HomeNewsConfusion surrounds HCCL AGM

Confusion surrounds HCCL AGM


Confusion surrounds when the postponed Hwange Colliery Company Limited (HCCL) annual general meeting will be held amid indications the first circular sent to shareholders earlier this month was unprocedural.

The initial AGM held on June 30 was postponed and rescheduled for August 3 following disagreements amongst shareholders on the items on the agenda.

However, in a notice to shareholders yesterday, HCCL board chairperson Tendai Savanhu said: “Shareholders are hereby advised to disregard the notice for an AGM published in the print media recently. The notice was not ordered by the board.

“Accordingly the notice calling for an AGM on the August 3 2011 is unlawful and a nullity. It should be ignored.

“Shareholders will be advised in due course in respect of the lawful and proper convening of the AGM.”

Contacted for further clarification, Savanhu said the first notice issued by management did not follow proper procedures.

He said there were procedures which need to be followed and this was an oversight on the part of management.

“Corporate governance procedures were not followed. When calling for an AGM it must be advised by the board not management, and the first announcement was according to the management and not the board,” Savanhu said.

“We are trying to follow proper procedures, we are going to sit as a board and management to discuss the new date for AGM.”

Savanhu said there was need to inform the Zimbabwe Stock Exchange and the Registrar of Companies and after informing the relevant institutions they could proceed with publishing the date for an AGM.

Savanhu said management has realised the oversight and they were correcting it by consulting the board to agree on the next date for AGM.

HCCL were expected to confirm the sacking of at least nine members of the current board led by Savanhu at the August 3 AGM.

The notice issued on July 8 by company secretary Thembelani Ncube read: “Messrs Thabani Ndlovu, Alpheus Motampe Ngapo, James Nqindi and Rosemary Sibanda retire by rotation at this annual general meeting and will not be available for re-election as directors of the company.

“A notice was received from the major shareholder, government of Zimbabwe, for the removal of office of the following directors, Messrs Fortune Chasi, Shingai Israel Mutumbwa, Tendai Savanhu, Prisca Mupfumira and Thandiwe Thando Mlobane, notwithstanding their tenure of office.”

Efforts to get a comment from the company secretary were fruitless as he had not responded to emailed questions at the time of going to print.

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