Peter Moyo vs Old Mutual: Form

In this 18 July 2019 file photo, former Old Mutual CEO Peter Moyo is seen in the Johannesburg High Court.
Photo: Dimpho Maja / African News Agency(ANA)

Peter Moyo vs Old Mutual: Former CEO tries to block his replacement

It appears the battle between Old Mutual and its former CEO Peter Moyo is far from over.

Peter Moyo vs Old Mutual: Form

In this 18 July 2019 file photo, former Old Mutual CEO Peter Moyo is seen in the Johannesburg High Court.
Photo: Dimpho Maja / African News Agency(ANA)

Moyo has filed an urgent application to prevent the leading insurer from appointing a new CEO.

He has been embroiled in a tense legal battle with the company since 2019, when Old Mutual
gave the executive his marching orders, citing an alleged conflict of interest related to NMT Capital –
a company he owned.

The company said it had received an urgent application to interdict the CEO appointment process.

Old Mutual consulting legal team

“Old Mutual is considering the latest application and will first consider the advice from our legal team before deciding on our next steps. Old Mutual has until February 20 2020 to file a notice of opposition to the application,” it said in a statement issued on Sunday, 16 February 2020.

“Old Mutual regrets that we are being drawn into yet another round of court proceedings by Mr Moyo. We confirm that we will continue to act responsibly, remain focused on our core business and protect the interests of Old Mutual and its stakeholders,” the statement read.

The matter is set to be heard on 10 March 2020.

Legal web of entanglement – Moyo loses appeal

The move comes a month after the Johannesburg High Court upheld a previous ruling which
found that Old Mutual did not have to reinstate him.

Old Mutual alleged that the former boss had received a R30 million payment from NMT Capital and
that it should have received the pay-out first.

“This situation first arose because the former CEO violated the terms of his employment contract by
placing his private financial interests ahead of the company.

In flagrant disregard of the provisions in his employment contract designed to manage conflicts of interest between NMT Capital (which he co-founded) and Old Mutual, Mr Moyo chaired a meeting of the NMT Capital Board on 4 July 2018, at which it was decided to pay an ordinary dividend of R105 million,” the company said at the time.

In July 2019, the Johannesburg High Court ordered Old Mutual to immediately reinstate Moyo and
foot the bill for his legal costs as his suspension and dismissal was unlawful.

However the company refused to give in or even allow him inside the premises, filing a leave to
appeal the ruling that Moyo should be given his job back.