The battle for control of the Black Management Forum intensified this week after its suspended president moved to deactivate the email accounts of his rivals and relocated the offices of the lobby group’s investment arm to another building.
Mpho Motsei also counter-suspended his deputy, Lilly Moabi and the directors aligned to her.
He has written to staff, announcing the suspension of managing director Monde Ndlovu, as he moves to take full control of the organisation.
Governance concerns and financial irregularities
Sunday World reported last week that an explosive report compiled by BMF stalwarts had recommended the suspension of the forum’s president and members of the board of the investment arm over serious governance concerns and financial irregularities.
Chaired by the BMF’s longest-serving president and uMkhonto weSizwe Party MP, Mzwanele Manyi, the committee found that board members of the BMF’s investment arm irregularly awarded themselves fee increases without obtaining shareholder approval. It found this to be in conflict with Section 66 of the Companies Act.
It further found that in July 2024, BMF Investment (BMFI) declared a R31-million dividend without performing a solvency and liquidity test as required under Section 46 of the Companies Act. The section stipulates that a company can pay dividends to shareholders only if it is in a financially healthy position.
The BMF’s investment arm has a portfolio that includes a 1.3% stake in Nedbank, 1.2% in Raubex and 25.1% in the Rosslyn Hub Development Company, among others.
In response, the BMF board announced that Moabi would take over as acting president while Motsei would face a disciplinary hearing.
In a letter informing Motsei of his suspension, Moabi said the board had resolved to adopt the committee’s report and implement its recommendations in full.
Retaliation
However, Motsei has not taken his suspension lying down. He has accused Manyi of trying to capture the BMF. In retaliation, he has suspended the seven board members who had accepted the report and authorised action to be taken against him.
He has also instructed the organisation’s IT department to deactivate their email accounts. The board members include Moabi, Lucky Madikane, Bhekisisa Mthembu, Oagiseng Bojang, Nathi Nkwanyana, Paseka Letsatsi and Jeremiah Klass.
Motsei apparently stormed the BMF offices on Monday, informing staff that he was calling the shots and forcefully occupied the office of Ndlovu.
On Thursday, Ndlovu wrote to the BMF’s Top 50 Structure, an extended board that includes chairpersons and deputy chairpersons of provinces and branches across nine provinces, informing them of Motsei and members of the BMFI board’s suspension, as per the stalwarts’ report.
Board recommendations
He wrote that the BMF board had adopted the report and resolved to implement its recommendations in full.
“This includes the precautionary suspension of the president, Mr Motsei, and other affected office bearers (Mr Xwayi – chairperson of the Western Cape, Mr Thulani Mlangeni – chairperson of Mpumalanga, Mr Lizalise Dingalibala – Sandton Branch chairperson and Mr Klassi Kgopa – Limpopo provincial treasurer) pending the finalisation of an independent disciplinary process.
“The BMF further confirms that the deputy president, Ms Lilly Moabi, acts in the office of president for the duration of, and to the extent of, that suspension. The organisation continues to operate under the authority of its duly constituted board and management structures. In terms of the Memorandum of Incorporation, the managing director is appointed by and forms part of the board, and remains responsible for the daily management and administration of the organisation.
“The managing director also supports the execution of board resolutions and the day-to-day administration of the forum, while the board retains ultimate governance authority,” Ndlovu further wrote.
He said the BMF board had also resolved to dissolve the entity’s National Student Chapter Committee as per the report’s recommendations.
On the same day, Motsei issued a letter directed to the organisation’s corporate members and stakeholders, saying he had suspended the managing director and the other directors not aligned to him.
Accusations
In a media statement issued on Friday, he accused many of being part of rogue agents trying to capture the forum.
“It should not come as a surprise that in a country with a prolonged history of state capture, former presidents seek to exert influence from beyond the grave.”
He further denounced the stalwarts’ report that recommended his suspension.
“There is no explosive (report), nor is there an independent report. The report that is attributed to stalwarts of the BMF was authored solely by Mzwanele Manyi, two hours after the disbandment. (He) unilaterally introduced scope creep, seemingly driven by his own personal interests rather than the objectives of the project.
“The BMF refuses to be used by Manyi to re-invent himself at the expense of the (organisation),” Motsei wrote.
Contacted for comment, Ndlovu said: “I’m still the managing director of the BMF”, while Manyi said: “I don’t respond to rubbish.”
- Suspended BMF president Mpho Motsei retaliated against rivals by deactivating their email accounts, suspending his deputy Lilly Moabi and aligned board members, and relocating the investment arm’s offices.
- A committee chaired by Mzwanele Manyi found serious governance and financial irregularities, including unauthorized board fee increases and an unlawful R31-million dividend payout by BMF Investment.
- The BMF board accepted the committee’s report, suspended Motsei, appointed Moabi as acting president, and dissolved the National Student Chapter Committee.
- Motsei accused Manyi and others of trying to "capture" the BMF, denounced the report’s independence, and suspended managing director Monde Ndlovu and other opposing directors.
- The conflict has split the BMF's leadership, with both sides asserting control over the organisation amid ongoing disciplinary and governance battles.
