Namibia’s National Petroleum Corporation has seemingly reversed its decision to appoint Lionel Matthews as acting managing director.
Matthews, a former Nedbank managing director (MD), was set to act in the position for six months following the suspension of Imms Mulunga.
However, the board made a U-turn on the decision after reports emerged that Matthews had business ties to a consortium that won a contract worth N$1 billion to build, finance, operate, and maintain oil depots for Namcor.
Member of parliament, Hidipo Hamata, had questioned whether Matthews was suitable for the interim position given his apparent conflict of interest.
Hamata suggested that Matthews could be conflicted.
In a press statement, Namcor, therefore, announced the appointment of the company’s business strategy executive Shiwana Ndeunyema to lead the entity until further notice.
Namcor further stated that Matthews and the board are currently in discussions regarding this assignment.
“However, there can be no withdrawal as no formal offer has been extended to Matthews at this time,” reads the statement.
The muddled appointment of an acting MD came after Immanuel Mulunga was suspended in early April just days after board chairperson Jennifer Comalie was arrested on drug charges. Comalie was attending a board meeting that was believed to discuss Mulunga’s suspension after reports regarding the unauthorised payment of N$100 million for an oil block in Angola.
Although he is not being charged on that matter, the institution maintains it suspended him for a confirmatory affidavit he issued in a matter involving Namcor’s chief financial officer Jennifer Hamukwaya, who dragged the company to court over its decision not to renew her contract.
Two other cases relate to alleged stock loss at Namcor – believed to be in relation to fuel worth N$69 million belonging to Validus Energy, which the national oil company reportedly used without the owner’s consent.
Approached for a comment yesterday, Matthews said he was not informed of the board’s U-turn regarding his appointment.
He said deputy chairperson of the board Tim Ekandjo called him around 4 or 6 April asking if he was ready to act, to which he responded that he could assist due to national interest, despite wanting to go on early retirement.
“I gave him a confirmation after two hours that I could help them but there was no discussion of remuneration or formal agreements at that time as we were going into the Easter weekend,” he explained.
Matthews was scheduled to meet with the board on Tuesday to discuss his contract terms, including security, objectives and compensation. However, that meeting did not take place.
He further stated that he was not aware of the board’s final decision as he had not received any communication on the matter.