The JSE has publicly censured Tongaat Hulett’s former chief financial officer Murray Munro following an ongoing investigation of the conduct of individuals leading the group before it went into business rescue.
Munro has challenged the JSE on the matter.
Along with the public censure, the JSE fined Munro R6 million, and disqualified him from holding the position of director or officer of a listed company for 10 years.
“Munro informed the JSE he does not agree with the JSE’s decision and findings and he intends exercising his rights to challenge the JSE’s decision in terms of the provisions of the Financial Sector Regulation Act (FSRA),” the JSE said on Wednesday.
On July 1, 2020, the JSE imposed a public censure and financial penalties amounting to R7.5m against Tongaat because its financial information from 2011 to 2018 did not comply with International Financial Reporting Standards (IFRS) and was “incorrect, false and misleading in material aspects”.
The JSE found that Munro’s actions and failure to comply with provisions of the listings requirements were one of the causes of the publication and dissemination of misstatements from 2011 to 2018.
“As Tongaat’s CFO during the periods in question, Munro was the guardian and overseer of Tongaat’s financial health and infrastructure and key to his role and direct function was analysing and preparing Tongaat’s financial statements. Munro was also the senior executive responsible for managing the financial actions of Tongaat and occupied the highest financial position in the company,” the JSE said.
On February 24, 2023 Munro had applied to the Financial Services Tribunal to overturn the JSE’s decisions on the matter and on April 18, the tribunal, dismissed the suspension application, other than agreeing to suspend the payment of the fine that the JSE imposed on Munro.
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