Armscor CEO Suspended

Thursday, November 19, 2009

Pretoria - Chief Executive Officer (CEO) of South Africa's Armaments Corporation of South Africa (Armscor) Hamilton Thomo has been suspended pending an investigation of disciplinary charges, the company's board announced on Thursday.

This follows a board meeting on Wednesday to consider a report of its representatives on the discussion with Thomo aimed at arriving at an amicable separation between the company and the CEO.

According to the Chairman of the company's Board of Directors, Dr Popo Molefe, the meeting was a sequel to the announcement the previous week by the board that it had asked Thomo to consider engaging with the board with regard to his position as CEO.

This was aimed at reaching an amicable parting of ways, said Dr Molefe.

"As there were serious allegations against the CEO, and no agreement could be reached to settle amicably, the board, after deliberations decided to suspend the CEO with full pay and his current benefits," he said.

Dr Molefe said the suspension would continue pending an investigation of disciplinary charges and the convening of a disciplinary hearing if there was enough evidence to justify one.

"It is the intention of the board to deal expeditiously with the said process so as to avoid wastage of public funds. In this regard the board hopes for the cooperation of the CEO," said Dr Molefe.

The board had informed General Managers of the company of the suspension of the CEO, and that, Sipho Mkwanazi, the current General Manager for Acquisition would act as the CEO.

The general managers were requested to inform their subordinates accordingly.