Public Enterprises Minister Lynne Brown.
Brown addressed the public enterprises portfolio committee on Tuesday and told them she would abide by the court’s decision regarding Molefe’s reappointment. This briefing was held for members of Parliament (MPs). It gave Brown and members of the Eskom board an opportunity to explain the process behind Molefe’s reappointment which was followed by a court bid by opposition parties to have his return set aside. During the briefing, Brown explained the legal courses of action that were taken when brining Molefe back to Eskom. “Let me start by reporting that I have submitted my affidavit to court with regard to the Brian Molefe matter,” she said. “I have instructed my legal team to withdraw my opposition to Part A of the relief sought – that I set aside my appointment of Mr Molefe. “I have, nonetheless, deposed an affidavit, as I believe the information I have will assist the court in determining its decision,” Brown added. “My initial advice was to oppose Part A on the basis that I neither appointed nor reinstated Mr Molefe, as well as on the basis of advice from Eskom’s board that it had obtained an opinion from a Senior Council advocate on its handling of the matter.
“But having had the opportunity to properly appraise the issues, I have decided that I will abide by the court’s decision on the legality of Mr Molefe’s return to Eskom,” Brown said.
Brown unaware of Molefe’s early retirement decision
Molefe left Eskom in November last year under a cloud on controversy after being implicated in former public protector Thuli Madonsela’s State of Capture Report. He was later sworn in as an MP. Brown said when Molefe left Eskom last year, she was under the impression that he had resigned. “I was not aware that he had applied for early retirement,” she said. “This I only learned in April 2017, after reading in the media that Mr Molefe was receiving a R30 million pay-out from Eskom, and asking Eskom’s Board to make a more prudent deal.” Brown had opposed Molefe’s R30 million pay-out and asked the power utility’s board to find another way forward. “Again, on Eskom’s legal argument that Mr Molefe was appointed under the terms of the 2014 Memorandum of Incorporation, the early retirement agreement didn’t have to be shown to me,” she said. “On 11 May 2017, after taking advice from a senior council, the Eskom board reverted to me with options on the proposed R30 million pay-out to Mr Molefe. “As a courtesy, the board indicated to me its preference was for the consensual rescission of Mr Molefe’s early retirement, and that it was willing to accept Mr Molefe back as group chief executive,” she added. Brown said she told Eskom’s board that she would only support their decision to offer Molefe his old job, provided it was legal.
