Khaya Ngqula was placed on ‘special leave' on February 11, 2009, pending the outcome of an investigation into an alleged conflict of interest. The probe was prompted by the award of a R3.5bn catering contract to the Servair consortium, of which Ngqula's wife, Mbali Gasa, is a co-shareholder, while Vusi Sithole, Gasa's co-shareholder in Servair is also allegedly Ngqula's business partner.
According to media reports on March 10, 2009, Ngqula's contract with the national carrier has now been terminated “by mutual consent” but the settlement's terms remain confidential.
Cosatu's Patrick Craven says the union welcomes the recent developments but says that it still wants the investigation into Ngqula's alleged mismanagement to be completed.
Chris Smyth, general manager of operations, had been appointed as acting chief executive officer (CEO) of the airline.
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