EOH suspends employees implicated in graft-tainted contracts
IT company hires forensic teams and launches a whistle-blower app to probe allegations of corruption that have devastated the share price
EOH has suspended employees involved in deals being reviewed by its lawyers after an anonymous complaint prompted Microsoft to cancel a contract with the South African IT company.
“We have either suspended or received resignations from involved employees, resulting in none of the employees currently implicated remaining in the business,” EOH CEO Stephen van Coller said in a letter to staff. The CEO confirmed that he wrote the message.
EOH shares plunged after Microsoft ended its association with the company earlier this month. The company has hired forensic accounting teams to investigate its public-sector contracts, and has identified fewer than six deemed necessary for detailed review, said Van Coller.
Last week the company launched a whistle-blower app, Expose-It, to make the process of sharing sensitive information on the company safer and easier.
“Several people have come forward to share knowledge on issues,” the CEO said. “In some cases we have been given a lot of detail and on others, we have received indications of where we should look.”
Van Coller, a former executive of lender Absa and wireless carrier MTN, was brought in by EOH last year partly to restore the company’s reputation and boost corporate governance.