The Industrial Relations Court deputy chairperson Anthony Kapaswiche has noted that Wester Kosamu’s position of Executive Chairman does not exist at Salima Sugar Company Limited (SSCL).
This is contained in an injunction ruling following an application by the company’s security manager, Osman Kapida challenging his disciplinary hearing and subsequent dismissal.
Kapida, who was accused of negligent discharge of duties, incompetence and serious misconduct was fired by Kosamu, acting as Executive Chairman and Chief Executive Officer in February this year.
However, through his lawyers Mbulo Attorneys, he dragged the company to court demanding damages for breach of constitutional right to unfair labour practices, damages for unlawful dismissal and an order of reinstatement, and applied for an injunction staying the disciplinary processes and the subsequent decision of SSCL dismissing him from employment pending the hearing and final determination of his substantive action herein.
Kapida challenged the mandate of Kosamu who is still working with the company despite the expiry of his term and demanded that the disciplinary processes against him be reversed arguing that his dismissal is null and void.
He further argued that Kosamu was appointed as director by virtue of his membership of the Green Belt Authority and his term at Green Belt Authority having expired on 3rd August 2024, he ceased to have the mandate to hold the position of the Executive Chairman of the company.
Kapida further stated that the (Memorandum and Articles of Association) MEMARTS of the Salima Sugar do not provide for the position of the Executive Chairman as no article in the MEMARTS provides for the position that Kosamu has.
“The position created by the MEMARTS is that of Managing Director appointed by Directors and not Executive Chairman hence the position that Mr. Kosamu holds is non-existent at the Respondent’s institution,” argued Kapida
In defence, Kosamu stated that he was appointed amongst the Directors of the company in relation to Article 100 of the Memorandum of Understanding and Articles of Association of SSCL.
He further argued that the company has its specific MEMARTS guiding the appointment of both directors and Executive Chairman of the Company and that the company has always had an Executive Chairman and a Chief Executive Officer concurrently, with the Executive Chairman having the overall authority of management.
Kosamu said he was duly appointed as the Executive Chairman of the Respondent at the 11th Board Meeting of the company.
However, Kapaswiche noted that Article 100 of Salima Sugar Company MEMARTS indeed provides for the position of Managing Director and there is no mention of the position of Executive Chairman despite that Kosamu argued that the position of the Executive Chairman emanates from the same article 100.
“The Court will need to understand during trial as to whether the said Executive Chairman position does exist and what is the role of the position, if at all it exists. Again, just on the face of it, the position of Executive Chairman seems not to be provided for in the MEMARTS of the Respondent,” he noted
