IoDSA warns of governance red flags over minister's threat to dissolve SA Tourism board

THE Institute of Directors in South Africa (IoDSA) has warned that the Minister of Tourism, Patricia de Lille’s reported threat to dissolve the board of South African Tourism raises governance red flags.

- SIPHELELE DLUDLA

This comes after the SA Tourism board on Thursday placed CEO Nombulelo Guliwe on precautionary suspension effective immediately on Thursday following serious allegations of misconduct.

De Lille's office declared the board's decision null and void since it no longer has a chairperson following the resignation of Professor Gregory Davids last month.

As a result, De Lille declared that the board meeting was unlawful or ultra vires as only the chairperson of the board could convene a special board meeting in terms of the organisation's board charter.

"This means, the board in its current form is not properly constituted to take such a resolution,” De Lille said.

According to sources close to the matter, De Lille wrote to the board demanding an explanation why it should not be dissolved.

However, IoDSA CEO Parmi Natesan on Tuesday said the stability and proper functioning of a governing body was fundamental to good governance within any organisation.

Natesan said boards in general should not be put in a position where they are unable to act and fulfil their duties.