Head of listed investments at the Public Investment Corporation, Fidelis Madavo was suspended on Tuesday in connection with the PIC's questionable investment in AYO Technology Solutions.
Madavo was meant to testify at a special commission of inquiry into the PIC's dealings.
Senior investigative journalist with amaBhungane, Sam Sole provides insight into why the PIC is being probed and the latest move to suspend key members.
The PIC is a huge honey pot and what we have come to learn is that in the past years it has been subjected to major pressures from factions within the ruling party and business.— Sam Sole, Senior Investigative Journalist with amaBhungane
Many questions were raised about the basis on which decisions were made, on which companies to invest in.— Sam Sole, Senior Investigative Journalist with amaBhungane
An investigation has revealed that in 2017, PIC made an investment to the tune of R4.3 billion in AYO Technology Investments, flouting of governance and approval processes.
Basically the PIC was using pensioners money to artificially inflate the value of this company by pushing this huge amount of cash into this company and clearly, that wasn't to the benefit of pensioners.— Sam Sole, Senior Investigative Journalist with amaBhungane
To hear the rest of the conversation with Sam Sole, listen below:
This article first appeared on CapeTalk : Investigative journalist explains why PIC 'honey pot' is being probed