High court freezes disputed Jozi FM board

GOVERNANCE: A Gauteng High Court has barred a group claiming to lead Jozi FM from exercising board powers, restoring an interim governance structure while a long-running legal battle over the community broadcaster’s leadership heads for a final hearing…

By  WSAM Reporter

The Gauteng High Court has effectively frozen a disputed leadership takeover at Jozi FM, granting an interim order that strips a group of directors of their authority while a bitter governance battle over one of South Africa’s biggest community radio stations is finally resolved.

In an order handed down by Acting Judge Dreyer on 23 July, the Johannesburg High Court interdicted the second to tenth respondents from presenting themselves as the lawful directors, office bearers or authorised representatives of the Soweto Media Resource Centre (SMRC), the non-profit company that operates Jozi FM.

The respondents are further prohibited from exercising board powers, convening board meetings, implementing board resolutions, making governance or financial decisions, altering the station’s governance structure or representing Jozi FM before regulators such as the Companies and Intellectual Property Commission (CIPC) and the Independent Communications Authority of South Africa (ICASA).

The court ruled that, pending the final determination of the main application, governance of Jozi FM will remain in the hands of an interim board comprising applicant Rapitse Peter Montsho, Thulani Eugene Mhlongo and the station’s chief executive officer, Mpho Mhlongo.

Judge Dreyer also directed that an annual general meeting be convened within 60 days of the order, while each party was ordered to pay its own legal costs.

The ruling is the latest chapter in a governance war that has plagued Jozi FM for more than a year.

Montsho approached the High Court on an urgent basis, arguing that individuals elected during a disputed annual general meeting in February were unlawfully exercising the powers of directors while the legality of their appointments remained unresolved.

In court papers, he argued that allowing the contested board to continue governing the broadcaster posed a risk that decisions affecting the station, its employees, advertisers and regulators could later be declared invalid if their appointments were ultimately found to be unlawful.

The urgent application sought to preserve the status quo until the court determines Part B of the case, which asks the court to declare the appointments invalid, review decisions taken by the disputed board, and direct CIPC and ICASA to recognise only the governance structure declared lawful by the court.

Power struggle

The dispute extends beyond boardroom politics. Jozi FM is one of South Africa’s largest and most influential community radio stations, and compliance with governance requirements forms part of its regulatory obligations under both the Companies Act and ICASA’s community broadcasting framework.

The litigation therefore carries implications for the broadcaster’s corporate governance, regulatory standing and future leadership.

Meanwhile, the High Court’s latest order deals solely with the question of who may lawfully govern Jozi FM while the substantive corporate governance dispute is being decided.

The final outcome of Part B of the application is expected to determine the legality of the contested board appointments and could ultimately reshape the governance of one of Gauteng’s most prominent community broadcasters.

WeeklySA_Admin

Follow us

Don't be shy, get in touch. We love meeting interesting people and making new friends.