African Tuna CC using Black Employees as Shareholders to obtain Fishing rights

Business News

Tebogo Msimanga|

The B-BBEE Commission has found African Tuna Traders CC, Umbhalo Trading (Pty) Ltd and Homotsego Trading (Pty) Ltd have contravened the B-BBEE Act and has since referred the findings to the Department of Agriculture, Forestry & Fisheries for consideration.

This is after an investigation revealed that credentials of black employees were presented as black shareholders for the purposes of obtaining the fishing rights.

The complainant was Mr Phephe Elias Khekhe, who was employed as a driver of African Tuna Traders CC since 2001 until his employment was terminated in 2010. He was also appointed as a director of Umbhalo Trading (Pty) Ltd and Homotsego Trading (Pty) Ltd, entities created by his employer, effective from the 01 August 2004 and on 14 April 2010 and 24 November 2014, respectively.

The B-BBEE Commission said according to the application, Umbhalo Trading (Pty) Ltd’s ownership was 20% held by African Tuna Traders CC and 80% by Homotsego Trading (Pty) Ltd in which  Khekhe and six other black people held 14.29% each as direct shareholders.

It also stated that the 80% held by Homotsego Trading (Pty) Ltd would be transferred to Umbhalo Empowerment Trust whose beneficiaries will be black people, but such transfer did not materialise.

“ In practice, all three entities were operated by members of African Tuna Traders CC, Jonathan Ronald van Breda and Christopher Fergus Hamel with 50% members interest each, without the participation of and/or economic interest to black people who were presented as shareholders.

African Tuna Traders CC has 0% black ownership while the said black owned Homotsego Trading (Pty) Ltd is dormant and does not have any financial statements.” Read a statement issued by Spokesperson of Department of Agriculture, Forestry & Fisheries Sydwell Medupe, on behalf of B-BBEE Commission

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