalid merely because of the invalidity of her appointment.
(g) It is declared that, in the respect identified in para 195(iii) of this judgment, the SABC through Aguma has violated its constitutional obligation in terms of s 181(3) of the Constitution to assist and protect the Public Protector and to ensure her dignity and effectiveness.
(h) It is declared that the board of the SABC has been inquorate since 14 September 2016 and remains inquorate.
(i)
Motsoeneng
and Aguma in his personal capacity are directed, jointly and
severally, to pay the applicant’s costs. To the extent
that the
applicant is unable to recover the said costs from Aguma, the
applicant shall be entitled to recover same from the SABC.
(j) The
seventeenth respondent (the Minister of Communications in her said
capacity) is directed to pay the applicant’s costs
occasioned
by her opposition, her liability to any relevant extent being joint
and several with that of
Motsoeneng
and Aguma.
(k) It is recorded that the applications by the Decolonisation Foundation and the Musicians Associations of South Africa to be admitted as amici curiae were dismissed on 23 November 2016. The said two parties are directed to pay the applicant’s costs occasioned by their respective applications to be admitted as amici.
(l) All costs in terms of this order shall include the costs attendant on the employment of two counsel.
LE GRANGE J:
[226] I concur and it is so ordered.
______________________
LE GRANGE J
______________________
ROGERS J
APPEARANCES
|
For Applicant in Case 3106/16: |
Mr A Katz SC and Ms J Bleazard |
|
|
Instructed by |
|
|
Minde Schapiro & Smith Inc |
|
|
Tyger Valley Office Park |
|
|
Building No 2 |
|
|
Cnr Willie van Schoor & Old Oak Roads |
|
|
Bellville |
|
|
|
|
For Applicant in Case 18107/16 |
Mr Katz SC and Ms N Mayosi and Mr M Bishop |
|
|
Instructed by |
|
|
Minde Schapiro & Smith Inc |
|
|
Tyger Valley Office Park |
|
|
Building No 2 |
|
|
Cnr Willie van Schoor & Old Oak Roads |
|
|
Bellville |
|
|
|
|
Mr A Bester and Mr A Ayayee |
|
|
|
Instructed by |
|
|
Majavu Attorneys, Johannesburg |
|
|
c/o Nongogo Nuku Inc |
|
|
7th Floor, Spoornet Building |
|
|
1 Adderley Street |
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|
Cape Town |
|
|
|
|
For the SABC in both matters |
Mr S du Toit SC and Mr K Premhid |
|
|
Instructed by: |
|
|
Ncube Inc |
|
|
c/o Nongogo Nuku Inc |
|
|
7th Floor, Spoornet Building |
|
|
1 Adderley Street |
|
|
Cape Town |
|
|
|
|
For the Minister of Communications in both matters |
Mr NH Maenetje and Ms F Patel |
|
|
Instructed by: |
|
|
The State Attorney |
|
|
22 Long Street |
|
|
Cape Town |
|
|
|
|
For the Public Protector in both matters |
Mr E Labuschagne SC & Ms N Rajab-Budlender |
|
|
Instructed by: |
|
|
Adams & Adams, Pretoria |
|
|
c/o 28th Floor, I Thibault Square |
|
|
Cnr Long Street & Hans Strijdom Ave |
|
|
Cape Town |
[1] In the judgment of the Supreme Court of Appeal in the COO litigation, to which I shall return later (reported at 2016 (2) SA 522 (SCA)), the court seems to have understood from submissions made to it that the President appointed the executive members (see para 58) but s 13(1) is confined to the non-executive members. The Act itself does not deal with the appointment of the executive members. That aspect is covered in clause 13.5 of the MOI.
[2] Reported at 2015 (1) SA 551 (WCC).
[3] Reported on SAFLII at [2015] ZAWCHC 46.
[4] Reported at 2016 (2) SA 522 (SCA).
[5]
For
Motsoeneng
's statement to the Public
Protector, see p 875 in the CA application, para 23: ‘I
had attempted to make contact with Ms Swanepoel and regrettably to
date, I have been unsuccessful. I have no doubt in my mind
that she
too would have confirmed my version…’.
We do not have
Motsoeneng
's affidavit in the COO application but its
import is summarised in Schippers J’s judgment
in the
application for leave to appeal para 25.
[6] The affidavit was made on 31 October 2014 and is annexed to the founding papers in the DC application [pp 71-77]. Swanepoel also made a confirmatory affidavit in the DC application [pp 101-102].
[7] See Schippers J’s summary of the affidavit in para 28-29 of his judgment in the application for leave to appeal.
[8] Reported at 2016 (3) SA 468 (WCC).
[9] Economic Freedom Fighters v Speaker, National Assembly & Others 2016 (3) SA 580 (CC).
[10] The TDF’s deponent said that an attached affidavit by one Mbuli was ‘inter alia’ the evidence on which the TDF would rely.
[11] Rule 16A(6)(b); Fose v Minister of Safety and Security [1997] ZACC 6; 1997 (3) SA 786 (CC) para 9; Certain Amicus Curiae Applications: Minister of Health & Others v Treatment Action Campaign & Others [2002] ZACC 13 para 5; Children's Institute v Presiding Officer of the Children's Court, District of Krugersdorp & Others 2013 (2) SA 620 (CC) para 26.
[12] Eke v Parsons 2016 (3) SA 37 (CC) para 39. See also, eg, Absa Bank Ltd v Zalvest Twenty (Pty) Ltd & Another 2014 (2) SA 119 (WCC) para 11.
[13] The complete report is, of course, a public document accessible inter alia on the Public Protector's website.
[14]
Section 7(9)(b) of the Public Protector Act 23 of 1994 states that
if it appears to the Public Protector during the course of an
investigation that a person is being implicated in
the matter under
investigation, such person or his legal representative shall be
entitled, through the Public Protector, to question
other witnesses,
determined by the Public Protector, who have appeared before her in
terms of s 7. The full report in the present case is not before
us. From the version available on the Public Protector's website, it
appears
that certain other implicated persons (not
Motsoeneng
)
sought to invoke s 7(9)(b). The Public Protector's view
regarding the right of cross-examination is not altogether clear
from her report but she seems to
have thought it sufficient that
implicated persons had been given an opportunity to respond to
adverse allegations (see paras
3.2 – 3.3 pp 32-37 and
para 5.3 pp 43-44).
[15] Blythe v The Phoenix Foundry Ltd, Wilson & Muir 1922 WLD 87 at 91-92.
[16] See Ntshangase v MEC for Finance, KwaZulu-Natal & Another 2010 (3) SA 201 (SCA) paras 12-13.
[17] See SA Rugby Players' Association (SAPRA) & Others v SA Rugby (Pty) Ltd & Others; SA Rugby (Pty) Ltd v SAPRA [2008] ZALAC 3; [2008] 9 BLLR 845 (LAC) paras 44-46. See also Mediterranean Woollen Mills (Pty) Ltd v South African Clothing and Workers' Union 1998 (2) SA 1099 (SCA) at 1101H-1102G; Independent Municipal and Allied Trade Union & Another v City of Johannesburg Metropolitan Municipality & Others [2014] 6 BLLR 545 (LAC) paras 32-34.
[18] Cf Seale v Van Rooyen NO & Others; Provincial Government, North-West Province v Van Rooyen NO & Others 2008 (4) SA 43 (SCA) para 13.
[19]
Record 547. The SABC's counsel submitted in their heads of argument
that this document was of unknown authorship and unconfirmed
by
anyone and had no status as evidence. However the unofficial minutes
of the PCC meeting issued by the Parliamentary Monitoring
Group
reflect that the DA's deponent, James Selfe, was present at the PCC
meeting. Those minutes record Maguvhe making submissions
to the PCC
in accordance with the briefing document at 543-548. Neither
Motsoeneng
nor Aguma denies in his affidavit that the
briefing
document was presented to the PCC as being the board's position.
[20] See also Gcaba v Minister for Safety and Security & Others 2010 (1) SA 238 (CC).
[21] Para 28.
[22] Albutt v Centre for the Study of Violence and Reconciliation & Others 2010 (3) SA 293 (CC) paras 79-84.
[23] Democratic Alliance v President of the Republic of South Africa & Others 2013 (1) SA 248 (CC) para 93.
[24] Paras 50-55.
[25] Paras 112-120.
[26] Paras 148 and 152.
[27] Paras 122-125.
[28] Paras 146 and 157-171.
[29] Solidarity & Others v South African Broadcasting Corporation 2016 (6) SA 73 (LC) paras 74-78. See also Westwood Insurance Brokers (Pty) Ltd v Ethekwini Municipality [2016] ZAKZDHC 46 para 61; Plasket Protecting the Public Purse: Appropriate Relief and Costs Orders against Officials (2000) 117 SALJ 151.
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