Executive Head of Listed Investments, Fidelis Madavo, says on Monday night the Public Investment Cooperation (PIC) board suspended him with immediate effect.
He says the suspension letter states that he was being suspended because he heads the department that signed off the Ayo Technology funding.
The PIC controversially invested R4.3 billion in Iqal Surve’s Ayo Technology just as the company was listed on the JSE in December 2017. The investment was largely seen as overvalued.
The PIC bought 29% stake in Ayo, but the share price has fallen by almost 50% in the past year.
Madavo says he was informed that he was being suspended pending an internal investigation into the Ayo Technology transaction.
Madavo says he was, however, not in the country when the transaction was signed.
He is testifying before the PIC inquiry currently underway in Pretoria.
“Further investigations will be ongoing. I must not talk to PIC employees at this stage and that the documentation of this Ayo Transaction which I signed, according to the letter indicate that I should be suspended. I also just want to put on record that this transaction took place when I was overseas and there was a DOA in place.”
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