Latest news with #R1.2-million
Daily Maverick
11-05-2025
- Business
- Daily Maverick
NSPCA secures urgent court order while Daybreak chair flies coop with R625,000 payout
The collapse of state-owned poultry producer Daybreak Foods took a new turn this weekend as board chairperson Bojane Segooa resigned abruptly after securing a R625,000 payout, just as courts ordered the company to stop its mistreatment of nearly 600,000 starving birds. On Saturday, 10 May 2025, the NSPCA obtained an urgent interim court order from the Gauteng High Court in Johannesburg compelling Daybreak to stop inhumane killing practices and provide adequate feed to 594,000 starving breeder birds at farms in Bela-Bela and Mookgopong. 'This is not just a failure of farming practices – it is a collapse of basic ethical standards,' said senior inspector Nazareth Appalsamy. 'The breeder birds are not only starving, they are suffering immensely.' The court order, which followed a whistle-blower tip-off on Wednesday, 7 May, confirms that Daybreak: Deployed untrained workers to kill birds by swinging them by the head; Failed to disclose conditions at remote farms despite prior interventions; Ignored earlier warnings, leading to preventable mass suffering. The NSPCA is returning to court on Tuesday, 13 May 2025 to make the interim relief permanent and is preparing criminal charges under the Animals Protection Act. Feathers fly in C-level suite The decision by Daybreak board chair Bojane Segooa to resign amid a strike by unpaid workers on Thursday, 8 May, as reported by TimesLive, – reportedly blindsided board colleagues already grappling with a spiralling crisis involving starving livestock and an organisation on the brink of liquidation. Her resignation came shortly after she had demanded R1.2-million in board fees, which then led to internal conflict and the resignation of CFO Aubrey Dali after she stripped him of his powers when he refused to authorise the payout. Despite resistance, Segooa ultimately received a payment of R625,000 before her hasty exit. Sources close to the board describe her exit as 'strategic abandonment' as the remaining three board members have opted to forgo their fees 'in good conscience'. Segooa's exit follows the February 2025 resignation of CEO Richard Manzini and the entire executive team, who left after the PIC failed to promptly release approved funding. However, insiders say the company was already 'technically insolvent' as early as 2016, just months after its acquisition. Daybreak's failure is becoming a case study in one of the most significant investment collapses in the Public Investment Corporation's (PIC) recent history. What began as a 2015 BEE-backed acquisition of Afgri Poultry, funded by the PIC to the tune of R1.19-billion, has spiralled into a humanitarian, animal welfare and financial disaster with at least R1.44-billion in public funds now at risk. PIC acquisition was not the trigger for chicken war… Despite the timing, the PIC's 2015 acquisition of Daybreak Foods did not cause the so-called 'Obama chicken war'. This term refers to a long-running trade dispute between South Africa and the US over American poultry imports, not local investment deals. The background: For more than 15 years, US chicken (especially bone-in pieces) was blocked from South Africa due to anti-dumping tariffs. In 2015, tensions escalated during negotiations over Agoa (African Growth and Opportunity Act), which gave SA duty-free access to US markets. Key moments: June 2015: PIC buys Daybreak Foods. At the same time, US and SA negotiators reach a poultry deal where SA agreed to accept 650,000 tons of US poultry exports. November 2015: After several delays, President Obama threatens to revoke SA's Agoa benefits if poultry access isn't resolved. January 2016: US sets a March deadline for compliance. February 2016: SA meets final conditions – US poultry begins entering the market. Bottom line: The 'chicken war' was about trade access and tariffs, not Daybreak. The PIC's purchase was a domestic investment, not a trigger for the dispute. Workers still unpaid, under fire Roughly 3,400 workers remain unpaid for April. Some are now homeless or unable to feed their families. On Tuesday, 6 May, protesters seeking answers were reportedly met by police who fired rubber bullets. Workers say UIF and provident fund contributions have not been made and they have not been provided with the necessary documents to claim temporary relief. Management has offered no clarity on backpay, business rescue or termination procedures. The Department of Labour has intervened and is exploring enforcement and compliance mechanisms. PIC steps in In a statement shared with Daily Maverick on Friday, 9 May 2025, the PIC confirmed that it had 'allocated a requested R250-million facility, R176-million of which was provided in February 2025.' It added that a further R74-million, originally intended for capital expenditure, had been repurposed for immediate operational support. 'The R74-million will now be allocated to provide immediate working capital, to address the company's immediate liquidity needs, which include: Outstanding salaries for April 2025; Feed supplies to prevent further starvation and cannibalism; Essential expenses necessary to avoid liquidation.' The PIC said Daybreak's board and management 'remain responsible and accountable' for the company's operations. It is 'assisting the board to strengthen management to bring stability' and has instructed leadership to implement a 'credible turnaround plan to ensure long-term sustainability and growth'. Department of Labour — 'We are concerned' The Department of Employment and Labour expressed alarm on Sunday at reports of Daybreak's collapse, noting that the company was funded through PIC investments made on behalf of both the Compensation Fund (CF) and the Unemployment Insurance Fund (UIF). 'As funds are mandated to safeguard and grow the financial resources intended to benefit workers, the CF and the UIF are committed to ensuring that all investments made on their behalf align with their investment policies and deliver sustainable, long-term returns,' the department said. A spokesperson also confirmed that the department is 'engaging with the PIC to seek clarity on the status of this investment' and will take 'appropriate measures to protect the interests of stakeholders and ensure accountability'. DM
The Citizen
07-05-2025
- Health
- The Citizen
Weskoppies power restored after being cut off
Electricity has been fully restored to the Weskoppies Psychiatric Hospital after the Tshwane Metro disconnected the facility for failure to pay its debt of over R1-million. In the statement released by the Gauteng Department of Health (GDoH), the department said it reached an agreement with the metro. 'The GDoH wishes to notify the public that the electricity supply at Weskoppies Hospital has been restored following an agreement with the City of Tshwane. The department's contingency plans ensured that services continued as per normal amid the electricity supply disconnection. We reiterate that patient care was never compromised during the hours in which the facility had to rely on its backup system of five generators and a solar system,' the statement read. The disconnection took place on May 5 when the metro led by Mayor Dr Nasiphi Moya, under the Thswane Ya Tima campaign, paid a visit to the hospital. At the time, it owed R1.2-million to the city for consecutive months on non-payment. The GDoH had stated that the money owed to the metro for March and April's electricity usage was underway at the time of the disconnection, and that not enough time had passed for the payment to reflect. The delay was due to the transition to the new financial year, and the department said it had been in the process of paying multiple amounts to various service providers. The move by the metro garnered mixed reactions from the public, who believe that this was a step too far, and cutting power to mentally-ill patients is a decision that should have been avoided. Moya, however, remained adamant that government institutions that fail to honour their debts with the metro can expect a visit from them any day. She has since addressed the backlash, saying that the decision was not taken lightly, though enforcing credit control is their responsibility. The mayor acknowledged the vital role that hospitals play and assured residents that patient care was considered before the disconnection. 'I want to assure residents that the hospital's backup power systems remained fully operational during the disconnection, and patient care was not compromised. This was confirmed by the GDoH in its own public statement. I would not have allowed the disconnection if it would have left the facility without power and the subsequent impact on patient care,' Moya said. Moya said the city did not act without due process out of good faith and had previously agreed not to proceed with disconnection, recognising the GDoH's financial year-end in March. She said the metro accepted the GDoH's assurance that payment would be made in early April, and despite multiple follow-ups, no payment was received, leaving them with no alternative. 'Government departments currently owe the city more than R1.6-billion for services rendered. The city is beginning a recovery from a long period of financial distress, and our ability to deliver quality services to millions of residents depends on consistent revenue collection from all customer groups. Ensuring that everyone, including government departments, honours their financial obligations, is essential to sustaining service delivery for our residents,' Moya said. She said the metro will continue to enforce credit control to create a culture of payment and accountability, and that no account in arrears would be spared, whether private, business or government. Watch here: The fourth stop for Tshwane Ya Tima is in the CBD. This facility owes the City of Tshwane R1 million. We've switched them off. We encourage all customers who have outstanding bills with the city to settle them. @CityTshwane — Dr Nasiphi Moya (@nasiphim) May 5, 2025 Do you have more information about the story? Please send us an email to bennittb@ or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
The Citizen
06-05-2025
- Health
- The Citizen
Mixed reactions as Tshwane cuts off power to Weskoppies over debt
The Tshwane Metro, led by Mayor Dr Nasiphi Moya, recently disconnected municipal services to several locations at Weskoppies Psychiatric Hospital during a recent Tshwane Ya Tima drive. The Tshwane Ya Tima revenue collection campaign seeks to disconnect services to defaulting clients who run up high service bills and then fail to pay the city. During the drive on May 5, electricity was switched off to Weskoppies due to owing R1.2-million for non-payment over the past two months. The move has garnered mixed reactions from the public, who believe that this was a step too far, and cutting power to mentally-ill patients is a decision that should have been avoided. Moya, however, remained adamant that government institutions that fail to honour their debts with the metro can expect a visit from them any day. 'The fourth stop for Tshwane Ya Tima is in the CBD. This facility (referring to Weskoppies) owes the City of Tshwane R1-million. We've switched them off. We encourage all customers who have outstanding bills with the city to settle them,' said Moya via her social media. The Gauteng Department of Health (GDoH) has since released a statement claiming that the money owed to the city was being processed at the time the Ya Tima team paid Weskoppies a visit. 'The processing of the R1.2-million owed to the City of Tshwane for March and April electricity consumption was already underway at the time the municipality effected credit control and disconnected Weskoppies Hospital on Monday. The delay in payment is attributed to the transition to the new financial year. The hospital normally makes additional payments to ensure a continuous electricity supply; however, this time around, it could not do so. The owed amount is currently being processed for payment,' the statement read. The GDoH processed R3.8-million to the city concerning other facilities in Tshwane, and that the money was already scheduled for payment on May 5 as part of the payment run to various service providers, the statement continued. The GDoH said it's continuing to engage with the metro and that backup power supplies from five generators and solar panels are keeping Weskoppies up and running, and patient care can continue uninterrupted. As previously mentioned, the move to disconnect the facility has come under fire from many who claim the act was inhumane, one of those parties being MK. Through a released statement, the MKP (uMkhonto weSizwe Party-Medics) have condemned the mayor and the metro's actions against the facility. MKP said the metro should punish the ones who owe them and not the vulnerable who don't. 'MKP Medics stands firmly against the inhumane disconnection of electricity at Weskoppies Psychiatric Hospital. Patients' lives and dignity must be protected. We demand accountability from those responsible –not punishment of the vulnerable,' the statement read. Various other private and public institutions also received visits from the metro for outstanding debt collection. 'It's important that residents are aware that when Tshwane Ya Tima reaches your doors, it follows extensive consultation by our finance department. We don't just switch off without due process. We have switched off private businesses, we have switched off households, and we have switched off public buildings as well. We are very consistent, and we do not have people who we do not switch off in this campaign,' Moya said. 'It's quite important that we must raise revenue; the services you are complaining about will not be able to be delivered if we do not collect revenue. So we do this so that businesses and government must know that they have a responsibility to pay for our services,' Moya said. Watch here: Our last stop for the day was at King Pie located in the CBD. This business owes the city R868,000. We have switched them off. It's important that residents must be aware that when Tshwane Ya Tima reaches your doors, it follows extensive consultation by our finance department. We… — Dr Nasiphi Moya (@nasiphim) May 5, 2025 Do you have more information about the story? Please send us an email to bennittb@ or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
Daily Maverick
01-05-2025
- Politics
- Daily Maverick
‘Silence of the sacrificial lamb' — Judge Mushtak Parker sinks own case by clamming up
The suspended Western Cape High Court judge faces possible impeachment after claiming he 'misremembered' an alleged assault by impeached judge president John Hlophe. Suspended Western Cape High Court Judge Mushtak Parker's silence about an alleged assault by impeached judge president John Hlophe has sealed his fate. Parker, who has been on suspension for almost five years earning R1.2-million a year, chose not to challenge or refute damning evidence in a Judicial Conduct hearing, which drew to a close earlier this week. The hearing, chaired by retired Judge Bernard Ngoepe, was prompted by complaints to the Judicial Service Commission (JSC) by 10 judges in the division that Parker had admitted, in an affidavit, that his boss, Hlophe, had attacked him in 2019. Change of tune Later, when Hlophe himself challenged events that had allegedly taken place in Parker's office in February that year in his own responding affidavit to the JSC, Parker changed his tune. Taking the fall for Hlophe, Parker said that he had 'misremembered' what had occurred when he had fallen backwards, hit a bookshelf, his bodyweight snapping off a key and injuring his back. In so doing, Parker set himself in conflict with fellow judges in the division. Hlophe's tenure as judge president had been fraught with threats, verbal abuse, intimidation and violence. Hlophe became the first judge president in democratic South Africa (SA) to be impeached. It took 16 years to hold him to account for attempting to influence Constitutional Court judges in a matter involving Jacob Zuma in 2008. Other controversies Several other controversies swirled around Hlophe throughout his term in the division. After his impeachment and out in the wilderness after being removed from the bench sans financial benefits, Hlophe joined Zuma's fledgling MK party and has gone on to become its leader in the National Assembly. Attempts by the party to dispatch Hlophe as a party representative on the JSC, which disciplines and appoints judges, have been challenged in court. Hlophe sought direct access to appeal to the Constitutional Court against a Western Cape High Court interdict preventing him from sitting as a member of the JSC. The Constitutional Court ruled that Hlophe had made no case for a direct appeal to the apex court. The matter was dismissed with costs. Three applications were lodged at the Western Cape High Court for an interdict to stop Hlophe from occupying a seat on the JSC. In December 2024, the high court dismissed an order for leave to appeal against an interim order which had led to Hlophe's approach to the Constitutional Court. Multiple complainants, including the Democratic Alliance and Freedom Under Law, had argued that Parliament had erred in approving Hlophe's nomination by MK to serve on the JSC. The Western Cape High Court is yet to deliver its final judgment on the matter. Disrepute The evidence leader in the Judicial Conduct hearing, Dr Nkululeko Ndzengu, submitted that Parker should be found guilty of gross misconduct by the tribunal. This would lead to his impeachment. 'If there was no assault then why lie for a year to fellow judges, bringing the judiciary into disrepute?' asked Ndengu. The tribunal is also investigating the fact that Parker did not disclose, during his interview by the JSC for a position on the Western Cape High Court, that his law firm had diverted monies from a trust account and was being investigated. 'Unfit to serve' Advocates Geoff Budlender, representing the 10 judges of the Western Cape, and Janet McCurdie, representing the Cape Bar Council, said Parker was unsuitable to serve as a judge due to the gravity of the complaints against him. In the meantime, the Legal Practice Council is investigating Parker's former law firm. As the matter unfolded, Parker had offered no explanation or apology to his colleagues, and his silence during the virtual hearing could be regarded as an aggravating circumstance. Judge Parker's fate will soon be decided. DM
