News24.com | Setback for Absa in bid to block Sipho Pityana accessing record of his removal

• A high court has dismissed Absa's application to block Sipho Pityana from accessing records regarding his dismissal.
• Pityana is legally challenging his dismissal from the Absa board in November 2021.
• He has also lodged a challenge against the Reserve Bank's Prudential Authority for allegedly interfering in his appointment as Absa board chair.
• For more financial news, go to the News24 Business front page.

The North Gauteng High Court in Pretoria has dismissed Absa's application to block Sipho Pityana from accessing the record of decision regarding his dismissal from the bank's board.

Pityana, in a notice of motion regarding a legal review of his dismissal by Absa in November 2021, called upon the bank to dispatch a record of decision, in terms of Rule 53. Absa, in turn, lodged a legal application to declare using Rule 53 to review the board's decision an "irregular step" and for the application to be set aside.

In the judgment, delivered on 10 May  the court noted that Absa claimed the record is "confidential or privileged." However, the bank still failed to make a case, the court found.

This dismissal paves the way for Pityana to approach the court to compel Absa to hand over relevant documents.

"The court decided that my application was appropriate to request the information," Pityana told News24 on Sunday. 

Pityana said that the record of decision is necessary for the review application.

"I and the court, have to have a copy of that, so that I can make my submission and say, 'These are the things about their decision that I am objecting to'. I cannot present that without the benefit of the record," he said.

In response to questions, Absa said it is considering the judgment relating to the applicability of Rule 53.

"Absa will take a position on an appropriate way forward in due course. The outcome of this interlocutory application does not, however, materially affect Absa's position in the review application," the bank said.

A date has not yet been set for the review.

Pityana was dismissed by the Absa board after they decided he pursued his own personal interests to the bank's detriment.

This all stemmed from issues around Pityana's resignation as AngloGold Ashanti chairperson in December 2020. It emerged that Pityana had faced sexual harassment allegations while he chaired the gold miner. Pityana has denied these allegations. Subsequently, Maria Ramos became chairperson of AngloGold Ashanti.

Pityana has also launched a separate legal challenge against the Reserve Bank's Prudential Authority, which he alleges interfered with his appointment as Absa board chairperson. He claimed that Ramos, who is also Absa's former CEO, informed the Prudential Authority of the allegations against him at a time when his suitability as chairperson was being considered.

The Prudential Authority, which oversees the country's banks, denied interfering in the matter, saying it had received no written notice of his nomination from Absa.

READ | Sipho Pityana heading to court to challenge dismissal as Absa board member

The Absa board had invited Pityana to address "allegations that he had neglected or had been derelict in the performance of his functions as a director of the boards and had failed to conduct himself in the interests of Absa".

Following his presentation, the directors still found he pursued his own interests and "created a material and sustained conflict between his interests and those of Absa".

Pityana is now still awaiting a ruling on his application for the minutes regarding the appointment of the chairperson of the Absa board.

"We are looking forward to proceeding with the review application to allow the full ventilation of the matter and the scrutiny of the conduct of... [former Absa chair Wendy] Lucas-Bull and her board in this regard," Pityana said in a separate statement.