This followed suggestions made in a report of the task team Communications Minister Siphiwe Nyanda appointed last year to investigate turnaround strategies for Sentech and the SABC.<\/p>\n
Business Report said the signal distributor was budgeting for a net loss of R123 million for the 2009\/10 financial year as a result of discontinued operations such as MyWireless.<\/p>\n
However, it said Sentech’s loss could increase to R214 million if losses of R91 million by broadband services MyWireless, BizNet and Vsat were included. <\/p>\n
“This amount was not disclosed to the department of communications by Sentech in its corporate plan.”<\/p>\n
Sentech was discontinuing its failed broadband services, the newspaper said.<\/p>\n
According to the report by the task team, not everybody on Sentech’s management had signed the exit strategy for MyWireless, creating doubt that the decision carried every director’s approval.<\/p>\n
There was speculation that the board would be fired this week, Business Report said.<\/p>\n
“The task team found that the chief executive failed to create the correct environment to monitor performance and compliance. <\/p>\n
“The report found a ‘lack of adequate leadership and oversight’ at the parastatal.”<\/p>\n
Business Report said the team had also established that increases had been approved for executives by the board in spite of the company’s dismal financial performance.<\/p>\n