26 July 2023
The country's High Court found that Ramaphosa's 2022 proclamation for a Special Investigating Unit (SIU) probe into alleged unlawful conduct by the telco and some of its employees and agents was "unconstitutional, invalid and of no force."
In January 2022, Ramaphosa issued a proclamation directing the SIU to investigate some of Telkom's old deals in Africa, including failed forays into Nigeria and Mauritius. In response to that proclamation, Telkom sued the president in July 2022, citing that his actions were unconstitutional.
The SIU's investigation was meant to explore alleged maladministration in Telkom's sale of iWayAfrica, Africa Online Mauritius and Multi-Links Telecommunications Limited.
Telkom said the Pretoria High Court has set aside Proclamation 49 issued by the president on 25 January 2022, giving the SIU authority to investigate Telkom.
"The allegations in the proclamation had already been addressed by the company through Telkom's corporate governance processes and the outcomes are of public record," said Telkom Group CEO Serame Taukobong.
The telco said that it approached the court because it is of the view that, left unchallenged, the proclamation would set a dangerous precedence on the role of the state in private enterprise.
In delivering the judgment, Judge J Thlapi found the decision to issue the proclamation to be unconstitutional, invalid and of no force or effect.
"Telkom consistently upholds the principles of good corporate governance. It is unfortunate that Telkom needed to approach the courts on this matter, and we hope that this judgment brings it to finality," said Taukobong.