OMU Old Mutual Limited

   By Ian Walker 
 

Old Mutual Ltd. (OMU.LN) said Wednesday that it will appeal a decision by the High Court to reinstate former Chief Executive Peter Moyo.

The South African financial-services company, which terminated Mr. Moyo's contract in June over a conflict of interest, said it acted lawfully when the board terminated Mr. Moyo's employment and has followed sound governance principles when it took this step.

Old Mutual said Mr. Moyo has been informed that he won't be able to resume duties pending the outcome of the appeal. In the meantime the company will continue to be run by interim Chief Executive Iain Williamson.

"The directors of the company are resolute that they have at all times acted in keeping with their fiduciary responsibilities to the company and its shareholders, policyholders, staff and other stakeholders," Old Mutual said.

It added that there has been a "complete and irreparable breakdown in trust and confidence in Mr. Moyo."

Old Mutual said in June that Mr. Moyo failed to give an acceptable explanation over the payment of dividends from his investment firm NMT Capital while the company's debts to Old Mutual were outstanding. Mr. Moyo was suspended over the issue in May.

Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

(END) Dow Jones Newswires

July 31, 2019 06:22 ET (10:22 GMT)

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