In his judgment, Judge Gregory Charles Wright found that Moyo had failed to produce any evidence to prove that Old Mutual did anything wrong with regard to his termination of employment in June 2019.
Moyo had argued that his termination was unlawful and claimed reinstatement and damages to the tune of R250-million. Moyo had accused Old Mutual of unlawfully terminating his contract without undertaking a formal disciplinary process.
The court found that Moyo had ample opportunity to put forward his side of the story. It found that the terms of Moyo’s employment contract allowed for Old Mutual to terminate the contract on six months’ notice.
The court also found no evidence to support Moyo’s claim for loss of dignity.
The judge found that the case advanced by Moyo is not one that could lead to a finding for him.
On that basis, the court granted Old Mutual and its non-executive directors absolution.
Payment of dividend to NMT
Moyo said during the case that there was no conflict of interest on his part with regards to the dividend payment matter which resulted in his axing as CEO.
Old Mutual fired Moyo in June 2019 after suspending him for alleged conflict of interest after he and his partners at an investment company, NMT, paid themselves R85 million in a dividend payout allegedly before settling the R65 million in overdue preference dividends owed to Old Mutual.
This was despite a written agreement between the two parties stipulating payment due dates which NMT allegedly failed to honour.
Responding to a question in a virtual hearing before the Gauteng High Court, Moyo said if Old Mutual wanted to be paid it should have said so.
“NMT did not pay the capital amount on the 30th of June because they were in discussion with Old Mutual for a rollover which was part of the agreement. Rolling over the amount was part of the agreement. You were in breach, you had the money to repay the Old Mutual debt of R65 million, correct?
“Yes,” said Moyo.
“Instead you decided to distribute that money to the shareholders, including yourself?”
“Yes, including myself and Old Mutual,” said Moyo.
“Well, that was a classical conflict of interest.”
