Old Mutual to fight damages claim

Peter Moyo
Peter Moyo

Old Mutual will “vigorously” fight a damages claim launched by ousted CEO Peter Moyo, who wants to be reinstated.

Moyo filed a R250m damages claim against the company on Wednesday.

He was dismissed in June, with the board saying it had lost trust and confidence in him after his NMT Capital investment company declared ordinary dividends while still owing Old Mutual preferential capital.

The two parties have been involved in a standoff since then, with Moyo winning two court applications to have himself reinstated and Old Mutual opposing the move.

Moyo’s attorney Eric Mabuza said his client would be pursuing reinstatement.

“First prize is permanent reinstatement,” he said, adding that Old Mutual was bound by a court order that restricted it from hiring a new CEO until the matter was resolved.

Old Mutual spokesperson Tabby Tsengiwe said: “Old Mutual confirms that it has received summons from the exCEO, claiming damages totalling R250m.

“This is in addition to the R35.5m he received for doing the job and the R4m sixmonths’ notice payout.”

She said the company would stick by its decision.

“Old Mutual believes it was correct to dismiss Mr Moyo and will defend any claim vigorously.”- SowetanLIVE

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