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UNIVERSITY GOVERNANCE CRISIS

Former UCT Council chair Babalwa Ngonyama resigns from Hollard board after independent panel report

In the wake of the damning report released last week on UCT's governance failures, former chair Babalwa Ngonyama has resigned from the board of Hollard insurance company - just one in a string of resignations since.

Former UCT Council chair Babalwa Ngonyama. (Photo: UCT News)

By Victoria O’Regan

8 Nov 2023

In the fallout from the damning report released last week by the panel investigating governance failures at the University of Cape Town (UCT), the university’s former Council chair, Babalwa Ngonyama, has resigned from the board of Hollard insurance company.

Ngonyama resigned from her role as lead independent director of the insurance group.

“We can confirm that Babalwa Ngonyama has resigned as a Board member,” Hollard’s group spokesperson, Warwick Bloom, told Daily Maverick in response to questions. He did not elaborate.

This comes after a report was released last week by the independent panel investigating governance failures at UCT. The report excoriated Ngonyama and former vice-chancellor Mamokgethi Phakeng. The panel was chaired by retired judge Lex Mpati. Fellow retired Judge Azhar Cachalia, public sector governance expert Trish Hanekom and Wits University’s transformation head Bernadette Johnson served on the panel.

On 2 November, Ngonyama also resigned from the Vukile Property Fund’s board of directors following UCT’s release of the independent panel report, Business Day reported.

The report slammed Phakeng, concluding that she “repeatedly conducted herself unprofessionally by engaging in activity that is prohibited in the UCT workplace, including using threats, intimidation, ethnic slurs, personal insults and also posting racially offensive material on social media”.

Phakeng’s behaviour, the report found, was aided and protected by Ngonyama’s multiple breaches of good governance.

The report found it sufficiently concerning that “Ngonyama’s conduct in failing to perform her fiduciary duty to UCT”, that it recommended she be “reported to the appropriate regulatory authorities”.

It found Ngonyama and Phakeng had initiated the termination of former deputy vice-chancellor Lis Lange’s contract “without having the authority to do so”, and also misled the UCT Council and Senate regarding the circumstances of her departure.

“To conclude that Ngonyama and Phakeng’s conduct during this period amounted to a governance failure would be an understatement. In an attempt to shield themselves from accountability, they subverted the policies and procedures … of UCT.

“Had it not been for the fact that half of the members of Council and most in Senate acted to protect UCT from their machinations, the consequences could have been calamitous,” the report concluded.

Read more in Daily Maverick: University Governance 101 — takeaway lessons from UCT’s big Phakeng mess

The findings of the independent panel vindicate and expand on Daily Maverick’s investigation in October 2022, exposing the governance crisis at UCT.

Phakeng avoided suspension by the UCT Council by reaching agreement on a lucrative early retirement package in February this year. Her total payment package amounted to R12.5-million. She will also receive reduced UCT tuition for her dependents for life and post-retirement medical aid for life.

Ngonyama resigned from UCT with immediate effect on 22 May 2023. This followed a recommendation by the independent panel, in an interim report, that she be removed immediately.

“Her removal cannot wait for the panel to complete its work and finalise its report, much less wait for the matter to be dragged through the courts. The facts are clear, and Council must act,” the interim report, dated 17 May, concluded.

In a later statement, Ngonyama said she had taken the decision to step down as UCT Council chair after “thoughtful consideration, and deep and thorough reflection”, and taking into consideration the current circumstances on her wellness and health.

Shortly after resigning from the university’s Council, Ngonyama also quit the board of pharmaceutical group Aspen in May, News24 reported.

Daily Maverick requested comment from Ngonyama, who had not replied by the time of publication. Her comment will be added if received.

On Wednesday, Parliament’s portfolio committee on higher education, science and innovation was briefed by UCT on the findings and recommendations of the panel’s report. DM

Comments (10)

garrold.kh Nov 9, 2023, 08:53 AM

How did she get any of these direcorships ??

Ben Harper Nov 10, 2023, 06:03 AM

BBBEE

Confucious Says Nov 9, 2023, 09:08 AM

Perhaps one can screen for chips on the shoulder prior to hiring/inserting? Mind you, these are often not appointments of choice, are they? Bye bye to yet another failure!

Moruti Ledwaba Nov 9, 2023, 09:52 AM

Great to hear from you Prof. Nongxa. You led my alma mater Wits University with distinction and your views are measured and thoughtful, supported by empirical evidence. Unfortunately some of our compatriots will disregard any evidence/s as long as it doesn't suit their racial lenses. That's why you see comments starting with "they" read Blacks and thank you Ms. Stephanie Brown for calling this out. Could we please work together to build this beautiful country of ours: at least for our descendants? Is this too much to ask?

Loyiso Nongxa Nov 9, 2023, 10:07 AM

Thank you. It was a privilege and an honor to be entrusted with that responsibility.

Hilary Morris Nov 9, 2023, 10:17 AM

Sadly, it would seem to be too much to ask. It's such a complicated issue, compounded by very understandable sensitivities. Given our history, we have created the mess we find ourselves in, and when I use "we", I am talking as a white woman who never supported the apartheid government or anything they legislated that disadvantaged the majority of South Africans. Nor, when/if I refer to black fellow South Africans, do I generalise. We all know, surely, that there are brilliant competent people of all races and colours. Sadly, generalising is way, way too common in our discourse. So, to black readers, I apologise for all that is hurtful that is said and done in the name of whiteness. To white readers, hey - I'm one of you and there is a certain amount that we just need to suck up! One day, likely not in my lifetime, we'll all just be South Africans.

Middle aged Mike Nov 9, 2023, 10:43 AM

What in the world is 'whiteness' and who does anything in it's name?

Hilary Morris Nov 10, 2023, 10:42 AM

Whiteness is the assumption that anything that is said by someone who is white has to be valid for all who happen to be white. It is automatically correct. It is the ultimate "us" and "them" - where "they" are implicitly inferior.

Middle aged Mike Nov 10, 2023, 01:31 PM

Thanks. That sounds delusional. Do you know any real person that thinks like not resident in an asylum?

Fanie Rajesh Ngabiso Nov 9, 2023, 12:43 PM

Hi Moruti, I absolutely love your sentiment: Could we please work together to build this beautiful country of ours: at least for our descendants? Is this too much to ask? In my book it really is not too much to ask, we just need to all wake up and realise that we are all people and that race is a red herring - used these days mainly by unscrupulous politicians to further their own ends. We are all South Africans and while the past cannot be changed, we do have the ability to start working to together towards a brighter future. In 2024 we need to vote for ethical governance, law and order, clean water, electricity, education and a functioning economy.

B M Nov 9, 2023, 02:54 PM

You say that "they" has a racial connotation, but there is not context to validate that connotation. Perhaps, if you thought of "they" as meaning the plural of two people, which is what it is (Ngonyama and Phakeng). Perhaps Heinrich was intonating race, perhaps not. I would say give the benefit of doubt that Heinrich was not, but that is assenting to your intonations and connotations. Just because YOU think it is racial, don't make it so. Before casting potentially baseless aspersions, maybe find out what was meant.

Fanie Rajesh Ngabiso Nov 9, 2023, 05:19 PM

Or just double check with Tom Curry ?

lyster.w Nov 9, 2023, 11:08 AM

Not even our universities are not immune from corruption. Is there anything these people don't destroy?

Jaine Hannath Nov 9, 2023, 12:37 PM

As Stephanie Brown rightly pointed out in one of the initial postings, using pronouns such as "they" is offensive. As is your comment stating "these people". Be specific. Use names. Don't go painting everyone with the same pre 1994 brush.

Ben Harper Nov 10, 2023, 06:04 AM

HAhahahahaha

Ben Harper Nov 10, 2023, 10:16 AM

If you find racism in these comments the problem is you, not the person who wrote them

Loyiso Nongxa Nov 9, 2023, 12:03 PM

Am I the only one who has read about out-of-court settlements and NDA in both the private and public sectors in South Africa? Am I the only one who read about CEOs of private, commercial and investment banks in the US, bringing their companies to the edge of bankruptcy, and being offered handsome golden handshakes and parachuted to other plum well-paying jobs? I guess that doesn't happen in South Africa?

Fanie Rajesh Ngabiso Nov 9, 2023, 02:31 PM

Loyiso, of all the comments you've made, I find this one depressing. Because others do it, it's ok? I detest lowest common denominator thinking as a justification for bad behaviour. It is this type of thinking which is a prime cause of decay in our society.

Loyiso Nongxa Nov 9, 2023, 02:58 PM

Hello Ricky. What you’ve said is one way of interpreting my comment which is not what I meant or intended. In some circles there’s an observation that we are not evenhanded in responding to similar circumstances, depending on who has transgressed or be fitted. That there is hypocrisy.That we can be harsh on the faults or limitations or benefits received by one person and turn a blind eye to or gloss over the same issue when it’s a different individual. More specifically, Black female Vice-Chancellors could say they get crucified while White male Vice-Chancellors may be condoned or given a free pass for their transgressions. Compare recent occurrences at UCT and Stellenbosh.

Middle aged Mike Nov 9, 2023, 03:12 PM

If you seek out racism in every nook and cranny I'm sure you'll find it. I couldn't care less what colour the unworthy recipient of buckets of public money is.

Fanie Rajesh Ngabiso Nov 9, 2023, 05:26 PM

Loyiso, @M-A-M echoes my sentiments, and really should echo every intelligent person's. People should not get remunerated unless they earn it. Period. For all races. You say above you are not racist, which I admire, but then you immediately bring race into it, which I do not. One thing I can say for certain is that people are not angry because she is black, the outrage would be the same regardless of the person's race or gender. Everything I have read, and it has been a lot indicates she has a toxic destructive personality, and in fact that she is racist.

Elizabeth Christie Nov 9, 2023, 12:09 PM

Post retirement medical aid for life? Would that be the anticipated 'free' NHI, or trips to Russia for treatment?

kelden20@gmail.com Nov 9, 2023, 12:21 PM

Very good. We need more of this. There should be consequences for bad behaviour. Next, I wait to see which school will be deluded enough to hire the ex-VC

Viviana Smith Nov 9, 2023, 04:47 PM

One has to ask how this woman came to sit on the boards of these companies. It quite clearly had nothing to do with competence. Well - at least her gravy train has come to a screeching halt - although - given recent history - I'm sure she'll find another one to quietly couple onto soon.

Ben Harper Nov 10, 2023, 06:06 AM

BBBEE

Awareness Publishing Mike Nov 11, 2023, 09:10 AM

Don’t you agree with me? Aren’t you tired of having to listen over and over again to the “Audio sponsored by Stand Up Business podcast”, before having any of these articles read aloud to you? What’s more, listening on iPhone, in most cases I find I am forced to listen to the 10 seconds ad TWICE before being able to play the article. So, it’s “press play, listen to the 10 seconds repeating humour of the one and laughter of the other, then press play again, and listed to it all over again”. And one is forced to listen hundreds of times to this 10 seconds annoying advertisement, because Daily Maverick has not provided any “skip” or “move on” facility. After having been forced to listen to the two’s laughter too many times, I have completely lost the appetite of ever listening to Mark Barnes or Business Maverick editor Tim Cohen ever again. And sorry for bringing it up here, but I have written to Daily Maverick many times about it, but they have done nothing about it. Don’t you agree?

j4journals Nov 11, 2023, 08:22 PM

Sad turn of events for her

DM is much better if you are signed in...

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Comments (10)