Sizwe Africa IT (Sizwe) would like to address inaccuracies in recent media reports of December 1, 2024 by the Sunday Times, City Press (and published on News24) regarding an ongoing Hawks investigation involving the company's former chairperson, Reverend Vukile Mehana, and his wife, Dr Naledi Mbude-Mehana, former head of the Eastern Cape Department of Education (ECDoE).
The media reports are clear that the Hawks investigation concerns potential conflicts of interest involving Reverend Mehana and Dr Mbude-Mehana prior to their marriage, among other matters. However, Sizwe categorically denies any connection between these alleged irregularities and a contract to supply tablets to the ECDoE in 2020. The media reports have incorrectly conflated completely unrelated contracts into a single story, causing harm to our company's name.
For clarity, the contracts referred to are the rental agreements, dating back to around 2014. The settlement agreement referred to in the media reports are for the old contracts that took place before Sizwe was acquired by Ayo in 2018. Sizwe was chaired by Rev Mehana, before the Ayo acquisition. After Ayo acquired 55% of the company in 2018, Sizwe had and conducted management change. The settlement reported in the media relates to the last 2 rental agreements of that 2014 contract, has nothing to do with the 2020 agreement currently in court.
The interdict on the 2020 agreement remains in force, and the not settlement nor finalisation has been reached on it. Sizwe has not received any payments or settlement against these two contracts since the matter is still not finalised. Therefore, the allegation that Sizwe was paid for these contracts is inaccurate and false.
We wish to reiterate and emphasise that it is Sizwe that initiated the investigation into irregular expenditure discovered during its 2022/2023 financial year. We launched the formal internal investigation to ensure accountability after discovering various irregularities. It is Sizwe that reported the matter to the law enforcement agencies under POCCA. As a company, we welcome the current Hawks investigation and the developments on the matter.
In September 2023, Sizwe publicly disclosed the discovery of financial irregularities through a joint voluntary SENS announcement issued by its holding companies – Mustek and Ayo Technology Solutions (AYO). The announcement confirmed that the company was collaborating with external experts for an impartial investigation and had promptly suspended those implicated, and initiated disciplinary proceedings.
Whilst Reverend Mehana holds a 5% shareholding in Sizwe Africa IT, he has had no management role or involvement in the operations of the company. Mr Mehana resigned from the board of Sizwe when the company reported the matter to the authorities.
The core ethos of Sizwe is our company's unwavering commitment to ethical conduct and corporate governance. The company maintains stringent ethical policies that all employees, management, and stakeholders must adhere to. These policies encompass comprehensive guidelines on conflicts of interest, financial transparency, and corporate responsibility.
We reiterate that the ongoing Hawks investigation does not involve settlement agreements relating to 2020 contract, but old contracts prior to the company being acquired by Ayo. Furthermore, it is not linked to our current operations or management structure.
Sizwe Africa IT has committed to cooperating fully with authorities to ensure a thorough and fair resolution to the matter.
* The views expressed do not necessarily reflect the views of IOL or Independent Media.