By Lehlohonolo Lehana.
@ParagonGroup.
The Gauteng Local Division of the High Court has ruled in favour of Old Mutual in dismissing the damages case brought by former CEO Peter Moyo.
Moyo, fired in June 2019, was suing the company for R250 million. Despite a full bench court ruling in 2020 that his dismissal was lawful, Moyo still contended it wasn’t.
He was also suing for “insults” he says the company and its directors threw at him when it published statements and conducted media interviews saying he contravened his fiduciary duties to Old Mutual.
Moyo argued that the termination of his employment was unlawful. He claimed reinstatement and damages in an amount of R230 million. Additionally, he claimed in an amount of R20 million on the basis that statements made on behalf of Old Mutual in relation to the termination of his employment allegedly insulted him and violated his dignity. During the course of the hearing over the last two weeks, Moyo abandoned his claim for reinstatement but persisted with his damages claims, Old Mutual said in an announcement on Monday afternoon.
The judgment, handed down earlier today, found that Moyo had failed to produce any evidence of wrongdoing by Old Mutual. The court also found that Old Mutual had acted lawfully in terminating Moyo’s contract, said the insurer.
Claims of alleged victimisation were subsequently dismissed as the court found no evidence of impropriety by the Chairman of Old Mutual,Trevor Manuel.
Last Monday, at the conclusion of evidence presented by Moyo and his legal team in support of his case, the insurance and investment firm indicated that it intended to apply for “absolution from the instance” — a legal request to be released from a particular case.
Judge Gregory Wright, who was hearing the case, then adjourned proceedings for two days to allow Old Mutual and Moyo’s legal teams to submit written arguments either in favour or in opposition of the absolution request.
Old Mutual was confident of a court win, as was evident when it published a discussion document about the case a few weeks ago.
Today’s outcome adds to numerous judgments finding that Old Mutual acted lawfully in terminating his contract.
The judgment in Moyo’s consolidated application to have the Old Mutual non-executive directors declared delinquent and to have them declared in contempt of court is still pending.